Air Ticket Prices May Rise as TDSAT Order Allows Sharp Hike in Delhi, Mumbai Airport User Fees

According to the report, the tribunal's order has revised the method of calculating tariffs for the five years from FY09 to FY14, creating a scenario where both airports now owe more than ₹50,000 crore due to under-recovery during this period.

This would be an outstanding amount from passenger fees, landing costs, and parking fees that might raise the fares of flight tickets, leading to a greater out-of-pocket expenditure by people.

According to reports, the TDSAT order has been challenged in the Supreme Court by the Airports Economic Regulatory Authority (AERA), domestic airlines, as well as foreign airlines like Lufthansa, Air France, and Gulf Air. The case will be heard by a bench of Justices Arvind Kumar and Nilay Vipinchandra Anjaria on Wednesday.

Note that the final decision lies with the Supreme Court. However, passengers at Delhi and Mumbai airports may have to shell out substantially higher ticket prices, if the proposed hike in user development fee is allowed to take effect.