Abhishek Sinha
Frequent flyers on Delhi and Mumbai routes may soon face a steep rise in ticket prices following a tribunal order that redefines how airport charges are calculated.
According to industry sources, user charges — a component added to airfares — could shoot up as much as 22 times for passengers travelling through Delhi’s Indira Gandhi International Airport and Mumbai’s Chhatrapati Shivaji Maharaj International Airport.
Why the sudden spike?
The Telecom Disputes Settlement and Appellate Tribunal (TDSAT) recently issued an order revising the formula for calculating airport tariffs between FY 2009 and FY 2014. The recalculation has resulted in both airports owing more than ₹50,000 crore for the period.
The dues are expected to be recovered through:
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Passenger fees
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Landing charges
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Parking charges
This will likely push ticket prices sharply upward if the order is implemented.
Case now headed to Supreme Court
The Airports Economic Regulatory Authority (AERA) along with several domestic and foreign carriers — including Lufthansa, Air France and Gulf Air — has challenged the tribunal order in the Supreme Court. A bench of Justices Aravind Kumar and Nilay Vipinchandra Anjaria will hear the matter on Wednesday.
What could change for passengers?
If the TDSAT order takes effect, the User Development Fee (UDF) will witness an extreme spike:
| Airport | Domestic Flyers | Current | New (If implemented) |
|---|---|---|---|
| Delhi IGI Airport | UDF | ₹129 | ₹1,261 |
| Delhi IGI Airport | UDF (International) | ₹650 | ₹6,356 |
| Mumbai Airport | UDF | ₹175 | ₹3,856 |
| Mumbai Airport | UDF (International) | ₹615 | ₹13,495 |
This means an overnight surge in airline ticket prices — with no option for airlines but to pass the additional cost to passengers.
Government concerns
Officials are worried that the drastic fee hike could derail aviation growth.
“Irrespective of the legal merits, passengers should not become victims of disputes between airports and airlines,” a government source said, warning that such a rise would be a “body blow” to travellers.
Background of the dispute
The controversy dates back nearly two decades, linked to the first phase of airport privatisation in 2006.
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Airport regulation moved from AAI to DIAL (GMR Group) and MIAL (now Adani Group)
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AERA, the authority responsible for setting airport charges in five-year cycles, was formed only in April 2009, three years later
This timeline mismatch triggered disagreements between airport operators and airlines, eventually leading to the present tribunal verdict.
📌 Bottom line:
If the tribunal order is upheld, airlines may be forced to revise fares sharply — and travellers using Delhi and Mumbai airports could see one of the biggest airfare hikes in India’s aviation history.
