The Centre on Thursday said the US-Iran conflict has severely disrupted India’s international aviation sector, affecting around 26,000 flights operated by Indian carriers till July 20, with airlines facing significant revenue losses and higher operating costs because of rerouting and prolonged flight durations.
Replying to a question by Lok Sabha MP Anto Antony, Minister of State for Civil Aviation Murlidhar Mohol said airspace restrictions arising from the conflict had led to widespread cancellations, diversions and delays across airlines and airports. The government, however, did not provide the airline-wise or airport-wise break-up of the nearly 26,000 affected flights sought in the question.
The minister said the Directorate General of Civil Aviation (DGCA) has issued multiple safety advisories to airlines, including operational guidance on affected airspace, Notices to Airmen (NOTAMs), identification of high-risk zones, Flight Information Region (FIR) boundaries and impacted countries to enable safe route planning after comprehensive safety risk assessments.
On the financial impact, the government acknowledged that rerouting has increased flight durations and fuel burn, resulting in higher operational costs for airlines. It also admitted that Indian carriers are suffering significant revenue losses because of the ongoing geopolitical crisis. IndiaNews Updates
However, the Centre said the losses vary depending on route diversions, flight duration and prevailing fuel prices, and did not quantify either the financial losses or additional operating costs incurred by airlines.
To cushion the impact on the aviation sector, the government highlighted a one-time budgetary support of up to Rs 10,000 crore for Oil Marketing Companies (OMCs) to stabilise Aviation Turbine Fuel (ATF) prices for scheduled Indian airlines.
It also referred to a temporary cap on domestic ATF price increases, deferment and rebate in airport landing and parking charges, the Rs 18,100-crore Emergency Credit Line Guarantee Scheme (ECLGS) 5.0m, including Rs 5,000 crore earmarked for airlines, and temporary reductions in VAT on ATF in Delhi and Maharashtra.
To minimise passenger disruption, the government said it established a 24x7 Passenger Assistance Control Room for real-time coordination, directed airlines to facilitate refunds and rescheduling, strengthened airport help desks and worked with the Ministry of External Affairs to assist affected Indian nationals transiting through West Asia.
The reply, however, stopped short of providing the detailed airline-wise disruption and financial loss assessment sought by the Parliament.
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