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User development fee at KIA to go up by 120%

BENGALURU: Passengers must shell out more cash for air tickets booked between April 16, 2019 and August 15, 2019 with person construction charge (UDF) at Kempegowda International Airport (KIA) being hiked by means of nearly 120% for a period of 4 months.

With effect from April 16, UDF for domestic departures might be revised from Rs 139 to Rs 306 and world departures from Rs 558 to Rs 1,226. After August 15, the former UDF rates will come into place, Bangalore International Airport Limited (BIAL) authorities stated on Monday.

While the revised UDF is predicted to extend passengers’ expenses, it is going to spell reduction to BIAL, which is lately wearing out a massive capability enlargement of the airport. The further finances will provide BIAL the specified money waft for implementation of the project, stated BIAL authorities.

“This incremental increase in fees would offer BIAL much-needed reduction as we're in the middle of a Rs 13,000 crore capability enlargement to cater to the stupendous growth of the aviation sector in India...As mandated by means of the Airports Economic Regulatory Authority (AERA), cash generated from the rise in UDF, during these 4 months, might be deposited in a separate bank account and might be used simplest to fund the infrastructure enlargement,” stated Hari Marar, MD and CEO, BIAL.

UDF has been higher according to an AERA modification issued on April 4, 2019 to its previous order no. 18/2018-19, following the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) ruling of March 14, 2019, allowing BIAL to gather revised fees for a restricted period of 4 months. The UDF, which is the rate normally levied by means of airports to fund their construction and infrastructural actions in 2018, was once slashed by means of nearly 67 % by means of the Airports Economic Regulatory Authority (AERA) in 2018. Prior to this, BIAL had announced that its plans to have a 2d accessway to the airport thru an Eastern tunnel could be scrapped if the UDF were to be lower down by means of the AERA.

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