The State government, according to Minister for Infrastructure Development R. Roshan Baig, will talk to the Airport Economic Regulatory Authority (AERA) for a reduction in the user development fee (UDF) charged by Bangalore International Airport Limited (BIAL). The UDF revision cleared by AERA on June 10 is a 47.4 per cent hike for domestic and 27.8 per cent increase for international travellers.
For outbound domestic travellers, the UDF (inclusive of taxes) will go up from Rs. 232 to Rs. 342 from July 1. For outbound international travellers, it will increase from Rs. 1,070 to Rs. 1,368. However, the passenger service fee of Rs. 70, which is being collected now, will be withdrawn. Mr. Roshan Baig , in a statement in the Legislative Council following an appeal by Congress member K. Govindaraju on Friday, said that the airport operator, GVK-led BIAL, had asked for the revision to pay for expansion of terminal one, which is now ready, and also fund the second phase of expansion.
Mr. Govindaraju had said that the new rates are “nothing but fleecing” air travellers, who are also paying revised toll on airport road. He demanded that the government get UDF reduced.
The Minister said that AERA’s order came after several rounds of consultations on the airport operator’s proposal. The government had given BIAL 4,008 acres with the aim of catering to 50 million passengers per annum. “Bangalore airport has become a hub for low-cost airline Air Asia. We are in talks with Singapore Airlines. Bangalore is likely to be the base for this airline too,” he said.
The new rates will be in force till the end of this fiscal. It will be revised for the April 2015-March 2016 period when the UDF for domestic and international passengers will come down to Rs. 306 and Rs. 1,226.
