The Ministry of Civil Aviation plans to replace the DGCA with
CAA. DGCA is a regulatory body governing the safety aspects of
civil aviation in India. The CAA on the other hand, will have
complete financial autonomy being financed by a fund known as the
Civil Aviation Authority of India Fund. The Fund will be
established by levying a fee on passengers in addition to the
budgetary allocation by the government. The estimated cost of
setting up CAA will be INR 1120 million. The CAA shall be
responsible for air safety, airspace regulation, setting of
aviation standards, licensing of pilots and consumer protection.
The powers of CAA will include: (a) regulating air safety and
ensuring better management of civil aviation; (b) conducting
investigations, seize and punish; and (c) issuing licenses,
permits, directions under the Aircrafts Act, 1934.
