AAI may levy user fees at Chennai, Kolkata airports
20 Oct 2009
New Delhi: The Airports Authority of India (AAI) is apparently all set to levy a ''moderate'' user fee for a ''short time'' at the Chennai and Kolkata airports in order to meet the extra cost of upgrading airports in these two metropolitan cities. Reports quoting unnamed civil aviation ministry officials suggest that the AAI will now seek approval from the civil aviation ministry and the airports regulator for imposition of the levy.
The AAI, which manages 125 airports across the country, including civil enclaves at defence airports, has so far not collected user fees at any of these airports but is under compulsion to do so now because cost escalation of projects at Chennai and Kolkata is putting its finances under pressure.
According to reports, AAI sources have let it be known that user fees levied at Chennai and Kolkota would not be high and revenues would be generated from such fees only to the minimum extent.
Latest AAI estimates suggest that the cost of revamping Kolkata airport has gone up to Rs2,750 crore, up from Rs1,950 crore, while that for Chennai is estimated at Rs2,000 crore, up from Rs1,800 crore.
AAI is upgrading 35 non-metro airports around the country at an investment of Rs2,911 crore, a task it is scheduled to complete by the end of March 2010. It is likely that it may impose some form of tolls at these airports as well.
AAI is expected to accumulate debts of Rs1,200 crore in this financial.
It posted a profit of Rs 687.21 crore in 2008-09 on revenues of Rs4,185 crore. Though its revenue over the past three years has increased by just 19 per cent, capital spending has shot up 200 per cent
