Air India has cut the baggage allowance for most economy-class fliers becoming the to take advantage of the recent government move to allow airlines to charge separately for various services.
According to the new rules, which go into effect from next week, the airline will now allow an economy class passenger to carry only 15 kg against 25 kg. Baggage in excess of 15 kg will be charged at Rs 200-250 a kg. At present, the excess baggage rates (beyond 25 kg) varies, depending on the length of the journey.
Price points
Members of Air India’s frequent flier programme will be allowed an additional 10 kg of check-in baggage on domestic flights free of cost. The business class allowance stays at 35 kg.
Explaining the concept, an Air India official said the airline has more than 14 price points for economy tickets on domestic flights.
The new rule is likely to apply to some 10 of these price points, the official said, declining to specify how many of the over 40,000 passengers flown by the airline daily will be affected by the changed rules.
The new checked-in baggage rules will apply to tickets sold after a date to be notified by the airline. Air India is also likely to start charging for preferential seating, though no date has been set to implement this.
Other airlines
The response of other domestic airlines was not immediately known. However, going by past practice, they should follow suit.
Excess baggage charges account for about Rs 100 crore of Air India’s revenue, with about 5 per cent of the passengers paying excess baggage rates.
The implementation of the decision initially by Air India and eventually by other airlines will see the airline industry increase the revenues from other income.
Globally, it is not uncommon for airlines to earn 10-15 per cent from ancillary revenues.
At present, for domestic airlines, the earning from ancillary revenues, as a proportion of total revenues, in percentage terms is in single digit.