Question : Higher Air Fares on Non-Trunk Routes

(a) whether the Government is aware that the airfares on non-trunk routes are higher and passengers are paying up to over 50% higher fares than the last year even after lower fuel prices and if so, the reasons therefor;

(b) whether the Government has taken any steps to match the demand and supply on non-trunk routes and if so, the details thereof along with the steps taken/being taken by the Government in this regard;

(c) whether the Government has also any proposal to include Aviation Turbine Fuel (ATF) in GST provisions to have uniform ATF cost throughout the country and if so, the details thereof;

(d) the percentage of share of ATF in the total operating cost of the airline and the components of taxes of the ATF per kilometer;

(e) whether the Government has received complaints on steep rise in air fares in some of the sectors including Gulf-Kerala sector especially during peak seasons, if so, the details thereof;

(f) whether the Union Government has instructed the airline operators to keep a maximum limit for air fare in a particular sector and if so, the details thereof and if not, the steps taken by the Government to curb the high price escalations due to hunting fare system; and

(g) the steps taken/being taken by the Government to provide quality service and improve the efficiency of public and private airlines in the country?

Minister of State in the Ministry of CIVIL AVIATION

(Shri Jayant Sinha)

(a): No such analysis have been carried out by Directorate General of Civil Aviation (DGCA).;

(b): Government has laid down Route Dispersal Guidelines with a view to achieve better regulation of air transport services taking into account the need for air transport services of different regions of the country. It is, however, up to the airlines to provide air services to specific places depending upon the traffic demand and commercial viability. As such, airlines are free to operate anywhere in the country subject to compliance of route dispersal guidelines issued by Government.

(c): An Act further to amend the Constitution of India has been passed by the Parliament and published in part II -Section 1 of the Gazettee of India on 8th September, 2016. As per Clause 12(5) the Goods and Services Tax Council shall recommend the date on which the goods and services tax be levied on petroleum crude, high speed diesel, motor spirit (commodity known as petrol), natural gas and aviation turbine fuel.

(d): No such analysis has been carried out by DGCA.

(e): No complaint substantiating the violation of published tariff by scheduled domestic airlines has been received in recent past.

(f): Air fares are not regulated by the Government.With the repeal of Air Corporation Act in March 1994, the provision of air fare approval was dispensed with by the Government.;;

(g): Following Civil Aviation Requirements/ Air Transport Circulars have been issue by DGCA specifying requirements to protect the interest of the passengers travelling by air.;
Civil Aviation Requirement, Section 3- Air Transport, Series M,;

1 Part-i: Carriage by Air of Persons with Disability and/ or Persons with Reduced Mobility.;

2 Part-ii: Refund of Airline tickets to passengers of public transport undertakings.;

3 Part-iii: Facilities to be provided to passengers by airlines due to denied boarding cancellation of flights and delays in flights.;

4 Part-iv: Facilitation in case of diversion.;
Air Transport Circulars ;

1. ATC 2 of 2015 - Unbundle of services and fees by scheduled airlines.;

2. ATC 01 of 2014 - Facilities/Courtesies to esteemed traveling public at airports.;

3. ATC 2 of 2010 - Publishing of Tariff - Rule 135 of Aircraft Rules, 1937 reg.;
In order to improve the efficiency of scheduled domestic airlines, DGCA has issued following circulars;;

1. ATC 01 of 2013 - Procedure to be followed to mitigate flight delays.;

2. ATC 04 of 2009 - Airport level monitoring of On-Time Performance(OTP).