InterGlobe Aviation stock hits five-month low as IndiGo cancels 200 flights

InterGlobe Aviation the parent company of IndiGo experienced a drop of over 3 per cent in its shares on Thursday as the airline faced widespread flight disruptions nationwideThe stock fell to Rs 5405 in morning trading hitting its lowest point in more than five months This decline continued for a second consecutive session after IndiGo encountered one of its most significant operational challenges in recent years with approximately 200 flights cancelled on Wednesday reported news agency IANSThe disruptions were mainly caused by a severe shortage of crew members especially pilots following the introduction of revised Flight Duty Time Limitation FDTL regulations last monthThe new rules require airlines to provide more rest hours and humane work schedules for crew members IndiGo has struggled to quickly adjust its network to comply with these changesAccording to the IANS the impact carried over to Thursday with nearly 73 flights cancelled at Bengalurursquos Kempegowda International Airport adding to passenger inconvenienceIn response to the widespread cancellations IndiGo issued an apology acknowledging the major disruptions across its network over the past two daysThe airline cited multiple unforeseen challenges including minor technical glitches winter schedule adjustments bad weather increased air traffic congestion and the rollout of updated crew rostering rules which collectively created a difficulttoanticipate situation reported IANSTo stabilise operations IndiGo has implemented calibrated schedule adjustments that will remain in place for the next 48 hours The airline expects these measures to restore normal operations and gradually improve punctualityMeanwhile the aviation regulator DGCA has launched an investigation into the disruptions The watchdog has asked IndiGo to submit a detailed report explaining the reasons behind the cancellations and its plans to reduce delays and minimise passenger inconvenienceOn Tuesday IndiGo shares had already fallen around 2 per cent to close at Rs 559550 Despite slipping nearly 6 per cent over the past five days the stock remains more than 2 per cent higher than its level six months agoALPA urges DGCA to review pilot availability amid rising cancellationsThe Airline Pilotsrsquo Association of India ALPA on Thursday raised concerns over recent flight cancellations across the country which have been largely attributed to a pilot shortage linked to new Flight Duty Time Limit FDTL regulations The association questioned whether the crisis stems from poor airline planning regulatory oversight by the Directorate General of Civil Aviation DGCA or a combination of factors affecting market fairnessALPA highlighted that airlines including IndiGo were aware of the revised FDTL norms issued by the DGCA in January 2024 with phased implementation beginning later that year Despite sufficient lead time many carriers reportedly failed to properly adjust crew rosters 15 days in advance as required suggesting an initial underestimation or delay in strategic planning to ensure adequate pilot availabilityAviation experts have also speculated that some airlines might be using flight delays and cancellations as an ldquoimmature pressure tacticrdquo to compel regulators to relax or grant dispensations for the stricter FDTL norms potentially compromising the safety intent of these rules designed to reduce pilot fatigueWith IANS inputs