CAAN faces loss of 1.20 billion rupees revenue from airports

22nd May, 2020 | Tourism Mail Crew

KATHMANDU, May 22: The government has lost about Rs 1.20 billion from revenue collected from airports across the country as there is  closure of flights due to the Covid-19 pandemic. 

The Civil Aviation Authority of Nepal (CAAN), which has been collecting revenue of Rs 600 million per month from 56 airports operating across the country, has not been able to collect the amount. Nepal has also banned air travel to prevent the spread of the corona pandemic in 218 countries of the world. 

CAAN estimates that additional revenue will be lost as the ban on air travel is extended.  Even airlines have lost billions of rupees a month due to Covid-19. The CAAN is proposing to give 75 percent discount on the parking fee for airships and helicopters at the airport. Despite the CAAN's decision to waive the parking fee as a relief to the airline companies on May 10, the airline companies are even more confused as the proposal has not been approved by the cabinet yet.

Even though the CAAN board approved the decision and sent the proposal to the Ministry of Culture, Tourism and Civil Aviation, the airlines are confused about the parking fee for the lockdown period as they could not get any response cabinet meeting. According to CAAN's spokesperson Raj Kumar Chhetri, no decision has been taken by the government on the parking fee waiver proposal.

"We have sent a proposal to the ministry to give a 75 per cent discount on parking fees and 75 per cent discount on shops and cabs at airports across the country for up to a month after the board meeting started," Chhetri said. Stating that other non-chartered flights are currently closed, he said that the CAAN has taken the decision as a relief as the airlines are also being affected as the infection is increasing.