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This is an archive article published on June 15, 2016

Highlights of the Civil Aviation Policy cleared by cabinet

This new policy aims at providing various benefits to domestic airline passengers.

civil aviation policy, civil aviation policy highlights, what is civil aviation policy, indian flights, domestic flights, new flight rates Photo for representational purpose

The Union Cabinet on Tuesday cleared the Civil Aviation Policy in order to boost the domestic aviation sector and provide passenger-friendly fares.

The Civil Aviation Ministry had sent the to the Cabinet for approval on June 3 after the NDA government proposed a new draft in October 2015.

This new policy aims at providing various benefits to domestic airline passengers.

Here are some of the highlights:

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# Capping of fare: Rs 1,200 for 30 minutes and Rs 2,500 for hour-long flights.

# A single window for all aviation related transactions, complaints, etc.

# 5/20 rule that allows a carrier to fly abroad only if it has 20 aircraft and has flown domestic for five years.

# Two per cent levy on all air tickets to fund regional connectivity scheme and providing viability gap funding for airlines to encourage operations on regional routes.

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# Restoration of air strips at a maximum cost of Rs 50 crore through Airports Authority of India (AAI).

# Permission for Indian carriers to get into code-sharing agreement with foreign carriers for any destination within India.

# More focus on ease-of-doing business as government plans to liberalise regime of regional flights.

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