Domestic flyers to pay more from July

AERA directive on User Development Fee from Thiruvananthapuram airport

June 19, 2017 06:16 pm | Updated 06:16 pm IST - THIRUVANANTHAPURAM

The chances of a waiver in the User Development Fee (UDF), to be hiked from July 1 in the premier airport of the State here, appear to have disappeared wih the Airports Economic Regulatory Authority (AERA) asking the Airports Authority of India to collect the new aeronautical tariffs from the notified date.

With this, embarking passengers in the domestic sector will also have to pay UDF of ₹450 or US $11.28 from July 1 as per the AERA’s new aeronautical tariffs of Thiuvananthapuram international airport for the second control period from April 1, 2016 to March 31, 2021.

Those flying in the international sector will have to pay ₹950 or US $23.81 as UDF instead of the present ₹575. The June 2 order was issued by the AERA on the basis of a proposal submitted by the Airports Authority of India (AAI) to enable the latter recover its investments.

The order is after seeking the opinion of the stakeholders on the AERA consultation paper. A top AAI official told The Hindu on Sunday that all procedures, including the holding of public hearing were held in New Delhi by the AERA before the orders were issued, and that the flyers would have to pay the revised UDF.

From April 1, 2018 to March 31, 2019, the UDF for every embarking domestic passenger will be ₹468 or US $ 11.73 and ₹988 or US $24.76 for international passenger. The UDF for domestic passenger will be ₹486 or US $12.21 and ₹1,028 or US $25.76 for international passengers from April 1, 2019 to March 31, 2020. From April 1, 2020 to March 31, 2021, the UDF for every embarking domestic passenger will be ₹506 or US $12.69 and ₹1069 or US $26.78 for international passenger.

As landing charges, parking and housing charges, throughput charges and passenger service fee (PSF)-security has been increased by the AERA, flying from here will be costly as the operating airlines will increase the air fares. The AERA has said the aeronautical tariffs is exclusive of the service tax.

In addition to the UDF, throughput charges of ₹139.80, PSF Facilitation of ₹77 and $1.93 from each domestic and international passenger is now being collected. The AERA has accepted the proposal of the AAI to merge the UDF and PSF Facilitation charges and only UDF charges will be applicable to all passengers.

The Passenger Service Fee (PSF)-Security to be collected is ₹130 per embarking passenger or $3.25 per international and domestic passenger from July 1. Exemption has been given to seven categories of persons from levy and collection of UDF and Security. This includes children below 12 years, holders of diplomatic passport and airline crew.

As part of increasing the domestic flight operation, one 1% incentive for 75 landing per week, 2% for 125 landings, 3% for 175 landings, 4% for 225 landings, 5% for 225 landings per week has been approved by the AERA.

Aircraft with a maximum certified capacity of less than 80 seats operated by domestic scheduled operators, helicopters of all types, approved flying school and Flying Training Institute aircraft need not pay landing charge at the airport. Flights operating under the regional connectivity scheme will be completely exempted from landing charges once the scheme is operationalised.

The parking fee of aircraft has been waived for the initial two hours. The night parking charges from 10 p.m. to 6 a.m. will be waived for all domestic scheduled operators if the State lowers VAT on Aviation Turbine Fuel up to 5%.

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