Under the hybrid till model, the airport operator adds a part of the non-aeronautical (duty-free shops, hotel, restaurant, among others) revenue and the total revenue from the aeronautical (landing, parking and ground handling charges) side to compile total earnings.
Besides, under the model, the aeronautical rates are decided on the basis of total earnings.
"The Ministry vide its order dated June 11, 2015 has directed Airport Economic Regulatory Authority (AERA) under section 42(2) of AERA Act, 2008 to adopt a Hybrid Till with 30% cross subsidisation for the tariff determination of GMR Hyderabad International Airport Limited (GHIAL)," GMR Infrastructure said in regulatory filing.
AERA had passed an order on February 24 last year, determining the tariff of GHIAL considering a single till methodology of tariff determination.
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There are three models to calculate charges at the airports - single till, double till and hybrid till.
In the single-till model, both aeronautical and non-aeronautical charges are taken into account to calculate the airport charges while in the double-till model, aeronautical charges are calculated on the basis of revenues from aeronautical and non-aeronautical charges on the basis of collections from non-aeronautical.
Single Till being not in line with the concession agreement, GHIAL had appealed against the AERA order by filing a writ petition in the Andhra Pradesh High Court.
After various hearings, the AP High Court had directed the Ministry of Civil Aviation to pass an order on the appropriate Till methodology to be used for tariff determination of GHIAL, GMR Infrastructure said in the filing.