AERA Mandates 25% Reduction In Airport Charges For Three Months

The Airports Economic Regulatory Authority (AERA) of India has directed major airports to reduce landing and parking charges for domestic flights by 25% for a period of three months.

The decision follows requests from carriers such as IndiGo and Air India, which are facing cost pressures linked to the conflict involving Iran and restrictions on certain airspace routes. Airlines have also been unable to use Pakistani airspace, adding to operational costs. The regulator said the reduction will take effect immediately. Any revenue shortfall for airports due to the temporary cut will be considered in future tariff reviews.

Airport and navigation charges form a key part of airline expenses after fuel and labour, according to the International Air Transport Association (IATA).