No hike in user fee at B'lore airport

The Airports Economic Regulatory Authority (AERA) has turned down Bengaluru International Airport Ltd’s (BIAL) proposal to increase User Development Fee (UDF) by 239 per cent for domestic passengers and 79 per cent for those leaving for international destinations.

The regulator, while issuing a consultation paper last week, seeking stakeholders’ views on the issue, also said the proposal made by the BIAL, a subsidiary of city-based infrastructure major GVK Group, to levy landing charges on all aircraft was not permissible as per the government orders.

Instead, the regulator called for consultations, suggesting the UDF to be at Rs 262.32 and Rs 1,049.27 for domestic and international passengers respectively, under the single-till model.
However when contacted, a GVK spokesperson said it would be premature for the company to have a response immediately as discussions on the subject are going on.

The AERA also sought views on UDF under dual-till model which is at 399.28 and Rs 1,597.14 for domestic and international passengers respectively for the year 2013-14 with effect from October 1, 2013.

The BIAL has originally proposed the domestic UDF under single-till to be Rs 783.09  and the international UDF to be Rs 1,700 (1.8 times higher than the existing rates with effect from May 1, 2013).