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Collect user fee on issuing tickets, DGCA tells airlines
Press Trust Of India / Mumbai Sep 25, 2008, 00:40 IST

Adding to the existing woes of bleeding air-carriers, the Directorate General of Civil Aviation (DGCA) has ruled that airlines should collect the user development fee (UDF) at the time of issuing tickets and subsequently remit the same to the airport operators.

The move is aimed at saving passengers the inconvenience of paying UDF separately at the two greenfield airports — Hyderabad and Bangalore — and also to ensure a smooth and orderly air transport and airport operations, a DGCA circular on Aeronautical Information Services issued recently said.

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The practice was in line with the system/procedure in vogue, with respect to the collection of Passenger Service Fee (PSF), it said. The PSF is collected from passengers by airlines, which then remit the same to the airport operator at a collection charge of Rs 5 per passenger, the DGCA said.

The government has approved Rs 1,000 per passenger as UDF for passengers flying abroad from Hyderabad International Airport and Rs 1,070 from Bangalore International Airport. For the domestic outbound passenger from the Hyderabad International Airport, the UDF would be Rs 375.

The DGCA circular comes in the wake of airlines’ refusing to collect UDF from the passengers and asking airport operators to collect the fee on their own as they were wary of passenger-traffic declining further if they were to collect the fee along with the airfare.

Already, passenger traffic at the GMR-group developed Hyderabad International Airport has dropped on account of the UDF.

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