Thursday, March 02, 2017

Fly in and out of Delhi airport? Here’s why your ticket fare could soon cost less

The Supreme Court has intervened in the legal row between Delhi International Airport Pvt Ltd (DIAL) and government agency Airports Economic Regulatory Authority (AERA) over charges on airlines at the Delhi airport. While AERA had slashed airport charges for the second control period — April 1, 2014, to March 31, 2019 — by 96 per cent, DIAL continues to charge higher tariffs as approved during the first control period — April 1, 2009, to March 31, 2014. DIAL’s higher tariffs have been borne by flyers, under the pretext of overpriced air fares. The top court has directed that the matter be resolved by April-end, reports Times of India.

Airport operator AERA had consequently filed a petition with the AERA Appellate Tribunal (AERAAT) on the issue. The Supreme Court was roped in after Air India filed a Special Leave Petition (SLP) on January 24 this year, in light of a “delay” in the verdict of AERA’s petition, due to “frequent disbandment and reconstitution”.
Air India’s SPL says, “DIAL has been unjustly enriched by Rs 7,257.15 crore approximately on account of revenue generated from tariff charges for the period starting from April 1, 2014, till June 30, 2016… DIAL is currently recovering Rs 300 crore (approximately) per month, and if it is permitted to continue doing so… then by the end of the second control period (March 2019) there would be a total collection of Rs 17,157.15 crore (approximately) as against target revenue of Rs 7,709.61 crore, straightaway leading to excess collection of Rs 9,447.54 crore over and above target revenue.”
02/03/17 Indian Express

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