With the beginning of September, the government-set limit on airfares has ended, due to which airlines can now fix fares according to their own.
Airplane travel can be cheap
If you are preparing to travel by air, then this news is of your use. Your airfare is expected to be cut soon. In fact, from Wednesday, August 31, domestic airlines have got the right to fix the airfare for domestic flight. For the last 27 months, the limit imposed by the government on the lower and upper cap of air fare has ended. Airlines can now decide the airfares themselves like they were doing before Corona.
Giving information about this decision in the second week of this month, the Aviation Ministry had said that after reviewing the status of passenger demand for domestic flight operations and air travel, it has been decided that the air fare band for domestic air travel should be increased. The decision has been taken to finish.
Rent limit imposed in May 2020
When the lockdown was imposed in March 2020 due to the Corona epidemic, the flight service was stopped. When domestic flights started from 25 May 2020, the government allowed flights with only 33 percent of the flights and the fixing of lower and upper limits of airfares was started. In which airlines could not charge less than Rs 2900 and more than Rs 8800 for 40 minutes of air travel. GST had to be paid separately on this.
The lower band was implemented to protect the airlines and the upper band was implemented for the convenience of the passengers. But after 27 months, the government has withdrawn this system. Civil Aviation Minister Jyotiraditya Scindia had also said on the decision that the decision to remove the ceiling on the airfare of domestic flight has been taken after reviewing the air fuel prices and the same daily demand. Stability has come in the sector and we expect to see tremendous growth in domestic air traffic.
The cost of airlines increased due to the rise in crude oil
Let us tell you that after the increase in crude oil prices due to the Russo-Ukraine war, there was a record increase in the prices of air fuel. Due to which the financial burden on the airline companies increased. While he also did not have the right to decide the fare of the ticket. However, the prices of air fuel have come down in recent times.
The country’s largest airline IndiGo said the removal of airfares will help airlines to increase their passenger load factors by offering concessional fares. The country’s second largest airline Vistara said that it will continue with a balance pricing strategy. Jyoti Mayal, President, Travel Agents Association of India (TAAI) said that India is a huge market and with the development of aviation infrastructure, existing airlines are expanding their fleet. With the increase in competition, the consumer will get a lot of benefit.