Hyderabad, Aug 7 (Inditop.com) Contesting the claim of private airlines that airport charges in India are among the highest in the world, private airport operators have said that the charges are in fact among the lowest.
The Association of Private Airports Operators (APAO) Friday made this clarification and called upon the sector to work together for mutual benefit.
It cited the findings of a survey conducted last year by Jacob Consultancy, a global company specializing in airport and aviation consultancy. According to the survey, Mumbai airport was ranked at 50th place for its low airport charges in a sample of 50 worldwide representative airports.
The clarification came in the wake of recent threat by private airlines to go on strike to protest among other things high airport charges. The Federation of Indian Airlines (FIA), however, later withdrew the strike call after the government turned down their demand for a bailout package.
“In February 2009, airport charges in India were increased after eight years only once by 10 percent as against the aggregate inflation of 48 percent, based on average annual cost inflation of 5 percent,” the statement by APAO said.
The association, comprising operators of Delhi, Mumbai, Hyderabad, Bangalore and Cochin airports, also claimed that airports continue to support airlines in these challenging times by exempting landing charges on aircrafts with less than 80 seats and offering 15 percent discount on landing charges if payment is made within 15 days from the date of invoice.
The association also disputed the claim that airport charges in India constitute a very high portion of an airline’s operating costs. “The fact is that airport charges in India constitute only about 3.25 percent to 3.5 percent of total operating cost of airlines as compared to ATF (aviation turbine fuel), which constitutes 40 percent of the costs.”
“Further, contrary to general belief, Route Navigation Facilities Charges (RNFC) and Terminal Navigation Landing Charges (TNLC) do not accrue to airport operators as they relate to navigation services provided by Air Traffic Control and are charged by AAI (Airports Authority of India),” the statement added.
APAO called up on all constituents of the aviation sector to co-operate to overcome the challenges successfully and continue to offer the passengers the best of services.
