Attention Flyers! Flying from Mumbai airport set to become costlier - Here's why

At present, international passengers pay a User Development Fee (UDF) of Rs 187, which has been proposed to be raised to Rs 650, while domestic passengers do not pay any such fee.

"The proposed tariff card, which has been submitted to the Airport Economic Regulatory Authority (AERA) for its approval, is in line with what the regulator has approved for MIAL," a source told PTI.

At the same time, however, in a big relief to airlines, MIAL has also proposed a 35 per cent reduction in the landing and parking charges at its facility for the fourth control period (FY2024-2029), according to the AERA website.

AERA has the mandate to determine all tariffs for major airports in the country. An airport which has or is designated to have a capacity of 3.5-million passengers per annum or above falls in the category of major airports.

A joint venture company Mumbai International Airport Ltd (MIAL) operates and manages Mumbai International Airport, the country's second-busiest airport.

Adani Group owns a 74 per cent stake in MIAL while the Airports Authority of India has the remaining 26 per cent stake.

Mumbai International Airport, with two terminals -- T1 and T2 -- has a capacity to handle 55 million passengers per annum. In the fiscal year ended March 2024, it handled a total of 52.82 million passengers.

MIAL in June 2024 had submitted the multi-year tariff plan to the AERA proposing a 675 per cent hike in user fee from October 1, 2024, citing a target revenue of Rs 38,724.90 crore and a capex of Rs 17,439.38 crore for the five-period for carrying out expansion work, which included reconstruction of terminal 1 as well as expansion of T2 and general terminal.

With PTI inputs