The Airports Economic Regulatory Authority (AERA) is unlikely to extend the 25% waiver on landing and parking charges for domestic flights at major airports, PTI reported, quoting sources. This could effectively end the relief measure that was introduced three months ago to help offset the impact of the West Asia crisis.
PTI quoted sources and stated that airport operators have not received any communication extending the reduced charges, meaning the waiver has lapsed by default.
Financialexpress.com could not verify the news independently. We have sought clarification from AERA and will update as soon as we hear from them.
Background to the waiver
The waiver was first announced by AERA on April 7, acting on a directive from the Civil Aviation Ministry. It came at a time when the West Asia turmoil had created financial strain for domestic airlines, prompting the regulator to step in with temporary relief.
In its order, AERA had stated that landing and parking charges, which form part of the aeronautical tariff, would be reduced by 25% from prevailing rates at all major airports. The reduction was to apply to all domestic flights for a period of three months, with immediate effect from the date of the order.
The regulator had noted at the time that it was acting in line with the government’s directive. “After due consideration, the authority has decided to implement the directions issued by the government,” AERA had said in the April order.
Airport operators had sought an end to the waiver
The development follows a request last month from the Airport Operators Association (APAO), a body representing private airport operators, which had urged the ministry to discontinue the reduced charges once the three-month period concluded. The association had also asked that operators be allowed to recover the fees that had been foregone during the waiver period from airlines.
With the three-month window now over and no fresh order in place, the reduced charges are expected to revert to their original levels, as per PTI.