Excess baggage fee in domestic flights may see 300% hike

Agencies
August 18, 2017

New Delhi, Aug 18: Economy class passengers carrying more than 15kg check-in baggage on domestic flights may now have to pay almost thrice as much for the first five kilos.

Low cost carrier (LCC) SpiceJet is considering raising the Rs 500 pre-booking charge for carrying 20kg to Rs 1,425.

Hikes are also being contemplated for pre-booking in other weight bands beyond 20kg. Moreover, those checking-in more than 15kg without pre-booking may end up shelling out Rs 300 per kg.

"This is a proposal that we are considering. A final decision will be taken shortly," said a SpiceJet source. The new charges, if finalised, will be implemented from Friday itself. The move comes after the Delhi high court stuck down DGCA's order of Rs 100 per kg cap on excess baggage fee for the 15-20kg band on Wednesday. A senior DGCA official said, "We are studying the HC order to see the reasons why our order has been set aside. We will take legal opinion and then decide on whether to go in for an appeal against the HC order."

Other airlines are likely to follow suit. Only Air India said that economy class domestic flyers can check-in up to 25kg without a charge.

Even if airlines do not hike their existing charges, the impact on flyers checking-in 20kg can be significant if they implement the charge kept for beyond 20kg to beyond 15kg now. For instance, two low cost carriers (LCC) charge Rs 300 and Rs 350 per kg as excess baggage fee for domestic travel beyond the allowed limit. A full service airline charges Rs 500 per kg from economy passengers carrying beyond 20kg.

The higher charges used to start from over 20 kg due to the DGCA cap of Rs 100 on the 15-20 kg band. Now with that set aside, airlines are free to charge the higher fees they had for over 20 kg check-in baggage from over 15 kg itself now. No airline formally commented on what their policy for excess check-in baggage fees will be after Wednesday's HC order. "We are just waiting for someone to make the first move and then the rest will follow. Only AI can offer higher baggage limit as the airline is headed in a different direction (referring to impending sell off),"said an airline official.

AirAsia India, when launched in 2014, did not want to give any free check-in baggage to passengers and was directed by DGCA to allow 15 kg check-in baggage - like all other Indian carriers -to domestic flyers without any extra fee. 

"We welcome this change proposed by the Delhi High court on the excess baggage fees. We will however evaluate this internally and see how this can be beneficial to both the guests as well as the airline, as we continue our endeavor to make flying affordable for all,"AirAsia India said in a statement.

Comments

Wellwisher
 - 
Friday, 18 Aug 2017

All price hike to be with Indian Air Act Limoration. Air Lines has no right to hike any flight charge. Dear brothers please study about implemented by the Central Goverment.

 

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Agencies
July 15,2020

New Delhi, Jul 15: Air India has started the process of identifying employees, based on various factors like efficiency, health and redundancy, who will be sent on compulsory leave without pay (LWP) for up to five years, according to an official order.

The airline's board of directors have authorised its Chairman and Managing Director Rajiv Bansal to send employees on LWP "for six months or for a period of two years extendable upto five years, depending upon the following factors - suitability, efficiency, competence, quality of performance, health of the employee, instance of non-availability of the employee for duty in the past as a result of ill health or otherwise and redundancy", the order said on Tuesday.

The departmental heads in the headquarter as well as regional directors are required to assess each employee "on the above mentioned factors and identify the cases where option of compulsory LWP can be exercised", stated the order dated July 14.

"Names of such employees need to be forwarded to the General Manager (Personnel) in headquarter for obtaining necessary approval of CMD," the order added.

In response to queries regarding this matter, Air India spokesperson said,"We would not like to make any comment on the issue."

Aviation sector has been significantly impacted due to the travel restrictions imposed in India and other countries due to the coronavirus pandemic. All airlines in India have taken cost-cutting measures such as pay cuts, LWP and firings of employees in order to conserve cash flow.

