New Delhi: Domestic airlines have, for now, decided not to include user development fee (UDF) that outbound passengers have to pay at new airports in Hyderabad and Bangalore in their ticket costs. As a result, fliers will have to shell out this fee, that goes to airport developers as one of the measures of recovering investment made, by lining up at the airport when they go to catch their flights.
"Short-haul traffic out of Hyderabad and Bangalore has already suffered. We are not in favour of levying a UDF as this would further dent traffic. if developers want this fee, they'll have to collect it themselves for the time being," Jet Airways CEO Wolfgang Prock-Schaeur said. He added this issue is being raised at the level of the Federation of Indian Airlines (FIA), an umbrella organization of all domestic carriers, which would take a final call.
The aviation ministry has allowed the GMR-led Hyderabad airport consortia to charge Rs 375 from each outbound domestic flier. The Siemens-led Bangalore airport JV is soon going to be allowed to levy a UDF. A senior aviation ministry official said this charge should be as a part of the overall ticket cost.
While airlines don't disagree with this logic, they point out air travel is currently registering negative growth in India.
25/08/08 Times of India
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Tuesday, August 26, 2008
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Fliers queue up to pay user tax at Bangalore, Hyderabad airports
Tuesday, August 26, 2008
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