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AERA unlikely to allow Mumbai international airport's legal cost claim

Adani Group-led MIAL, which operates the Mumbai airport, has requested AERA to include legal expenses under operating costs, as this would result in higher tariffs being approved by the regulator

Mumbai Airport
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As per MIAL’s document submitted to AERA, its legal expenses in the third control period (FY20–FY24) were Rs 90.48 crore.

Deepak Patel New Delhi

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The Airports Economic Regulatory Authority (AERA) is unlikely to allow legal expenses to be included under “operating costs” while calculating aeronautical tariffs for Mumbai International Airport Limited (MIAL) during the fourth control period, which runs until FY29, sources told Business Standard.
 
Once aeronautical tariffs — such as landing charges, parking charges, and user development fee (UDF) — are set by AERA, the airport operator is permitted to collect them from the aviation sector stakeholders such as airlines and passengers.
 
Adani Group-led MIAL, which operates the Mumbai airport, has requested AERA to include legal expenses under operating costs, as this would