How India could revive two birds in one stroke

Context: The covid pandemic necessitates government support for airline Industries  

Present situation: 

• Airlines have been gasping for survival across the world ever since the COVID pandemic grounded aircraft and suffocated demand for air travel. 
• In India, air carriers have been allowed to resume only partial services, their occupancy levels are reported to be in a range of about half on high-traffic routes to roughly two-thirds on flights.
• Modus operandi of various airline: 

• Tata-Singapore Airlines joint venture Vistara: offered the option of buying an adjoining seat.
• IndiGo and SpiceJet: Sold empty middle seats as add-ons at “dynamic" discounts to lure those who are uneasy about flying too closely with strangers. 

Why airline needs special attention vis-à-vis Hospitality: 

1. Crucial service: Like telecom, the quick connectivity it allows, act as an enabler for economic growth.
2. Government bears extra responsibility: Since aviation uses public resources air corridors, airport infrastructure, etc. that are scarce, it is a licensed category new carriers cannot rush in to replace those that go belly up. Its operational dependence on the State is especially high. 
3. Oligopolistic market: Even a single airline’s exit would impair competition.

Way forward: 

• Bailout package for snapping seats: Rather than intervene to enforce an on-board distancing rule (government’s advisories on public safety) it should snap up the middle seats on all domestic flights to keep empty. 
• They had to meet fixed expenses without any money coming in, they deserved some compensation.