Cabinet nod may lower airport fees

New Delhi: In a move that could help keep airport charges low for both passengers and airlines, the Cabinet on Friday approved amendments to the Airports Economic Regulatory Authority (AERA) of India Bill, 2007. While the Bill is pending in Lok Sabha since last September, a Parliamentary standing committee had recommended changes in it. These included asking airport developers to keep in mind non-aeronautical revenue while determining aero charges and ensure competition among fuel suppliers there.
A Cabinet meet chaired by PM Manmohan Singh on Friday accepted many of the recommendations of the committee. These amendments to the Bill will be moved in the coming session of the Parliament. Once cleared, the new law will be notified in three months and the much-delayed economic regulatory authority could be in place may come into existence by the year-end.
The aviation ministry was not in favour of the regulator determining non-aero charges but accepted that developers must try to maximize this revenue so that aero charges like landing, parking and navigation charges or user development fees could be as low as possible. The need for a regulator arose as airports are no longer run by government alone and private participation is increasing.
30/08/08 Times of India

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Categories: Airports Aug 2008