The Hindu Business Line : GHIAL not to levy user fee for domestic travellers for now

The user development fee (UDF) for domestic air travellers will not be collected for now by GMR Hyderabad International Airport Ltd (GHIAL), the promoters of the Rajiv Gandhi International Airport, Shamshabad.

International travellers, however, would be charged a fee of $25.

The decision comes in the wake of concerns of air travellers and airline operators.

Addressing a press conference here on Monday, Mr Kiran Kumar Grandhi, Chairman (Airports) of GMR Group, said that the company might go for differential fee depending on the distance after sometime. He, however, did not give any time frame.

The Rs 2,500-crore airport, which would be formally inaugurated by Ms Sonia Gandhi, the UPA Chairperson, would start commercial operations from March 16.

The decision not to collect UDF from domestic travellers would have a ‘significant impact’ on the revenues. It, however, would charge infrastructure cost to airlines at Rs 2,100 per kilo litre.

“We do keep in mind that 46 per cent of the operating cost of airline is fuel. We are not going to increase landing, parking charges and passenger service fee,” said Mr Grandhi, who is also the Managing Director of GHIAL.

Connectivity issues

On a question on the closure of the existing airport at Begumpet, Mr Grandhi pointed out that it was practical to have one airport keeping in mind the logistical and operational factors.

As the airport is scheduled to commence commercial operations in 12 days, the company sought to allay fears on connectivity issues. Mr Prasanna, Director, who also leads a 15-member team to oversee transportation issues, said the company roped in Vlinks, Easy Cabs, Budget, Avis and Hertz and Shree Raj Travels to ensure access to the new airport.

Besides, it was working on synchronisation of traffic signals from Road No. 1 of Banjara Hills to facilitate quicker traffic movement.

Airport naming

On the controversy over naming of the airport, Mr Grandhi said it was the prerogative of the Government to name an airport. “We are neutral on that issue,” he said.

There had been demands that the new airport should be named after late N.T. Rama Rao and P.V. Narasimha Rao.

More Stories on : Infrastructure | Andhra Pradesh

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
China invited for talks on allowing Jet flights to US

GoAir passengers get Tata AIG cover

Deccan Aviation fund raising plans

GHIAL not to levy user fee for domestic travellers for now

Kerala submits proposal for shipyard at Poovar

‘Removal of double tax on dividends boost to infrastructure sector’

Sagar Nidhi launched