Delhi airport tariff to remain unchanged till tribunal decision: GMR

By: | Published: February 7, 2015 1:09 AM

GMR Infrastructure, which heads the consortium Delhi International Airport (DIAL) that runs the Delhi airport...

GMR Infrastructure, which heads the consortium Delhi International Airport (DIAL) that runs the Delhi airport, on Friday said that the tariff at the airport will remain unchanged until the Airports Economic Regulatory Authority Appellate Tribunal (AERAAT) takes a final view against tariffs for the first control period.

“With the Delhi High Court order, tariff at the Delhi airport will remain at current levels till the time DIAL’s appeal is decided upon by AERAAT,” GMR Infra said in a statement on Friday.

GMR Infra said that the Delhi High Court in a January 22 order issued directions that the current aeronautical tariffs for DIAL determined for the first five-year control period (FY10-FY14) will remain in effect until appeal against Airports Economic Regulatory Authority’s (AERA) tariff determination is disposed of by AERAAT.

“AERA has accordingly extended the tariff order for first control period in line with the Delhi High Court order,” it added.

The government’s airport rates regulator had on January 29 proposed a 78% lower charge at the DIAL-operated Indira Gandhi International (IGI) Airport for the second five-year control period (FY15-FY19), after releasing a consultation paper proposing the same on January 28.

Industry experts FE spoke to said that AERA’s proposals, if implemented, would benefit airlines —they would have to pay lower landing and parking fees — as well as passengers, who would benefit from a lower airfare due to airlines incurring lower costs at the airport.

At present, DIAL’s user development fee (UDF) for departing passengers stand at R275 for short-haul destinations to R551 for long-haul destinations, and that of arriving passengers stand between R233 and R466.

GMR Infra in its statement said that AERA’s final determination of the aeronautical tariffs for the second control period will be subject to the disposal of DIAL’s appeal against AERA’s tariff order for the first control period, by AERAAT.

The final determination of the tariff would also be subjected to “the completion of the consultative process which will include consideration of responses to AERA’s consultation paper from DIAL and other stakeholders,” GMR Infra added.

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