Individuals to miss out on AI discounts for govt

Officials travelling on Air India at government expense will no longer be able to avail frequent flyer points individually. These points, now converted by AI into booklets, will now be a multi-user facility for officials.

The change has been made through a memorandum issued by the ministry of finance. Government officials are required to travel by government-owned AI, which from October 1 has started offering concessions to officials in the form of 'supersaver' bookets.

The change in the system comes in the wake of criticism that officials were misusing the points for their personal travel and for family members. Asking the ministries to avail of concessional fares through the booklet scheme, the order also outlines discounts that range from 5 to 15 per cent compared to market fares.

A four-coupon supersaver booklet in economy class will be priced at Rs 26,816  for the domestic sectors and will be valid for travel for six months from the date of purchase. The price of these booklets will be reviewed every six months, based on market fares and conditions.

The airline has offered one booklet of four coupons free against purchase of 25 booklets. Against international travel amounting to Rs 800,000, one supersaver booklet of four coupons will be offered free of cost, valid for domestic sectors only.

The government provides around Rs 2,000-crore business for airlines, which will now go exclusively to AI. The government directive asking officials to travel by AI was part of its plan to help out the airline, that had accumulated losses of Rs 7,200 crore (Rs 72 billion).