Of late, transformation plans have been introduced by the aviation authorities, focusing on better connectivity, customer service, technology, reliability, and hospitality. Nevertheless focus must remain on fixing the basics.
Last year, the Administrative Council (AC), headed by Lieutenant Governor, announced to reduce the Sales Tax on Aviation Turbine Fuel to one per cent. Till then, J&K charged 26.5 per cent on sale tax on ATF which accounts for nearly one-third of the total cost of running an airline.
While the high level of taxes was keeping the air fare rates higher, the government has underlined and rightly too that such steps have been significant alongside other measures taken in the last year or so to reduce fare cost and in the process increase air travel.
For example, with the reduced airfare on account of reduction in Sales Tax on ATF, the air-traffic was expected to increase and in turn give a boost to both tourism and economic activities.
As per official data, Srinagar airport is setting a new record in terms of number of flights per day. Within a year, from 20-25 daily flights, today 80 to 100 flights are operating at Srinagar airport every day.
Additionally, late evening flights were allowed both at Jammu and Srinagar Airports. These measures are expected to increase affordable airfares for flights operating to Jammu and Srinagar airports as per the government.
Besides drastic reduction in sales tax on ATF, the government extended air strip at Jammu Airport and consequently, airlines were allowed to operate flights to full capacity. After the decision to abolish the load penalty at Jammu airport, the number of flights has increased, the people, especially of Jammu division, got better and economical facilities to travel to Delhi and other parts of the country, and the business sector has also gained new dynamism.
While the government said that the decision is part of slew of measures taken by it recently to promote air traffic to Jammu and Kashmir, Civil Aviation Minister Jyotiraditya Scindia heaped praises on the administration. He termed the decision as a ‘new dawn’ for air connectivity in the region. Lower operational costs for airlines have a causal effect on flight connectivity.
The aviation industry was counted among the most impacted among all sectors because of the covid-19 pandemic and the recent measures have salvaged it to some extent. The government is expected to take all steps required in the direction towards stabilizing the airfares and increasing better connectivity.
