Govt cuts airport charges by 25% to support airlines amid West Asia crisis

Civil Aviation Minister Ram Mohan Naidu said the Centre will cut landing and parking charges by 25% for domestic flights for a period of three months, in a move aimed at easing operational pressure on airlines.

In Short

• Government cuts landing and parking charges by 25% for three months
• Measure aims to ease rising fuel cost impact on domestic airlines
• Airports Economic Regulatory Authority to apply cuts at major airports

The government has announced a fresh set of relief measures for domestic airlines as global aviation faces turbulence triggered by the ongoing West Asia crisis, seeking to cushion carriers from rising fuel costs and prevent a sharp surge in airfares.

Civil Aviation Minister Ram Mohan Naidu said the Centre will cut landing and parking charges by 25% for domestic flights for a period of three months, in a move aimed at easing operational pressure on airlines.

The decision comes as part of a broader strategy by the Ministry of Civil Aviation to stabilise the sector amid a steep rise in global aviation turbine fuel (ATF) prices due to geopolitical tensions.

The Ministry has directed the Airports Economic Regulatory Authority of India to implement the reduction across all major airports under its jurisdiction with immediate effect.

In parallel, the Airports Authority of India has been instructed to extend the same 25% cut in landing and parking charges at non-major airports, ensuring uniform relief across the domestic aviation network.

The latest intervention builds on an earlier step where the government capped the pass-through of ATF price increases for domestic carriers at 25%, even as global fuel prices surged sharply.

This calibrated approach, the government said, is intended to help airlines manage costs without significantly passing on the burden to passengers.

“Even in the prevailing challenging situation, we have ensured that cancellations and rising fuel costs do not severely affect domestic operations,” Naidu said, adding that the government remains focused on keeping air travel affordable and accessible.

Officials said the reduction in airport charges is expected to translate into savings of roughly Rs 400 crore for airlines over the three-month period.

Any under-recovery faced by airports will be adjusted during the next tariff cycle, ensuring that airport operators remain financially viable.

The Centre has been in constant engagement with stakeholders, including airlines, airport operators and regulators, as it navigates the evolving crisis. The Ministry indicated that additional measures could be considered if the situation worsens.

While global aviation continues to grapple with disruptions and cost pressures, the government maintained that India’s domestic aviation sector remains resilient, supported by timely policy interventions and steady passenger demand.

- Ends