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Iran mulls lowering overflight charges

Christian Fernsby ▼ | June 22, 2020
Iran is mulling plans to reduce the fee it charges international airlines for flying over its airspace, as it looks to entice more carriers to utilise its airspace amid dwindling air traffic due to the cronavirus pandemic and geopolitical tensions.
Iran air
Airspace   Iran air
The country will offer incentive packages to the top eight airlines that most frequently use its airspace to encourage more business, Nasser Aghaei, director of Iran Airports and Air Navigation Company, said on Saturday according to state-run news agency IRNA.

Topics: iran

The discounts would also extend to airlines increasing their flights by 20 per cent, Mr Aghaei said. The plans are yet to be approved by the government

Airlines typically pay a fee, known as overflight charges, for the right to fly over the airspace of other countries.

Aviation regulators typically charge overflight fees to foreign carriers who fly their aircraft in the airspace controlled by that nation, even if the planes do not land or take off there.

Calculating overflight fees is a complex process and countries use different metrics to determine the costs they charge for aircraft to fly over their sovereign airspace, such as the distance traveled or the weight of the plane. Countries charge a fee for carriers to fly in, out or through their airspace, similar to levying a toll on vehicles using a highway.