Civil aviation minister directs setting up mechanism to monitor airfare

Civil Aviation Minister Hardeep Singh Puri on Friday said that he has ordered setting up a mechanism to regularly monitor airfares in the country.

He, however, said the government currently does not have any intention to regularise the fares.

"I have ordered for setting up a mechanism in the Civil Aviation Ministry and the DGCA (Directorate General of Civil Aviation) to monitor air fares on a regular basis. We will use this data (obtained) to discuss with them (airlines)," the minister told reporters here.

Asked if the government will regularise airfares, Puri said, "It is basically to monitor on an ongoing basis how airlines pricing is working. If we can get a lesson from that, we will have a discussion with the CEOs of airlines."

Puri said the Centre is also concerned about higher taxes on aviation turbine fuel, adding he has requested the state governments to reduce excise duty on it.

"There are higher taxes on airlines turbine fuel. I am in touch with Union Finance Minister Nirmala Sitharaman on how excise duty can be reduced. I have written to chief ministers to bring down excise duty," he said.

On the issue of stakes sale in the Air India, the Union minister said the government is determined to sell the airlines.

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel