industry

Closure of Delhi runway brings capacity down, lets air fares soar


NEW DELHI: With the closure of one runway at New Delhi’s airport reducing capacity by 10%, air fares in and out of the Indian capital have shot up to three times the normal level. “Last-minute fares on key routes from Delhi have surged up to three times due to the temporary closure of the runway and high travel demand,” said Aloke Bajpai, cofounder of ixigo, an online travel portal.

“Fares for flights from Delhi to Bengaluru and Chennai have seen a spike of over 100% from 16-27 November.” Bajpai added that the runway closure has led to cancellations, too. “There has also been a 5% increase in cancellations for air travel originating to and from Delhi. The fares are expected to normalise by next week once the runway is restored,” he said.

The closure of one of the three runways at New Delhi’s Indira Gandhi International Airport started on November 15 and will continue till November 27. The closed runway, primarily for flights using Terminal 1D, needed repair and had the maintenance planned in coordination with all stakeholders, including airlines, the airport operator said. IGIA is the nation’s busiest airport, handling about 75 flights per hour and close to 70 million passengers annually.

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The shutdown was planned well in advance and it had been agreed that the capacity reduction would be carried out in a manner to ensure minimum inconvenience to passengers. “This capacity reduction leading to spike in fares is a clear indication of the fact that the Indian market needs more and more capacity to keep fares in check,” said a senior airline industry official who did not want to be identified. He added that airlines should continue to add capacity to ensure that fares in the domestic sector remain in control, leading to more people flying.

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While Delhi airport has been able to absorb the impact of closure due to its two other runways, the situation in Mumbai will get severe when it shuts its runway for maintenance. The Mumbai airport, which has effectively one runway, will be closed from 11am to 5 pm during a 52-day period starting February 7.





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