Tuesday, June 21, 2016

Hybrid till revenue model will make air travel expensive: IATA

New Delhi: Global airlines body IATA today expressed “concern” over the hybrid model for fixing charges at airports built under PPP model, saying it would make Indian airports more expensive and render tariff regulator “toothless”.
There are three models to calculate charges at airports – single till, double till and hybrid till.
International Air Transport Association’s regional vice president for Asia Pacific Conrad Clifford said the draft civil aviation policy stated that tariff at “all future airports” will be calculated on a hybrid till basis.
However, the final policy states that “future tariffs at all airports” will be calculated on a hybrid till basis.
“It contradicts one of the stated intentions of the NCAP – to make flying affordable,” he said.
“We will be approaching the civil aviation ministry to clarify the seemingly minor change in the wording, which has a major impact on the airport charges landscape in India,” Clifford said.
Even as he termed the final aviation policy a step in the “right direction”, Clifford said, “We are concerned with the way the policy on hybrid till was written.”
In the single-till model, both aeronautical and non- aeronautical charges are taken into account for fixing landing and parking charges.
21/06/16 PTI/Financial Express
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