The ministry of civil aviation has granted a No Objection Certificate (NOC) to the Tata Group and Malaysia-based AirAsia's joint venture, AirAsia India, paving the way for the airline to get an air operating permit (AOP) and
look at launching operations by the end of January.
"The ministry has just granted an NOC to AirAsia," said Mittu Chandilya, CEO, AirAsia India. "We will be looking at getting the AOP in a month or so."
The budget airline is Tata Sons' first airline venture after the government changed its policy in September 2012 and allowed international carriers to invest in existing airlines in India as well as greenfield airlines.
AirAsia India was earlier aiming to launch in October, but will now be able to start operations by December or January. Based in Chennai, the carrier promises to revolutionise the airline market in India with cheap fares and by targeting a new segment of fliers.
It is reviewing potential hubs for the medium and long term in different parts of the country. It has already initiated talks with the government of Madhya Pradesh for operating from Bhopal and Indore and is also in talks with the Chhattisgarh government.
The nod to AirAsia India came close on the heels of a deal between the
Tatas and Singapore Airlines to start an airline in India.