As per the orders of the regulator, GMR was allowed to extend UDF from the prevailing Rs 281 to Rs 480 and Rs 393 to Rs 700 for domestic and international passengers respectively from April 1, 2022.

The Airports Economic regulatory agency has allowed GMR Hyderabad International Airport that manages Rajiv Gandhi International Airport here to gradually increase User Development Fee on embarking domestic also as international passengers from April 1, 2022.

In an order on the tariff revision for the third control period (April 2021 to March 26) supported a proposal by the GHIAL, the AERA has issued orders which were recently uploaded in its website.

As per the orders of the regulator, the airport operator was allowed to extend UDF from the prevailing Rs 281 to Rs 480 and Rs 393 to Rs 700 for domestic and international passengers respectively from April 1, 2022.

Similarly, the fees are going to be enhanced up to Rs 750 for domestic and Rs 1,500 for international passengers by New Year’s Eve , 2025. However, the fees are going to be reduced to Rs 500 and Rs 1,000 for domestic and international passengers for the last three months of the Control period, AERA said in its order.

“The Authority has agreed for tariff increases and extra charges within the sort of UDF, but at an equivalent time it believes that the next control period would be better within the context of lesser capital requirements and bigger passenger base due to the recovery in aviation sector and revival of the economy from the COVID-19 pandemic,” AERA said.

The tariff rates for the next control period are expected to be lower. in sight of this, the Authority has reduced the tariff rates within the half-moon of the ultimate year of the Third Control Period, FY 2026, which can also continue till tariff determination for the Fourth Control Period, it further said.

The airport sought a rise of UDF from Rs 281 to a whopping Rs 608 from October 1, a jump of 116 percent for departing domestic passengers. Similarly, the airport operator sought a 231 percent hike on international passengers to Rs 1,300 from the present Rs 393.

The GHIAL, during the third control period proposed to gradually increase the UDF up to Rs 728 and Rs 2,200 by the top of 2025-26 for domestic and international passengers respectively.

The Authority decided to not allow the cost of Rs 519 crore towards metro connectivity during the Third Control Period thanks to lack of more and specific details.

The GMR group earlier said it’ll be investing over Rs 500 crore during a Rs 5,000 crore metro rail link project being proposed by the Telangana government for connectivity to the aerodrome from various parts of the town .