Domestic airlines scrap flat Rs 3000 cancellation fee

New Delhi: Customers will no longer have to pay flat Rs 3000 for cancellation of their domestic flight tickets as the airline industry has revised its ticket cancellation fee structure.

The change comes after the civil aviation regulator -- the Directorate General of Civil Aviation (DGCA) -- wrote to the airlines on the issue.

Domestic airlines earlier userd to charge fixed levy amount of Rs 3,000 for cancelling tickets.

Airlines will now charge the base fare plus fuel surcharge or Rs 3,000 per passenger, whichever is lower.

This move is expected to bring respite to flyers especially to those who book their tickets well in advance in order to get cheaper prices.

Aiming at making flying affordable to the masses the government has launched Regional Connectivity Scheme (RCS), also known as UDAN (Ude Desh Ka Aam Nagrik) with fares capped at Rs 2,500 km per hour of flight, and also improving air- connectivity to tier-2 and tier-3 cities.

The airlines that win rights to operate RCS flights are required to offer half of their seating capacity at discounted rates in return for which they get government subsidy.