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Hindustan Times
09-05-2025
- Business
- Hindustan Times
Flying out of Mumbai to cost more
MUMBAI: Starting May 16, flying out of Mumbai will cost more, with the revised User Development Fee (UDF) approved by the Airports Economic Regulatory Authority of India (AERA). A UDF is a fee levied on passengers to fund the development, maintenance and modernisation of airport infrastructure. According to the revised UDF, departing domestic passengers will have to pay ₹175 each, a nominal increase of ₹55. This section of travellers comprises 75% of the total passenger air traffic at Chhatrapati Shivaji Maharaj International Airport. The revised UDF for international passengers has been rationalised with a differential rate for economy and business-class travellers. Departing international passengers in economy class will pay ₹615 each, while departing international passengers in business class will be charged ₹695 per passenger. The Mumbai International Airport Limited (MIAL) had submitted a higher levy structure, said AERA, which 'after a comprehensive due diligence has arrived at a significantly lower Aggregate Revenue Requirement that would result in a nominal increase of 21.65% over the existing airport charges.' MIAL anticipates 229 million passengers over the next five years. The authority did not respond to HT's requests for a comment on the revised UDF. User Development Fee DOMESTIC Embarking: ₹175 INTERNATIONAL Economy Class Embarking: ₹615 Business Class Embarking: ₹695
Time of India
08-05-2025
- Business
- Time of India
From May 16, flyers to pay more for tickets as user fee for Mumbai airport hiked
Mumbai: Airfares on domestic and international flights operating to and from Mumbai airport are set to cost more from May 16, as the Airports Economic Regulatory Authority of India (AERA) has approved a hike in User Development Fee (UDF). Like taxes and fuel surcharges, UDF is embedded in the cost of the airline a "Development Fee" of Rs 120 per departing domestic passengers was levied till Aug 2024, the AERA order said. Currently, only the international departing passenger pays a UDF, levied at Rs 187."The UDF will be levied on tickets booked on May 16 and thereafter," clarified an aviation source. The UDF levy will be applicable for flights booked from May 16, 2025, to March 31, the domestic front, a UDF of Rs 175 will be levied on passengers booked on flights departing from Mumbai, and a fee of Rs 75 on those arriving in Mumbai. For international flights, the UDF fee is split further based on the class booked. International departing economy class passengers will pay a UDF of Rs 615, while those arriving will pay Rs 260. For international business class passengers, the fee is Rs 695 and Rs 304 for embarking and disembarking passengers, this, the cost of one domestic ticket to and from Mumbai will go up by Rs 250, international economy return tickets will increase by Rs 875, and for business class, the hike will be Rs 999. However, if you already booked air tickets on flights departing or arriving in Mumbai post-May 16, you do not have to pay this UDF. Those booking air tickets in the next week will also be a UDF for airport facilities is a common practice worldwide, though most airports limit it to departing in its tariff order, stated: "UDF now has been determined for both embarking and disembarking passengers as a significant portion of the airport infrastructure, including aero bridges, travelators, conveyor belts, and arrival facilities inside the terminal building, are also being used by both embarking and disembarking passengers. Therefore, distributing the overall UDF charges between embarking and disembarking passengers in a suitable proportion of their actual usage of airport facilities would lead to an equitable distribution of the tariff burden amongst the users of the airport and would also spread out the costs amongst all airport users." Airports such as Delhi and Thiruvananthapuram also levy a UDF on arriving Mumbai airport operator, in their tariff proposal submitted to AERA for the Aggregate Revenue Requirement (ARR) during 2024-29, entailed an increase of 675% in the prevailing airport charges. "However, AERA, after carrying out a thorough examination of the said proposal, has arrived at a significantly lower ARR that would result in a nominal increase of 21.65% over the existing airport charges. This adjustment will enable the airport operator to meet essential capital expenditure requirements, maintain operational efficiency, and ensure service quality," it on its calculations, AERA arrived at a Yield per Passenger (YPP) of Rs 442 per departing passenger for MIAL and distributed this between domestic and international departing and arriving passengers.
