Travellers booked on SpiceJet from Dubai got a nasty surprise this week. All of the airline’s flights from Dubai International Airport to India were cancelled on Friday. The reason is a payment dispute over airport service dues. If you have a ticket, read on before you go to the airport.
What Happened
Dubai Airports, which runs Dubai International and Al Maktoum International, stopped check-in services for SpiceJet on Thursday, November 12. Reports say the airline owed about AED 14 million, which is around Rs 35.8 crore. Dubai Airports had told SpiceJet earlier in the week that no payment had come in since October 13, and that check-in would stop unless the full amount was cleared.
On Thursday, only two delayed flights were allowed to check in passengers. These were SG-5115 to Ahmedabad and SG-5106 to Delhi. On Friday, DNATA, the airport’s service provider, did not give SpiceJet any check-in counters, and no SpiceJet flight left Dubai for India.
Flights Cancelled
On November 12, four flights to Amritsar, Jaipur, Mumbai and Delhi were cancelled. An internal message from the airline blamed non-payment to DNATA. Another internal message said these four flights were later set to run as ferry flights under the same numbers, which means they travel without passengers.
The Dubai Civil Aviation Authority also summoned SpiceJet’s station manager, because the airline had not announced the cancellations properly. The airport asked the airline to arrange other travel and a place to stay for stranded passengers.
| Date | What happened |
|---|---|
| October 13 | Last payment received, according to the airport operator |
| Monday this week | Airport warns that dues have reached AED 14 million |
| November 12 | Check-in suspended, four flights cancelled, two delayed flights allowed |
| Friday | No SpiceJet flight leaves Dubai for India |
SpiceJet’s Response
A SpiceJet spokesperson said the airline is working with the concerned authorities to solve the matter. The statement added that it has enough bank guarantee cover and wants to fix the issue as soon as possible. The airline did not share more details, and Dubai Airports had not yet replied to requests for comment at the time of the reports. The exact amount has not been officially confirmed by the airline.
A Shrinking Airline
Dubai is the only international destination SpiceJet flies to, so this is a serious blow. A few months ago, the airline ran about 75 flights a week from Dubai. That number has fallen by half, and daily flights had dropped to six. Until Wednesday, there was one daily flight each to Mumbai, Ahmedabad, Jaipur and Amritsar, and two to Delhi.
The wider picture is also tough. Reports say the fleet has shrunk to around 12 aircraft, and only nine are working. Here are some numbers that show the slide.
| Measure | Figure |
|---|---|
| Domestic market share, January | 3.9% |
| Domestic market share, September | 0.6% |
| Domestic passengers, January | About 592,000 |
| Domestic passengers, September | About 73,000 |
| Flights cancelled in September | 20.29% |
| On time performance at major airports | 16.6% |
The airline also owes about Rs 63 crore to small businesses beyond the 45 day limit for April to September, according to its filings. It has not announced quarterly results since February. On Thursday, its shares closed at Rs 8.26 on the BSE after hitting the 5 per cent upper limit. Some Indian airports have also been holding back clearance for flights over unpaid fees, so the airline pays charges before each flight under a cash and carry model.
What Should Passengers Do?
If you are booked on a SpiceJet flight from Dubai, do not go to the airport without checking first. Contact the airline and check your booking status. Ask about rebooking or a refund, and keep your ticket, receipts and messages safe. If you are already stuck, the airport has asked the airline to arrange travel and a hotel stay, so ask for this in writing. It may also be wise to look at tickets on other airlines, since flights during peak travel periods can fill up quickly.
Plan Ahead
Disruptions like this can ruin family trips, work plans and weddings. A short check of your flight a day or two before departure can save a lot of stress.
If you want a break from the aviation news, here is a look at every penthouse sold out at Shah Rukh Khan’s Shahrukhz Residences launch in Dubai. Beach fans also have good news, because Sharjah has reopened all its beaches after the oil spill scare.
For now, everyone is waiting to see if SpiceJet clears its dues and restarts its Dubai flights. Until then, stay in touch with the airline and keep a backup plan ready.
