The Ministry of Civil Aviation on Thursday announced a 25 per cent reduction in landing and parking charges for domestic airlines for a period of three months, as part of efforts to ease operational costs amid global disruptions in aviation, officials said.
The decision comes in the wake of rising crude prices triggered by the West Asia conflict, which has affected global air operations. Earlier, the government had capped the hike in aviation turbine fuel (ATF) prices for domestic carriers at 25 per cent, even as international fuel costs surged sharply.
Speaking about the new measures, Civil Aviation Minister Ram Mohan Naidu said, “Under the leadership of Prime Minister Shri Narendra Modi, the primary focus of the government in the aviation sector has been to make flying a more affordable and convenient travel option for passengers. Even in the prevailing challenging situation, when global air operations are impacted, we have ensured that cancellations and rising fuel costs do not severely affect the operations of our domestic carriers. While ATF costs globally have risen by more than 100 per cent, we have passed on only a moderated increase capped at 25 per cent.”
He added, “Now, with the ultimate aim of supporting airlines and, in turn, passengers, airfare increases are being further contained by reducing landing and parking charges levied by airport operators. This step is part of the Ministry’s overall effort to keep the aviation sector stable during this volatile period and to ensure ease of flying for passengers.”
Move expected to ease operational costs for airlines and support affordable domestic travel
The Airports Economic Regulatory Authority of India (AERA) has been directed to reduce landing and parking charges at all major airports under its purview by 25 per cent, with any under-recovery to be adjusted during tariff determination in the next five-year control period. The Airports Authority of India (AAI) has also been instructed to apply the same reduction at non-major airports.
Officials said the measure is expected to reduce landing and parking charges payable by airlines at major airports by approximately Rs 400 crore during the three-month period.
The ministry said it will continue to closely monitor the situation and take further steps if necessary to ensure the viability of domestic air operations and safe, affordable air travel for passengers.