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Business Standard
08-05-2025
- Business
- Business Standard
Flying international biz from Mumbai gets pricier under AERA's UDF tweak
The revised UDF will remain in force from May 16 this year to March 31, 2029 (the end of 2028-29), also called the "fourth control period" Deepak Patel New Delhi Listen to This Article The Airports Economic Regulatory Authority of India (Aera) has allowed Adani Group-led Mumbai International Airport (MIAL), which manages the airport in India's financial capital, to charge a higher user development fee (UDF) from international business class passengers than from international economy class travellers until 2028–29. GMR Group-led Delhi International Airport, which operates Delhi airport, was the first to receive approval to levy class-based differential UDF from international passengers in March this year. Aera, in a statement on Thursday, said MIAL can collect a UDF of ₹615 from each departing international economy class passenger and ₹695 from each departing international business
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Business Standard
08-05-2025
- Business
- Business Standard
AERA sets new tariffs, differential UDF for intl flyers from Mumbai airport
Regulator AERA has fixed differential User Development Fee (UDF) for economy and business class passengers on international flights from Mumbai airport, while the fee for departing domestic passengers has been set at Rs 175. The revised tariffs have been finalised by the Airports Economic Regulatory Authority of India (AERA) for the period from May 16, 2025 to March 31, 2029. In a move to ensure equitable allocation of aeronautical charges among all concerned stakeholders, it has been decided that the UDF for domestic passengers will be Rs 175 per departing domestic passenger, which will remain constant throughout the 'fourth control' period, the regulator said in a release on Thursday. Earlier, a charge of Rs 120 per departing domestic passenger was levied till August 2024 in the form of development fees. "The UDF for international passengers has been rationalised with a differential rate for economy and business class travelers. The UDF for the international departing passenger in economy class has been fixed at Rs 615 per pax and for international departing passenger in business class it will be Rs 695 per pax. "This adjustment aligns with the 'User Pays' principle and reflects the enhanced passenger experience and expanded facilities available and used by international travellers," AERA said. The landing and parking charges for the airlines have also been rationalised downwards and kept at reasonable levels, considering competitive airport charges at similar airports. This ensures that airline operations are not unduly burdened, and that operational efficiency is maintained, the watchdog said.
The Hindu
08-05-2025
- Business
- The Hindu
AERA revises tariffs, differential UDF for eco, biz passengers on intl flights from Mumbai airport
Regulator AERA has fixed differential User Development Fee (UDF) for economy and business class passengers on international flights from Mumbai airport, while the fee for departing domestic passengers has been set at ₹₹175. The revised tariffs have been finalised by the Airports Economic Regulatory Authority of India (AERA) for the period from May 16, 2025 to March 31, 2029. In a move to ensure equitable allocation of aeronautical charges among all concerned stakeholders, it has been decided that the UDF for domestic passengers will be ₹175 per departing domestic passenger, which will remain constant throughout the fourth control period, the regulator said in a release on Thursday. Earlier, a charge of ₹120 per departing domestic passenger was levied till August 2024 in the form of development fees. "The UDF for international passengers has been rationalised with a differential rate for economy and business class travellers. The UDF for the international departing passenger in economy class has been fixed at ₹615 per pax and for international departing passenger in business class it will be ₹695 per pax. "This adjustment aligns with the 'User Pays' principle and reflects the enhanced passenger experience and expanded facilities available and used by international travellers," AERA said. The landing and parking charges for the airlines have also been rationalised downwards and kept at reasonable levels, considering competitive airport charges at similar airports. This ensures that airline operations are not unduly burdened, and that operational efficiency is maintained, the watchdog said. According to AERA, the UDF has been set nominally at ₹175 for domestic air passengers who comprise 75% of the total passenger air traffic at CSMI Airport, underscoring the commitment to protect passenger interests, ensure affordability, and foster growth in the domestic aviation sector. "This treatment, in conjunction with the tariff adjustments for international travellers and other aeronautical charges, will support infrastructure development in Chhatrapati Shivaji Maharaj International (CSMI) Airport, Mumbai and ensure the financial viability of the airport operator. "AERA remains dedicated to fostering a transparent, fair, and balanced regulatory environment for the aviation sector, promoting economic growth, and enhancing passenger experience across India's major airports," the release said. CSMI Airport is operated by Mumbai International Airport Ltd (MIAL), a consortium led by the Adani Group.
