Thursday, February 12, 2015

Will new tariff bring cheer to travellers?

New Delhi: Just two years ago, AirAsia's Tony Fernandes had come down on Delhi International Airport, or DIAL, the GMR group company that operates the Indira Gandhi airport in Delhi, for charging exorbitant tariffs. The outspoken businessman swore his airline would not fly from the capital.

He had the silent support of millions of discontented passengers who complained that they were being forced to fork out very steep fees for using the airport. Airlines, as they moved from one fare war to another, too grumbled. Airport charges (user development fee, airport development fee and airport service charges) account for over 10 per cent of the average gross fare of Rs 5,000 between Delhi and Mumbai.

Now, however, there could be some good news for Fernandes, who has after all decided to fly from Delhi by the end of March, and the 40 million people who travel in and out of the airport. The Airports Economic Regulatory Authority of India, or AERA, has proposed a reduction of over 78 per cent in fees for a five-year period retrospectively from March 2014.
12/02/15 Surjeet Das Gupta/Business Standard
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