Thursday, February 23, 2017

Air India Moves Supreme Court Seeking Cut in Delhi Airport Charges

New Delhi: State-owned Air India Ltd on 24 January moved the Supreme Court seeking reduction in charges at Delhi airport, court documents showed.

In its petition, Air India said Delhi International Airport Ltd (DIAL), run by GMR Infrastructure Ltd, is recovering Rs300 crore every month through these charges, and at this rate, by March 2019, it would have collected a total of Rs17,157.15 crore against the originally targeted Rs7,709.61 crore. This would be an excess collection of Rs9,447.54 crore over and above the target revenue, Air India said in its petition seen by Mint.

The Federation of Indian Airlines (FIA), which includes IndiGo, SpiceJet, GoAir and Jet Airways, and controls nearly 90% of the domestic market share may support Air India, a person aware of the matter said, asking not to be named.

"In a nutshell, the airlines as well as the users have been fastened with a massive liability which otherwise is unwarranted in law due to operating stay (by Delhi High Court), without being afforded even an opportunity to be heard," the airline said.

Delhi airport, which was modernized for nearly Rs13,000 crore in 2010, recoups part of this amount by charging passengers and airlines. Domestic passengers departing from DIAL are charged about Rs564 while international passengers are charged Rs1,301. Airlines pay their share through higher landing, parking and aircraft housing charges.
23/02/17 AviationPros
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