New Delhi: In a move that could boost AirAsia’s India operations, the Airports Authority of India has said that it is willing to give a discount on landing and parking charges to the start-up airline or any other airline if it launches flights connecting new airports and builds traffic potential there.
In the case of AirAsia, such routes could be Chennai-Mysore, Chennai-Puducherry or Chennai-Hampi, authority officials said.
The discount will be on a graded basis, which means AirAsia or any other airline will get a discount of 75 per cent in landing and parking charges in the first year of operations provided enough flights are operated to new airports. In the second year, the discount will be 50 per cent and it will come down to 25 per cent in the third year.
The implementation of the proposal, awaiting clearance from the Civil Aviation Ministry, will help both the start-up and new airlines, as landing and parking charges constitute 10-12 per cent of the cost of operations of an airline.
06/07/13 Ashwini Phadnis/Shishir Sinha/Business Line
To Read the News in full at Source, Click the Headline
In the case of AirAsia, such routes could be Chennai-Mysore, Chennai-Puducherry or Chennai-Hampi, authority officials said.
The discount will be on a graded basis, which means AirAsia or any other airline will get a discount of 75 per cent in landing and parking charges in the first year of operations provided enough flights are operated to new airports. In the second year, the discount will be 50 per cent and it will come down to 25 per cent in the third year.
The implementation of the proposal, awaiting clearance from the Civil Aviation Ministry, will help both the start-up and new airlines, as landing and parking charges constitute 10-12 per cent of the cost of operations of an airline.
06/07/13 Ashwini Phadnis/Shishir Sinha/Business Line
