Tuesday, February 05, 2013

Charge low fares to prevent seats going empty: Govt to airlines

New Delhi: Concerned over flight seats going empty, the government has asked Indian carriers why could they not charge low spot fares on the travel date to fill up about 30 per cent of their seats that go vacant.
Observing that highly exorbitant rates were being charged closer to the travel dates, Civil Aviation Ministry officials, however, made it clear that the government had no intention to decide airfares which have to be determined by the market.
They pointed out that the average passenger load factor for all Indian airlines hovered around 70-75 per cent, implying that the remaining seats on a flight go empty.
The officials, at a meeting of the Civil Aviation Economic Advisory Committee here yesterday, suggested that the airlines could charge last minute spot-fares at low fares to fill up their seats.
05/02/13 PTI/Economic Times