Newsmakers
Yes, another bureaucrat to lead Air India
September 1st 2015
A former India railways boss, mechanical engineer Ashwani Lohani, is to succeed Rohit Nandan as chairman and managing director of flag carrier, Air India. Reaction to Lohani’s appointment has been cautious. Read More » With no aviation experience, critics wonder how he can turn around a chronically enfeebled carrier that only exists because of government beneficence. Lohani, who will move to Air India later this month, is the chief administrative officer of the Indian Railways Organisation for Alternative Fuels. His reputation shone bright in his previous job, where he rejuvenated the failing Madhya Pradesh Tourism Development Corporation.
With years of losses behind it, reviving Air India is a colossal task for Lohani, especially as Etihad Airways’ investment and management involvement in Jet Airways is steering the Mumbai-based carrier towards sustainable profitability. Air India’s on time performance, product offerings and customer and cabin service range from adequate to woeful by any global measure.
Lohani’s predecessor, Nandan, who will move up to the ladder to secretary to the national government, tried but failed to contain the carrier’s growing debt and staffing problems. As a result, the national government is reviewing the terms of its funding support for the flag carrier’s current restructuring/turnaround plan, which was approved in 2012.