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ECONOMY

Govt waives ground handling fees for flight operations to and from GBIA and PRIA

International airlines can also refuel at GBIA at a cheaper rate than at Kathmandu airport.
By Republica

KATHMANDU, Aug 16: As a part of its efforts to bring the two newly-constructed international airports in the full-fledged operation, the government has decided to provide concessions for tickets and fuel to the airline companies operating flights to and from the Gautam Buddha International Airport (GBIA) and Pokhara Regional International Airport (PRIA).


A meeting of concerned ministers and officials of the relevant ministries under the leadership of the Prime Minister K P Oli decided to provide concessions based on the recommendations provided by a task force formed to study the options and measures to bring the two airports into full operation. 


The new incentives offered to airlines companies comes in the wake of failure of these airports to draw international flights. The concessions given to the airlines operating to and from these two airports are expected to increase flight frequency from these airports.


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Minister for Culture, Tourism and Civil Aviation, Badri Prasad Pandey said that an action plan has been implemented to provide concessions on air tickets, ground handling and air fuel till mid-September 2026 to bring the two international airports  into operation at full capacity.


Minister Pandey said that based on the recommendations provided by the task force and the concessions sought by the airlines, the government has decided not to charge the service fee on ground handling till mid-September 2026.


Stating that the government is planning to provide concessions by not charging the ticket fee imposed by the Nepal Tourism Board for the two airports during this period, he said that the government has also decided not to take the VAT charged on air tickets till mid-September 2026.


Regarding the issue of fuel, the Ministry of Industry, Commerce and Supplies has made an action plan to procure the fuel at a cheaper rate in the GBIA than at Kathmandu airport, Pandey said.


Stating that the Home Ministry has planned to manage the operation of the Immigration Office and Visa Center, Minister Pandey said that a plan has been presented to the Cabinet, assigning the responsibility to the Ministry of Agriculture and Livestock Development for conducting quarantine checks at the airport.


Stating that both airports are projects of national pride and strategic significance for the country, he said that all the government agencies are trying to figure out a solution for the operation of the airports at full capacity. As the airports have not yet become fully operational, there is an issue in repaying the principal and interest of the loans taken for the construction of the airports, he added.

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