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Ahmedabad airport’s user development fee increased nine-fold in five years

by TLAteam December 4, 2024December 4, 2024
written by TLAteam December 4, 2024December 4, 2024
Ahmedabad airport’s user development fee increased nine-fold in five years

Since Ahmedabad’s Sardar Vallabhbhai Patel International Airport (SVPI) was handed over to the Adani Group, there has been a staggering increase of over 900% in the User Development Fee (UDF) in the past five years.

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The UDF is collected from passengers along with their tickets to bridge any revenue shortfall. In 2020, UDF for domestic passengers was ₹85, which is now ₹450. Similarly, the UDF for international passengers was ₹85 in 2020. This has been hiked to ₹880.

Despite this sharp increase, passengers have been complaining of long queues, lack of amenities, and inadequate services.

The Airports Economic Regulatory Authority of India (AERA) is responsible for overseeing if operators managing airports use the fees collected appropriately to enhance facilities.

AERA is also tasked with ensuring that any fee hikes are justified by improved services. However, critics claim there has been no justification for the fee hikes implemented at Ahmedabad airport, raising concerns about the adherence to regulations.

Over the past three years, the Adani Group has significantly increased fees. However, the allegations are that instead of improving passenger services, the funds are used for works outside the terminal building.

In 2020, the UDF for domestic passengers was ₹85. On March 1, 2022, it was increased to ₹250, almost doubling the fee with a hike of ₹165.

For international passengers, the UDF rose from ₹85 in 2020 to ₹635 by March 3, 2023, an increase of ₹550. For the 2024-25 fiscal year, the UDF has been fixed at ₹450 for domestic passengers and ₹880 for international passengers, sparking further discontent among travellers.

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