The government has initiated a study to "redefine" the aeronautical and non-aeronautical charges at airports in Mumbai and Delhi, even as private airport operators GVK and GMR continue to maintain differences with the regulator over tariff determination of airport services. Any changes in aeronautical charges will have a direct impact on the fares paid by the end fliers and cargo costs, claim analysts.
Aeronautical charges are defined as charges paid for services or facilities directly related to the aircraft and their passengers and cargos in connection with facilitating the journey. On the other hand, non-aeronautical revenues are derived from commercial activities not directly connected to the operation of the aircraft.
Insiders claim that the exercise with regards to allocation of assets into aero and non-aero warrants simultaneous consideration of multiple factors that include asset nature, its location and use, revenues derived, area occupied etc. Earlier, the levying of airport taxes by the regulator AERA had invited criticism from GVK and GMR who had called it "unsustainable".
21/12/18 Shahkar Abidi/DNA
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Aeronautical charges are defined as charges paid for services or facilities directly related to the aircraft and their passengers and cargos in connection with facilitating the journey. On the other hand, non-aeronautical revenues are derived from commercial activities not directly connected to the operation of the aircraft.
Insiders claim that the exercise with regards to allocation of assets into aero and non-aero warrants simultaneous consideration of multiple factors that include asset nature, its location and use, revenues derived, area occupied etc. Earlier, the levying of airport taxes by the regulator AERA had invited criticism from GVK and GMR who had called it "unsustainable".
21/12/18 Shahkar Abidi/DNA
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