On March 9, 2020, Civil Aviation Administration of China (CAAC) issued a series of support policies to promote stable development of the civil aviation industry.
1. Financial policies
(1) Implement preferential policies including exemption of Civil Aviation Development Fund payable by airlines;
(2) Implement financial support to airlines operating scheduled international passenger flights and performing major air transport missions in accordance with the State Council's joint prevention and control mechanism;
(3) Make full use of the current subsidy policy to support general aviation enterprises that perform missions related to epidemic prevention and control.
2. Charge reduction and burden alleviation
(4) Exempt aviation related charges and ground service charges on major air transport missions in accordance with the State Council's joint prevention and control mechanism;
(5) Reduce airport and ATC charges on domestic, regional (including Hong Kong SAR, Macao SAR & Taiwan) and foreign airlines: 10% reduction on base price of aircraft landing fees and exemption of on ground charges at Class I and II airports; 10% reduction on route fares; 8% reduction on base price of jet fuel sales difference for domestic flights operated by domestic airlines. The charge reduction policy will be implemented from January 23, 2020, and the deadline will be notified separately depending on the epidemic situation.
(6) Encourage information and bureau-owned enterprises and institutions to appropriately reduce the current charging standards.
3. Infrastructure investment
(7) Provide Civil Aviation Development Fund to urgent purchase or development of dedicated fixed asset facilities and equipment in response to the epidemic;
(8) Encourage the scientific and orderly operation of key construction projects by accepting project applications online, accelerating the project's preliminary work, coordinating the key and difficult issues of restarting construction, supporting using of the opened trading center to accelerate project bidding, and speed up the construction of key infrastructure projects, strive to complete 100 billion yuan in fixed asset investment this year.
(9) Implement the current civil aviation development fund policy to better support airlines in improving safety capabilities, increase investment in airline safety, security, flight quality monitoring, satellite navigation and other new technology applications, and support the safe upgrade and modification of airborne equipment of airlines, and fully arrange civil aviation development funds for the construction of B737NG aircraft data frame expansion projects.
(10) Support the planning and construction of strategic infrastructures related to national, industrial and public interests, such as air traffic control, information and fuel supply, and increase government financial support.
4. Promote the development of air transport
(11) Implement flexible capacity introduction policies, support and guide airlines in optimizing capacity, and simplify capacity introduction procedures.
(12) Optimize the license management of route and flight, support airlines to flexibly adjust flight plans, international route structure and flight right quotas in accordance with market demand and simplify approval procedures.
(13) Prolong the implementation of flight plan for the 2019 winter season to May 2, suspend the assessment of airline's flight plan completion factor, slot execution rate and flight irregularity, introduce seasonally changing slot policies to meet the needs of airlines and waive the assessment of domestic flight slot execution rate in the summer season of 2020. Slots in the domestic, regional and international flight slot pool for the 2020 summer season could make orderly flow according to market demand.
(14) Assist airlines to actively communicate and coordinate with foreign civil aviation authorities on special operational requirements and issues encountered in the process of resuming international routes during the epidemic period.
5. Improving government services
(15) Adjust the methods of administrative examination and approval, adopt online or off-site processing mode and optimize the working process to improve efficiency.
(16) Change the mode of supervision and make full use of new supervision methods, such as off-site supervision.