NEW DELHI: In a bid to provide some relief to airlines severely affected by the US-Iran war, the aviation ministry has directed 34 major airports to reduce landing and parking charges for domestic flights by 25 per cent for three months. Accordingly, the Airports Economic Regulatory Authority (AERA) on Tuesday issued an order directing airport operators in Delhi, Mumbai, Bengaluru, Hyderabad and others to do so for a period of three months from Tuesday. The government is looking for ways to provide some relief to Indian airlines, most of which are struggling to survive. Therefore, the increase in domestic ATF this month is limited to 25%. With the assembly elections in important states like Kerala and West Bengal coming up, the aviation ministry is doing everything possible to try and ensure that at least the rise in domestic air tickets does not defy gravity. The ministry made a rare intervention in airport tariffs given that most airports operate under the PPP model.The order reads: “Landing and parking charges (part of aviation tariff) at all major airports shall be reduced by 25% from the prevailing tariff. This reduction shall be effective immediately and shall be applicable to all domestic flights for a period of three months. The decision shall be reviewed before the end of the three-month period. Any unrecovered situation in the total revenue requirement shall be rectified during the determination of tariff in the next control period.”“This month, oil sales PSUs have increased the base price of aviation turbine fuel for domestic and international flights by more than 25% and more than 100%, respectively. Combined with western airspace restrictions forcing airlines to take longer routes to Europe and the Americas, airlines have been hit hard, in addition to a sharp reduction in flights on the lucrative Gulf route, coupled with a weak rupee. Air India Group and IndiGo have scrapped fuel surcharges.
The government requires 34 major airports to reduce parking fees for domestic flights taking off and landing for three months


