Aviation ministry turns down AAI proposal for development fee at Chennai, Kolkata airports

The civil aviation ministry has turned down a proposal by the Airports Authority of India (AAI) for levy of airport development fee (ADF) of Rs300 per embarking domestic passenger and Rs1,000 per embarking international passenger at Chennai and Kolkata airports.

The ministry has directed the AAI not to levy airport development fee (ADF) on passengers at the Chennai and Kolkata Airports and the AAI has accordingly submitted proposals to the the regulator, Airports Economic Regulatory Authority (AERA), without incorporating ADF.

Taking a strong view on the AAI's proposal to levy development fees on passengers at the Chennai and Kolkata airports, minister of civil aviation Ajit Singh said the proposal is at variance with the stated objective of the government to make the air travel affordable and to ensure that the passengers are not subjected to any extra burden.

The AAI had submitted proposals to AERA earlier for levy of Development Fee of Rs300 per embarking domestic passenger and Rs1,000 per embarking international passenger at Chennai and Kolkata airports.

The AERA had returned the proposal with the direction to undertake user consultations and make fresh proposals indicating agreements/ views of the users. Ajit Singh has directed AAI not to send any fresh proposals to AERA for levying development fee on passengers traveling from both these airports.

The AERA will now determine only user development fee (UDF) and other tariffs like landing and parking charges etc and no ADF will be charged from the passengers flying from Kolkata and Chennai airports even after the modernisation of the airport is completed.