Bengaluru: India’s aviation sector has received a significant boost as Union Civil Aviation Minister Ram Mohan Naidu announced a 25% reduction in landing and parking charges for domestic airlines.
The move, introduced by the Ministry of Civil Aviation, aims to ease operational cost pressures on airlines while ensuring that air travel remains affordable for passengers amid rising fuel prices.
Relief Amid Rising ATF Costs
The decision comes in response to a sharp increase in Aviation Turbine Fuel (ATF) prices driven by global crude oil volatility, which has significantly impacted airline operating costs.
To implement the measure:
- Airports Economic Regulatory Authority (AERA) has been directed to reduce charges at major airports
- Airports Authority of India (AAI) will apply the same reduction at non-major airports
Immediate Implementation
- The 25% reduction is effective immediately
- It will remain in force for an initial period of three months
- The government estimates savings of around ₹400 crore for airlines during this period
Government’s Objective
Speaking on the initiative, Minister Ram Mohan Naidu emphasized that the government’s priority is to:
- Maintain stability in the aviation sector
- Prevent significant fare increases for passengers
- Support airlines in managing rising operational costs
Balancing Stakeholder Impact
The Ministry clarified that any revenue loss for airports due to reduced charges will be adjusted during future tariff revisions, ensuring a balanced approach for all stakeholders.
The government continues to engage with airlines, airport operators, and regulators to monitor the situation and take further measures if required.
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