AERA Unlikely To Extend 25 Per Cent Airport Charges Waiver

15 Jul 2026 CW Team

The Airports Economic Regulatory Authority (AERA) is unlikely to extend the 25 per cent waiver on landing and parking charges for domestic airlines at major Indian airports, signalling the end of a temporary relief measure. The concession ran for a three-month period and was intended to ease immediate financial pressure on carriers. With no fresh directive from the regulator, airport operators are set to return to the prevailing aeronautical tariff structure.

The waiver was announced on seven April following directions from the Ministry of Civil Aviation and reduced elements of the aeronautical tariff for all domestic flights. The measure was introduced in response to cost pressures stemming from the West Asia conflict and rising aviation fuel prices that had increased carriers' operating expenses. Landing and parking charges form a component of airport revenue and are payable by airlines for use of runway and apron infrastructure.

Industry sources indicated that airport operators had not received communication from AERA about extending the reduction, suggesting that the concession has lapsed. The reinstatement of full landing and parking charges is expected to marginally increase airlines' operating costs at a time when carriers are navigating multiple cost pressures. Aviation analysts noted that these charges account for only a portion of an airline's cost structure, and any effect on fares may therefore be limited.

Airport operators had expressed concern over revenue loss during the relief period and will seek to restore tariff recoveries as the regulatory concession ends. The move comes amid robust passenger demand in India's aviation sector, with carriers balancing short-term profitability and longer-term network and fleet expansion plans. Regulators, airports and airlines will likely continue to monitor cost trends and market conditions as stakeholders assess the most sustainable path forward.

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