For example, GoAir has put most of its employees on compulsory LWP since April.

India resumed domestic passenger flights from May 25 after a gap of two months due to the coronavirus pandemic.

However, the airlines have been allowed to operate only a maximum of 45 per cent of their pre-COVID domestic flights. Occupancy rate in Indian domestic flights has been around 50-60 per cent since May 25.

Scheduled international passenger flights continue to remain suspended in India since March 23.

The passenger demand for air travel will contract by 49 per cent in 2020 for Indian carriers in comparison to 2019 due to COVID-19 crisis, said global airlines body IATA on Monday.

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News Network
February 22,2020

Washington, Feb 22: US President Donald Trump will raise the issue of religious freedom with Prime Minister Narendra Modi during his visit to India next week, the White House said on Friday, noting that the US has great respect for India's democratic traditions and institutions.

"President Trump will talk about our shared tradition of democracy and religious freedom both in his public remarks and then certainly in private. He will raise these issues, particularly the religious freedom issue, which is extremely important to this administration," a senior official told reporters in a conference call.

The official was responding to a question on whether the president was planning to speak to Modi on the Citizenship (Amendment) Act or the National Register of Citizens.

"We do have this shared commitment to upholding our universal values, the rule of law. We have great respect for India's democratic traditions and institutions, and we will continue to encourage India to uphold those traditions," the official said, requesting anonymity.

"And we are concerned with some of the issues that you have raised," the senior administration official said, in response to the question on CAA and NRC.

"I think the President will talk about these issues in his meetings with Prime Minister Modi and note that the world is looking to India to continue to uphold its democratic traditions, respect for religious minorities," the official said.

"Of course, it's in the Indian constitution -- religious freedom, respect for religious minorities, and equal treatment of all religions. So this is something that is important to the president and I'm sure it will come up," said the official.

Pointing out that India has a strong democratic foundation, the official said India is a country rich in religious, linguistic, and cultural diversity.

"In fact, it's the birthplace of four major world religions," the official noted.

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Agencies
January 15,2020

Mumbai, Jan 15: Michael Debabrata Patra took over as Deputy Governor of the Reserve Bank of India (RBI) on Wednesday.

He was an Executive Director of India's central bank before being elevated to the post of Deputy Governor.

An RBI release said that as Deputy Governor, Patra will look after Monetary Policy Department including Forecasting and Modelling Unit (MPD/MU), Financial Markets Operations Department (FMOD), Financial Markets Regulation Department.

He will also look after Market Intelligence (FMRD/MI), International Department (Intl. D), Department of Economic and Policy Research (DEPR), Department of Statistics and Information Management (including Data and Information Management Unit) (DSIM/DIMU), Corporate Strategy and Budget Department (CSBD) and Financial Stability Unit.

Patra, a career central banker since 1985, has worked in various positions in the Reserve Bank of India.

As Executive Director, he was a member of the Monetary Policy Committee (MPC) of RBI, which is invested with the responsibility of monetary policy decision making in India. He will continue to be an ex-officio member of the MPC as Deputy Governor.

Prior to this, he was Principal Adviser of the Monetary Policy Department, Reserve Bank of India between July 2012 and October 2014.

He has worked in the International Monetary Fund (IMF) as Senior Adviser to Executive Director (India) during December 2008 to June 2012, when he actively engaged in the work of the IMF's Executive Board through the period of the global financial crisis and the ongoing Euro area sovereign debt crisis.

The release said that his book "The Global Economic Crisis through an Indian Looking Glass" vividly captures this experience.

He has also published papers in the areas of inflation, monetary policy, international trade and finance, including exchange rates and the balance of payments.

A fellow of the Harvard University where he undertook post-doctoral research in the area of financial stability, he has a PhD in Economics from the Indian Institute of Technology, Mumbai.

He will hold the post for three years or until further orders. The post fell vacant after Viral Acharya resigned on July 23 last year.

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