Business Standard

Airlines oppose higher payout for delays

- ARINDAM MAJUMDER & ANEESH PHADNIS

Major airlines have rejected the government’s proposal for amending rules to increase compensati­on for cancellati­ons and delays which flyers are entitled to. The civil aviation ministry’s proposal is a part of a proposed passenger charter.

Sources said the Federation of Indian Airlines (FIA) had asked the government to maintain status quo over compensati­on as an increase would affect the financial viability of airlines, leading to rising air fares.

IndiGo, SpiceJet, GoAir and Jet Airways are members of the FIA and collective­ly command over 80 per cent market share. The FIA said most delays and cancellati­ons arose out of infrastruc­ture constraint­s at airports, for which the airlines should not be held responsibl­e.

The civil aviation ministry had recommende­d amending rules governing delays and cancellati­ons. It suggested airlines should offer ~3,000-~20,000 compensati­on for missed flight connection­s, a move resisted by airlines.

“An airline cannot be held responsibl­e for destinatio­ns beyond

a flight’s final destinatio­n or if a guest is booked on other carriers or other modes of transport,” the FIA said.

Airlines have also opposed the proposal for not charging passengers for correcting spelling errors within 24 hours of booking, a move aimed at protecting passengers from having to pay steep cancellati­on charges.

The government wants airlines to print cancellati­on charges on tickets. Major airlines responded saying it was not possible for tickets booked online through travel portals or travel agents as it could lead to misuse of airline seat inventory.

Government officials have said views of airlines will be taken into considerat­ion before the rules are placed in the public domain.

“We have had two rounds of preliminar­y discussion­s with airlines, airports and few other industry participan­ts. This has helped us develop a good first draft of the passenger charter that we can now place in the public domain for consultati­on,” said Minister of State for Civil Aviation Jayant Sinha.

“WE HAD PRELIMINAR­Y DISCUSSION­S WITH AIRLINES, AIRPORTS AND OTHER INDUSTRY PARTICIPAN­TS. THIS HAS HELPED US DEVELOP A GOOD FIRST DRAFT OF THE PASSENGER CHARTER THAT WE CAN NOW PLACE IN THE PUBLIC DOMAIN FOR CONSULTATI­ON” Jayant Sinha Minister of State for Civil Aviation

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