Wadia Group's GoAir firms up order for 72 Airbus 320neo aircraft

Low-cost airline GoAir, part of the diversified Wadia Group, has firmed up order plans for 72 Airbus 320neo (new engine option) aircraft, after having entered in to a Memorandum of Understanding with the manufacturer Airbus, in July last year.

GoAir, which has a market share of 8.2 percent, firmed up on its new order commitment on December 30, 2016. This is in addition to its earlier order commitment of 72 A320neos, which now takes its total order commitment to 144 aircraft. The total value of the new order is estimated to be Rs 53,000 crore or $7.73 billion.

Rival IndiGo, which is also the market leader with an overwhelming market share of 39.2 percent, has a firm order commitment of 430 A320neo aircraft. According to Airbus, the A320neo incorporates many innovations, including latest generation engines and large Sharklet wing-tip devices, “which together deliver 15 percent in fuel savings from day one and 20 per cent by 2020.” This the manufacturer says, is equivalent to a reduction of 5,000 tonnes of CO2 per aircraft per year.

“The A320 neo provides the latest technical innovations and unbeatable economics. This new order will further strengthen our network by adding more domestic and international routes in the years to come,” says Wolfgang Prock-Schauer, MD and CEO, of GoAir. The airline inducted its first A320 neo in June last year.

Launched in November 2005, GoAir operates a fleet of 23 aircraft, connecting to 23 destinations in India with over 975 weekly flights. In August last year, GoAir received the government’s approval to fly to nine countries that include Iran, China, Vietnam, Uzbekistan, Kazakhastan, Azerbaijan and Saudi Arabia. The airline plans to start its international flight operations this year.