From correspondents in Delhi, India, 03:32 PM IST

State-run national carrier Air India will push more flights into service Aug 18 following threats from private airlines that they would suspend operations the same day if airport charges and fuel taxes were not slashed.

According to an official spokesperson, Air India will increase the number of flights to minimise any inconvenience to passengers.

'The national carrier will rise to the occasion and ensure that the inconvenience is minimised,' an official spokesperson told IANS Sunday.

However, low-cost carrier IndiGo in a late night development said it would not participate in the strike and rather hold a dialogue with the government.

'IndiGo appreciates the sentiments expressed by the ministry of civil aviation that it understands the problems faced by the Indian aviation industry and that we should all engage in a dialogue with the ministry,' said IndiGo president Aditya Ghosh in a statement.

'IndiGo also wishes to thank all its customers and passengers for their overwhelming support and we wish to reassure them that IndiGo will be operating its normal scheduled service on August 18, 2009.'

Civil Aviation Minister Praful Patel Saturday asked the private airlines not to suspend operations Aug 18 and come to the table for discussions rather than inconvenience passengers.

The regulator, the Directorate General of Civil Aviation (DGCA), also stepped in Saturday, seeking a formal explanation within 48 hours and saying failure to do so would attract legal action based on the Aircraft Act.

Private carriers decided to suspend operations from strike Aug 18 to force the government to find a solution to their grievances, especially that relating to high turbine fuel price.

The move to suspend flights is to 'highlight the urgency for the government to intervene immediately,' said Anil Baijal, secretary general of the Federation of Indian Airlines (FIA), the organisation representing India's seven carriers.

Apart from a cut in sales tax on fuel, the carriers have also asked the government to direct oil retailers to sell aviation jet fuel cheaper and reduce the airport charges that they say have ballooned ever since private players were allowed into the field.

'Aviation fuel prices in India are among the highest in the world,' said Baijal, adding this alone accounted for 30-40 percent of an airline's operational costs.

The private carriers owe nearly $500 million towards fuel to oil companies. Baijal said that the accumulated losses of private carriers amounted to nearly $2 billion.

Thus far, the civil aviation ministry has ruled out any bailout package for the aviation industry, even though moves are afoot to help the national carrier tide over one of its worst crises.

(Staff Writer, © IANS)