The hefty user development fee (UDF) of up to Rs 1,070, charged at the Bangalore and Hyderabad airports, and the development fee (DF), levied at the Delhi and Mumbai airports, could be revised as the newly-formed Airports Economic Regulatory Authority (AERA) is planning their review.
“We would revise the UDF at Hyderabad and Bangalore airports... and also the development fee at Delhi and Mumbai,” AERA Chairman Yashwant Bhave told reporters here.
The Hyderabad airport levies Rs 375 and Rs 1,000 on every outgoing domestic and international passenger, respectively, as UDF. Similarly, Bangalore charges Rs 260 and Rs 1,070 from domestic and international passengers, respectively.
The government also allowed the Delhi airport to levy Rs 200 and Rs 1,300 on every domestic and international passenger, respectively, as the development fee. Passengers at Mumbai pay Rs 100 and Rs 600.
The fee would be revised keeping in view the financial requirements of the airport projects and traffic projections. Passenger numbers have also improved since August on a year-to-year basis.
The UDF translates into revenue for the developers, while the development fee is collected by them into escrow accounts to be used for the purpose of infrastructure development at the respective airports.
The modernisation of Delhi and Mumbai airports are being carried out by GMR-led and GVK-led consortia. Another GMR-led consortium has built the Hyderabad airport, while the one at Bangalore has been developed by Siemens-led consortium.
AERA would also lay down standards soon for providing amenities and services that developers would be required to adhere to.
