Domestic and foreign airlines have criticised the proposal by the
Delhi International Airport Limited (Dial) of 774 per cent hike in airport tariffs, which is supported by Airports Economic Regulatory Authority (AERA).
Dial officials claim that the proposal was not aimed at fetching high profits but are reasonable charges as these have not been increased in the last ten years except once by 10 per cent in 2009.
Airlines have warned that such a steep hike in aeronautical charges such as navigation, air traffic control and other facilities used by airlines at airports will force them to jack up fares for passengers coming and moving out of Delhi.
The airlines, in their representations before AERA, have warned that such an increase would lead passengers to move away from the Delhi airport.
They have asked the government to revisit its revenue-share mechanism with Dial.
Airline representative bodies such as the International Air Transport Association (
IATA ), Board of Airline Representatives in India (Bari) and Federation of Indian Airlines (Fia) have opposed the proposal to increase navigation, parking and other charges.
Noting that the proposed increase would lead passengers choosing to transit through other airports than Delhi, Bari has made it clear that the airlines cannot afford these escalating costs and some (foreign) airlines have even started winding up operations.
An analysis of data published by IATA showed that even if a 148 per cent hike suggested by AERA was to go through, Delhi Airport charges in 2012 would be higher than Singapore, Bangkok and Dubai airports combined.
And next year, a further 148 per cent compounded increase would make them 30 per cent higher than the total of these three airports and Hong Kong airport put together.
"If Dial's own proposal were approved by AERA, then this year itself, it would be 20 per cent higher than the combined charges of the European hubs of London Heathrow and Frankfurt," the IATA data showed.
The increase would not only help the airport operator, which has registered a loss of Rs 1,300 crore since it took over Delhi airport from AAI in 2006, meet costs but also help the state- run airports body to earn more revenue, it said.
Courtesy: Mail Today 
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