India: HAL’s Certification Lapses Cost India ₹108 Crore, Says Parliamentary Committee

HAL Helicopter

A Parliamentary committee has delivered a sharp rebuke to state-run aerospace giant Hindustan Aeronautics Limited (HAL) over prolonged delays in securing international civil aviation certifications for its helicopters, warning that the lapses have undermined India’s export ambitions and caused substantial financial losses.

In a report tabled in Parliament on December 12, the Committee on Public Undertakings (CPU) revealed that certification delays have resulted in a direct financial loss of more than ₹108 crore. More significantly, the panel said, the setbacks have damaged India’s credibility as an emerging manufacturer of civil rotary-wing aircraft at a time when the global helicopter market is intensely competitive.

The Committee highlighted a particularly concerning case in which HAL took over a decade to obtain ‘type certification’ from the European Union Aviation Safety Agency (EASA) for one of its helicopter platforms. EASA certification is widely regarded as a global benchmark, often essential for accessing markets across Europe, South America, Southeast Asia and beyond.

According to the report, HAL initially assumed that its long experience with military airworthiness certification would translate smoothly into civil aviation approvals. However, the Committee noted that this assumption proved deeply flawed. Civil certification regimes place far greater emphasis on passenger safety, system redundancy, maintenance cycles and commercial operability—standards that differ markedly from those governing military aircraft.

The panel observed that HAL failed to engage adequately with international civil aviation regulators during the early stages of helicopter design and development. This lack of early coordination resulted in repeated design changes, extensive re-testing and prolonged documentation processes once certification was sought. As delays mounted, prospective foreign buyers reportedly lost confidence, leading to the withdrawal of several potential export contracts.

“The financial loss of ₹108 crore represents only the immediate and quantifiable impact,” the Committee noted, adding that the reputational damage inflicted on HAL and, by extension, India’s aerospace ecosystem is far more difficult to measure. Without internationally recognised civil certification, even technically sound platforms such as the Advanced Light Helicopter (ALH) Dhruv face formidable barriers in overseas markets, the report said.

The Committee warned that unless systemic reforms are undertaken, similar issues could plague future indigenous helicopter and aircraft programmes. It stressed that civil certification must be treated as a core design requirement rather than an afterthought pursued only once a platform is technically mature.

In its recommendations, the CPU urged the Ministry of Defence (MoD) and the Ministry of Civil Aviation to move beyond feasibility studies and adopt a coordinated, whole-of-government approach. A key recommendation was for India to negotiate formal bilateral agreements with major international certification bodies, particularly EASA. Such agreements could allow partial or phased recognition of Indian certification processes, significantly reducing the time, cost and uncertainty involved in securing global approvals.

HAL, in its submission to the Committee, defended its approach by stating that its primary mandate remains meeting the operational requirements of the Indian armed forces. The company said civil and international certifications are pursued only for platforms that demonstrate clear civilian market potential. HAL also informed the panel that its Research and Development manual has been revised to integrate military norms alongside Directorate General of Civil Aviation (DGCA) civil standards at the design stage itself.

The company further highlighted the work of its dedicated Airworthiness Group, which it said maintains continuous engagement with both the DGCA and EASA to bridge regulatory gaps and align certification processes.

The Ministry of Defence, responding to the Committee’s observations, assured Parliament that it would examine the feasibility of strengthening bilateral ties with key international certification authorities. The Ministry said it plans to work closely with the Ministry of Civil Aviation to leverage diplomatic and regulatory channels to accelerate approvals for future indigenous aircraft and helicopter programmes.

The Committee concluded by cautioning that India’s ambition to become a global aerospace manufacturing hub will remain constrained unless certification delays are addressed decisively, warning that technological capability alone is insufficient without timely international regulatory acceptance.

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