Resurgence of COVID-19 infections along with the re-imposition of partial travel restrictions in some major states have triggered a clamour among a section of airlines for financial assistance as well as reduction of flight capacity. Industry insiders have contended that rising COVID-19 cases have severely impacted demand, leading to cancellations. Voicing their concerns, airline representatives at a meeting with Civil Aviation Secretary Pradeep Singh Kharola have demanded a financial assistance package from the Centre to deal with the second COVID-19 wave.

Besides, the airlines have urged the Centre to consider a reduction of flight capacity from 80 per cent to 60 per cent as bookings have fallen by as much as 50 per cent. Notably, the Centre till now has allowed airlines to operate with 80 per cent capacity. The domestic aviation sector was reopened on May 25, 2020 with a limited capacity of 33 per cent. Since then, the operational capacity has only been increased in consonance with rising passenger traffic.