Runway set to be cleared for airlines to use wet leased planes on new routes

India is set to allow homegrown carriers to use wet leased planes on new routes as the government seeks to address a severe aircraft shortage which is driving up ticket prices and hindering airlines' expansion plans, people aware of the development said. IndiGo and SpiceJet are likely to be immediate beneficiaries of the government move. IndiGo, India's largest carrier, is finalising a leasing arrangement of up to six Boeing 787 jetliners with Norwegian carrier Norse Atlantic, the people said. The government decision will also allow Air India to wet lease planes for starting new flights with the Tata Group airline's much touted turnaround under its new owner getting delayed due to an ageing fleet amid a global aircraft parts shortage. A government official said the change in policy will help carriers mount new routes besides boosting capacity on existing services, helping temper airfares. "Supply of aircraft is tremendously lagging demand due to engine issues and slowdown in delivery. Hence, this change is necessary," the official said.<br/>