Wednesday, April 27, 2011

Delhi Airport body can continue with development fee: GMR

The Supreme Court today overturned a ruling of the Delhi High Court and quashed the unpopular and controversial airport development fees (ADF) levied by two of India’s busiest private sector-run airports in Delhi and Mumbai.
A two-judge bench held that development fees cannot be levied or collected on the basis of just authority letters issued by the central government but only if there was clear approval from the airports economic regulatory authority. Consequently, Mumbai airport has been barred from levying the fees, while Delhi airport will be able to continue to levy the fees, reports CNBC-TV18.
Sidharath Kapur, CFO – Airport at GMR Group said that the Airport Economic Regulatory Authority (AERA) has allowed The Delhi International Airport Limited (DIAL) to charge airport development fee. However, the moot point of the Supreme Court order is the ADF collections should be done for upgradation, and modernisation of Delhi airport.
26/04/11 CNBC-TV18
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