Airlines challenge hike in charges at Mumbai airport

AERA in Jan had approved hike in various aeronautical charges such as landing, housing and parking, aerobridge and fuel throughput

Federation of Indian Airlines and German carrier Lufthansa have challenged an order of airport economic regulator AERA approving hike in various aeronautical charges at Mumbai airport.

The Airport Economic Regulatory Authority Appellate Tribunal will hear the petitions of Federation of Indian Airlines (FIA) and Lufthansa on July 18.

The Airports Economic Regulatory Authority (AERA) in a January 15, 2013, order had approved hike in various aeronautical charges such as landing, housing and parking, aerobridge and fuel throughput.

A three-member bench of the tribunal issued notice over condonation of delay to AERA, Airport Authority of India and Ministry of Civil Aviation and Mumbai International Airport Ltd, which operates Chhatrapati Shivaji International airport.

"Issue notice on the application for condonation of delay. Notices are accepted by the counsels appearing for the respective respondents (AERA & others). List the matter on 18th July, 2013," said the tribunal headed by its Chairman Justice V S Sirpurkar in its order.

The Airport Economic Regulatory Authority, Appellate Authority Rules 2010, grants 30 days time to challenge AERA's order. FIA and Lufthansa have come after that stipulated period, hence the tribunal would first decide over the condonation.

AERA, in its order, had also approved a 154% rise in development fee from passengers.

The new tariff had become effective from February this year.

The charges would be in effect for a year.

The Chhatrapati Shivaji International airport operator had sought 875% rise in tariff but the regulator has approved a lower tariff hike.