New Delhi, April 25: The Indian domestic and international airline industry has protested the move of Delhi airport to increase charges.

The new fees will make Delhi the costliest airport in Asia-Pacific

The new fees will make Delhi the costliest airport in Asia-Pacific

Airlines officials point out that the latest increase will not only put additional burden on the passengers but could also see airlines reconsider their operations here and possibly withdraw from the market.

The Geneva-based International Air Transport Association has pointed out that the proposed rate card is also unacceptable as it violates ICAO’s policy of cost-based charging by having different landing fees for international and domestic flights.

The Airports Economic Regulatory Authority has approved the increased rates, to be imposed from May 15 this year.

The Senior Vice-President, Finance, Jet Airways, Mr Mahalingam Shivkumar, said that the “entire cost increase will be passed on to the passenger,” without getting into details of specific price increase on domestic routes. A senior official of Air France-KLM estimated that the latest revision in rates could see travel to and from India increase by $50-100.

Urging the Ministry of Civil Aviation to take a relook at the decision, the General Manager Indian Subcontinent, Air France-KLM, Mr Pieter De Man, said that the latest move will make Delhi one of the most expensive airports in the Asia-Pacific region.

“We are not against an increase but of this magnitude cramped into a short period is not acceptable. The latest move will make Delhi more expensive than Osaka, Tokyo and Sydney which are airports in countries with higher wages and spending power. The move will not help in making Delhi a hub for airlines,” Mr De Man told Business Line. Emphasising that Air France-KLM combine was not withdrawing from Delhi, the airline official did indicate that the combine will “re-evaluate operations” into India…..

Read the rest of this story at The Hindu….


The Hindu Business Line – 25th April, 2012
ashphadnis@thehindu.co.in


Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s