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A committee has reportedly recommended replacing India’s Directorate General of Civil Aviation (DGCA) with a statutory Civil Aviation Authority of India (CAAI), with greater control over its hiring, spending and funding. The proposal has been reported as submitted to the Ministry of Civil Aviation, but there is no confirmation that the government has approved it, introduced legislation or created the authority. The reported passenger levy of ₹15 per departure is also only a proposal—not a charge passengers currently pay.
What is the panel proposing?
Hindustan Times reported on 2 October 2026 that a committee recommended replacing the DGCA with a statutory CAAI established through new legislation. Under the reported plan, the authority would have greater operational and financial independence than the DGCA has within its current government structure.
The report says the committee was constituted in August 2025, chaired by former economic adviser Lalit Kumar Chandel, and included all joint directors general. Hindustan Times reported that the committee submitted its report to the Ministry and that discussions had taken place. The available account does not establish that the proposal has moved beyond recommendation and discussion.
Reported governance and hiring arrangements
- A governing board would be chaired by the Director General of Civil Aviation, with whole-time members drawn from the DGCA cadre and part-time members from industry.
- An advisory committee of industry experts would also be created.
- The Director General and whole-time members would be selected through a specialized search-and-selection process for five-year terms.
- The authority would have control over recruitment, pay and spending, addressing constraints that the proposal says limit its capacity to hire and invest in technology.
These are details attributed to the committee report as described by Hindustan Times; the underlying report has not been made available in the cited account.
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How would the proposed authority be funded?
The reported plan would let the CAAI raise funds through service fees, certification charges, penalties and a proposed levy on passengers. Its board could revise charges. The proposal would also allow government grants during a transition to financial self-sufficiency, with annual audits by the Comptroller and Auditor General (CAG).
The report describes a ₹15 levy per departure, citing a Ministry of Civil Aviation study by the Centre for Asia Pacific Aviation (CAPA). This is a proposed figure, not an existing passenger charge or a confirmed amount the government intends to collect.
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Would DGCA become independent?
Not on the evidence currently reported. The committee’s recommendation would require legislation to establish a statutory CAAI, and the reporting does not confirm that the government has accepted the plan or introduced a bill. Until an official decision or law changes the structure, DGCA remains the regulator operating under the Ministry of Civil Aviation’s administrative control.
The Ministry describes DGCA as constituted under section 4A of the Aircraft Act, 1934. Its responsibilities include aircraft registration, airworthiness standards and certificates, licensing pilots and maintenance personnel, licensing air traffic controllers, certifying aerodromes and air navigation facilities, operator certification, regulating air transport services and taking accident-prevention measures (Ministry description of DGCA’s functions; DGCA’s statutory status).
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Why is greater autonomy being proposed?
The case reported for the CAAI is that the regulator needs more room to recruit specialists, retain expertise, invest in technology and manage its operations without relying as heavily on government budget allocations and administrative processes. A Rajya Sabha committee report has separately identified critical staffing and expertise shortages and called for a time-bound plan for full statutory, administrative and financial autonomy for DGCA.
That parliamentary report also recommended specialized recruitment, a dedicated professional pipeline, changes to pay and targeted hiring in directorates with unmet needs. These are recommendations, not evidence that the changes have been implemented. The available material does not establish a reliable current overall vacancy percentage, so a figure such as “nearly half vacant” should be treated as a media description rather than a verified official statistic.
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How does this compare with earlier proposals?
India has considered more than one way to give the aviation regulator greater capacity. The options differ over whether autonomy should come through a separate statutory authority or through stronger governance and resources for DGCA itself.
| Approach | What it proposed | Status established by the cited source |
|---|---|---|
| Current reported CAAI proposal | Replace DGCA with a statutory authority, a governing board, more control over hiring and spending, and funding that could include fees and a proposed passenger levy. | Reported as a committee recommendation submitted to the Ministry; adoption or enactment is not confirmed (Hindustan Times, 2 October 2026). |
| Kaw Committee approach | Retain DGCA rather than convert it into an authority, while providing adequate budget and clearer administrative and financial autonomy through a DGCA Council and empowered committee. | Recorded as a committee recommendation in an official Press Information Bureau account: “There is no need to convert it into an authority” (PIB account of the Kaw Committee recommendation). |
| 2012 Civil Aviation Authority proposal | A proposed separate authority intended to address recruitment, retention, administrative and financial constraints, including through a separate authority fund. | Described in a 2012 PIB release; that account does not establish that the proposal became law (PIB release on the earlier proposal). |
The existence of an earlier proposal does not mean it is the same plan as the current one. Nor does the cited history settle which institutional model would best improve regulatory performance.
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What should the government resolve before adopting a model?
More funding and hiring flexibility could help build regulatory capacity, but the structure alone cannot show whether the regulator will become more effective. Any final plan would need to make clear how it will preserve public accountability while strengthening the regulator’s ability to do its work.
Quick Recap
- Independence and oversight: define which decisions the regulator can make independently and how the Ministry and Parliament will scrutinize its performance.
- Appointments and expertise: explain how leadership selection, specialist recruitment and pay arrangements will address skills gaps while protecting impartiality.
- Funding and passenger impact: disclose how fees and penalties would be set, where the money would go, and whether any passenger levy would be imposed.
- Transparency: publish budgets, audited accounts, performance information and reasons for regulatory decisions.
- Safety mandate: preserve clear public responsibility for aviation safety regardless of whether the regulator remains DGCA or becomes a separate authority.
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