The Airports Economic Regulatory Authority of India (AERA) has ordered a 25 per cent reduction in landing and parking charges at all major airports for domestic flights for a period of three months, following directions issued by the Central Government.
The order, dated 7 April 2026, comes in response to prevailing conditions linked to the ongoing West Asia crisis, with the government invoking provisions under the AERA Act, 2008 to mandate tariff relief.
According to the order, the reduction in aeronautical tariffs will take effect immediately and will be applicable across all major airports handling domestic operations.
“The Central Government… has issued directions to… reduce landing and parking charges by 25% at all major airports on domestic flights for a period of 3 months,” the order states.
The directive by the Centre was issued under Section 42 of the AERA Act, 2008, with the Authority subsequently deliberating on the matter as a policy decision before implementation.
The regulator clarified that the decision will be reviewed before completion of the three-month period, indicating the possibility of extension or withdrawal depending on prevailing conditions.
It also noted that any under-recovery in the Aggregate Revenue Requirement (ARR) arising from the tariff cut will be adjusted during the tariff determination process for the next control period.
The move is expected to provide temporary cost relief to airlines operating domestic routes, at a time when the sector is navigating elevated operational pressures amid the West Asia energy supply crisis.
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