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Airlines seek tariff relief to survive coronavirus impact

DGCA’s appeal to airlines to refund passengers’ money without deducting cancellation charges has added to the existing woes.

Arshad Khan

NEW DELHI: The airline industry, which is badly hit by the Coronavirus pandemic, has sought for temporary tariff relief from the government in the form of 30 per cent reduction in aeronautical charges for the next six months.

“We would like to appeal to your office to offer relief measures to the airlines, by means of 30 per cent reduction in aeronautical charges for a period of six months…airlines are in the brunt of a recessionary situation with decrease private demand,” the Board of Airline Representatives in India (BALR) said in a letter to the aviation ministry.

Aeronautical charges comprise cost related to route and terminal navigation services. The ongoing situation is causing a lot of concern, due to flight cancellations and travel restrictions, imposed by various countries, said BALR, adding “It is becoming difficult to sustain flight operations, thereby affecting the load factors of all airlines. Demand for air tickets has nose-dived in recent weeks as the government has imposed travel restrictions on flights from affected countries.

DGCA’s appeal to airlines to refund passengers’ money without deducting cancellation charges has added to the existing woes. The situation is so tense for airlines that GoAir stopped all its international flights for a month. The airline said it will send some of its employees on leave without pay to survive in the challenging environment. “… forced to take certain measures – we are temporarily suspending all our international operations, starting March 17, 2020 until April 15, 2020. It has also initiated a short term and temporary rotational leave without pay program...” GoAir said.

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