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Flying out of Bengaluru, Kochi, or Ahmedabad? Why You’re Paying More to Fly from These Airports

Flying out of Bengaluru, Kochi, or Ahmedabad? You might be paying more than last year, even if your airline hasn’t raised fares. The reason: higher airport charges.

Since the start of FY25, 16 airports have increased user development fees (UDF), which help cover revenue shortfalls and ensure fair returns for airports. These fees vary by airport and are collected by the airline and passed on to the airport operator.

Which Airports Have Increased Fees?

The airports that have raised UDF include Bengaluru, Hyderabad, Mangalore, Thiruvananthapuram, Ahmedabad, Jaipur, Lucknow, Kannur, Kochi, Chennai, Kozhikode, Kolkata, Goa, Bhubaneswar, Patna, and Srinagar. The increases range from 2% to 200% this fiscal year, according to the civil aviation ministry.

Impact on Travelers

This rise in airport charges is an extra burden for travelers who are already facing higher airfares this year. Airlines are struggling to find enough aircraft to meet the high demand. Airfares may go up even more during the September quarter due to the holiday season.

Rajiv Mehra, president of the Indian Association of Tour Operators, said, “Any increase in user fees should be reasonable. Airfares depend on many factors like demand, competition, and fuel costs. Now, higher airport fees are another factor.”

Here are some examples of the UDF increases:

  • Patna: ₹660, up 223%
  • Kannur: ₹750, up 135%
  • Jaipur: ₹805, up 104%
  • Ahmedabad: ₹450, up 80%
  • Thiruvananthapuram: ₹250, up 52%
  • Chennai: ₹770, up 34%
  • Mangalore: up 25%
  • Bengaluru: up 22%
  • Kochi: up 15-17%
  • Goa: up 15-17%
  • Srinagar: up 13%
  • Lucknow: up 13%
  • Hyderabad: up 7%
  • Kozhikode: up over 2%
  • Kolkata: up over 2%

Potential Effects on Air Travel

Higher airport charges help support operations, maintenance, and expansion, as well as improve infrastructure and safety. However, they also increase fares, which might reduce air travel. Jyoti Mayal, vice-chairperson of the Federation of Associations in Indian Tourism & Hospitality, said, “Countries with strong economies have higher airport taxes, while those with weaker economies keep fees lower to attract tourists and business travelers. India has seen a surge in domestic travel post-COVID, and we don’t want these higher fees to cause a decline.”

Mayal also noted that airfares in India are high because there are no concessions for jet fuel. “The government needs a sustainable model to keep travel costs reasonable. A balanced approach is essential for tourism growth,” she added.

Most airports implemented the fee increase at the start of FY25. However, Thiruvananthapuram airport increased fees on July 1, and Jaipur airport will do so on August 1. These changes follow tariff orders from the Airports Economic Regulatory Authority of India (AERA) between August 2021 and July 2024. AERA, established in 2009, sets tariffs for services at major airports.

Airports charge for aeronautical services, such as navigation and aircraft operations, as well as non-aeronautical services.

Disclaimer: The views and investment tips expressed by investment experts on Sharepriceindia.com are their own and not those of the website or its management. Sharepriceindia.com advises users to check with certified experts before taking any investment decisions.​​

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