SC refuses to stay Airport Development Fee

A Bench led by Justice DK Jain remanded the matter after the Centre told the court that it has now appointed Justice VS Sirpurkar as the chairman of the appellate body,which could not function earlier for being a headless body.

The court rejected the arguments of counsel Anurag Sharma,appearing for the petitioner NGO Consumer Online Foundation,asking for an interim stay on the levy and collection of the fee since its recovery of the same would be difficult later.

“Even if we assume that the recovery would be difficult because of problems in identifying the passengers,this money can always be used for some public good. Let the matter be finally disposed off,” said the Bench.

Another petition by the Federation of Indian Airlines,raising similar issues,was also remanded to the tribunal.

Ajit Singh for ADF-free travel from Kolkata & Chennai

Despite private-operated airports in Delhi and Mumbai being allowed to charge Airport Development Fee (ADF),civil aviation minister Ajit Singh has directed Airports Authority of India (AAI) not to impose ADF on passengers travelling out of the upgraded Kolkata and Chennai airports.

ADF is viability gap funding charged by the operator to recover the increase in actual project construction cost from estimated project cost.

“The civil aviation minister’s directive on ADF is in line with the stated objective of the government to make the air travel affordable and to ensure that the passengers are not subjected to any extra burden,” said a release from the ministry.

On the contrary,Delhi and Mumbai airports charge ADF from departing passengers since 2009. Delhi airport has been upgraded and operated by GMR-led Delhi International Airport Ltd and Mumbai airport is being upgraded and operated by GVK-led Mumbai International Airport Ltd.

AAI had earlier submitted proposals to Airports Economic Regulatory Authority (AERA) earlier for levy of development fee of Rs 300 per embarking on domestic passenger and Rs 1,000 per international passenger at Chennai and Kolkata airports. But ADF has been removed from the revised proposal made to the AERA.