Domestic air travel becomes costlier as govt increase caps by 9.83 to 12.82%

Domestic air travel had become costlier as the Civil Aviation Ministry aims to raise the lower and upper caps on fares by 9.83 to 12.82 per cent, read an official order.

Domestic air travel had become costlier as the Civil Aviation Ministry aims to raise the lower and upper caps on fares by 9.83 to 12.82 per cent, read an official order. In India, the airlines had imposed lower and upper limits slots on airfares as per the travelled distance and flight duration when services were resumed on May 25, 2020, after a two-month extensive lockdown was imposed due to the crisis.

The lower caps were levied to help the airlines tackle the financial exigencies caused due to coronavirus-related travel restraints. The upper caps were imposed to ascertain that the passengers are not charged huge amounts when the demand for seats is at a peak.

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In an order issued on August 12, 2021, the ministry ordered to increase the lower limit for flights by 40 minutes of duration from Rs 2,600 to Rs 2,900, which resulted in a significant increase of 11.53 per cent. The upper cap for flights under 40 minutes of duration surged to 12.82 per cent that is approximately Rs 8,800.

On the other hand, flights with a duration between 40-60 minutes comprise a lower limit of Rs 3,700 instead of the set price of Rs 3,300 now, the order displayed.

On Thursday, The upper cap on these flights was zoomed by 12.24 per cent to Rs 11,000 approximately. The flights with a duration between 60-90 minutes slot witnessed a lower limit of Rs 4,500 a whopping increase of 12.5 per cent. While the upper cap on these flights was surged by 12.82 per cent to Rs 13,200 this Thursday.

Currently, domestic flights following the duration between 90-120, 120-150, 150-180 and 180-210 minutes have lower caps of Rs Rs 5,300, Rs 6,700, Rs 8,300 and Rs 9,800, respectively, stated the ministry’s order.

However, domestic flights of duration between 90-120, 120-150, 150-180 and 180-210 minutes possessed the lower limits of Rs 4,700, Rs 6,100, Rs 7,400 and Rs 8,700, respectively, but witnessed a sudden change hereafter. The lower cap on flights between the slot 120-150 minutes duration was higher at 9.83 per cent to Rs 6,700, according to the latest order.

On Thursday, the upper caps on domestic flights of similar duration saw an increase of 12.3 per cent, 12.42 per cent, 12.74 per cent and 12.39 per cent, respectively, the order said. The caps details announced by the government in its new order exclude the passenger security fee, user development fee for the airports and the GST.

These charges were included on top while the ticket is being booked by the passenger. The ministry’s order on Thursday averred that “The government has taken this decision of increasing the lower limits as well as the upper limits keeping in mind the prevailing situation of COVID-19 in the country.”

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