The Ministry of Civil Aviation has announced a 25% reduction in landing and parking charges for domestic airlines at both major and non‑major airports, effective immediately for a period of three months. Why This Matters - Global Context: The ongoing West Asia crisis has sharply increased crude oil prices, pushing Aviation Turbine Fuel (ATF) costs up by more than 100% worldwide. - Domestic Relief: India capped the ATF price hike for domestic carriers at 25% and now further eased operational costs by reducing airport charges. - Financial Impact: This measure is expected to save airlines approximately ₹400 crore over three months. Government’s Position Civil Aviation Minister Ram Mohan Naidu emphasized that the government’s priority is to keep flying affordable and convenient for passengers, while ensuring airlines remain viable despite global volatility. He noted that these interventions are part of a multi‑layered response to stabilize the sector. Implementation - Major Airports: The Airports Economic Regulatory Authority of India (AERA) has ordered the 25% reduction, with under‑recoveries to be adjusted in the next five‑year tariff cycle. - Non‑Major Airports: The Airports Authority of India (AAI) has also applied the same reduction. - Duration: Applicable for three months across all domestic flights. This move, alongside moderated ATF pricing, reflects a calibrated strategy to shield Indian carriers from global shocks while maintaining affordable air travel for passengers.
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