New Delhi: The cabinet today approved the much awaited civial aviation policy, which includes a slew of passenger friendly measures, radical increase in air connectivity and plan to make air travel more affordable.
Eyeing high growth in the coming decade, the aviation ministry also aims to curb the indiscriminate fare policies of some airlines, which includes keeping the cancellation charges below base fare.
Here are 12 major highlights of the new policy
1) A cap of Rs 1200 has been decided for all flights of less than 30-minute duration
2) In case of flight cancellations announced within 24 hours of departure, the compensation amount has been enhanced to up to Rs 10,000.
3) The government has relaxed the rule according to which only those airlines which have al least 20 aeroplanes and are in operation for minimum five years can fly abroad.
4) Refunds will be applicable on all fares, including promotional and special rates.
5) The new policy says the centre will refund 80 per cent of the losses incurred by airlines due to the cap in fare on such routes.It shall be the prerogative of passenger to decide whether to get cash refund or hold the amount in credit.
6) It proposes increasing connectivity to the country’s smaller towns and cities by offering sops and incentives to airlines to fly on these routes.
7) Even when booked through travel agents / online portals, Airlines shall have to ensure refunds within 15 days to domestic passengers
8) The government is aiming the sale of 30 crore air tickets per year in the domestic sector by 2022 and 50 crore by 2027. For international travel, the target is 20 crore by 2027.
9) The draft policy proposes a 2 per cent cess in domestic and international tickets for the regional connectivity fund to be set up.
10) Compensation significantly enhanced to upto INR 20,000/- in case of denied boarding due to over-booking.
11) This will benefit new operators like AirAsia and Air Vistara. AirAsia group chief Tony Fernandes tweeted, “Initial reports on India is superb. Of course I think 20 aircraft is to many but thank you @narendramodi. Big day for indian Avaition (sic).”
12) Jet Airways since January last year has a zero penalty rule for cancellations made before 24 hours of departure if the reservation is made through their website or the mobile app.
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