No facilitation fee to agents for air travel by government officials

NEW DELHI: The Finance Ministry has barred PSU travel agents, including IRCTC and Balmer Lawrie, from charging facilitation fees from government officials on their domestic and international air travels.

The government had on October 10, 2013, allowed three authorised travel agents - IRCTC, Balmer Lawrie and Ashok Travels and Tours - to charge a facilitation fee of Rs 100 on domestic air travels and Rs 300 on international travels.

"It has been decided to withdraw office memorandum of October 10, 2013, with immediate effect," the expenditure department of the Finance Ministry said in an office order.

Consequently, it added that "no fee/service charges which are not included in the tariff charged by Air India/Airlines are required to be paid to the authorised travel agents".

It also advised that as far as possible, air tickets on government account may be obtained directly from Air India/ Airlines (booking counters/offices/website).

However, it said, if it is not possible to obtain tickets directly from Air India/Airlines counters, they may obtain the services of three authorised travel agents.

In order to rationalise government expenditure, the Finance Ministry has already constituted an Expenditure Management Commission under former RBI Governor Bimal Jalan. The Commission is expected to suggest ways to prune subsidies and reduce other expenses to bring down the fiscal deficit.