Aviation stocks rise on approval for flexible use of airspace

Stocks of the Indian airlines were trading higher on Monday after the government approved Flexible Use of Airspace (FUA) by civil and military users, which was unresolved for last so many years.

Jet Airways was trading higher by 3.5% at Rs 573, SpiceJet was up 2.84% at Rs 36.15), and Kingfisher Airlines gained 0.1% at Rs 10.04.

The primary objective of FUA is to enhance airspace Capacity, minimize delays, fuel conservation, emission reduction and ultimate benefits to travelling public, the civil aviation Ministry said on Friday.

The airspace of the nation is a finite sovereign asset, which is used by civil, military and aerospace authorities. Flexible utilization of airspace is important from the view point of efficiency of operation, viability of airlines and minimizing damage to environment. This can be achieved by the introduction of the concept of Flexible Use of Airspace.

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