GVK plan to hike Mumbai airport charges rankles airlines

Bangalore: As the modernisation and privatisation of Mumbai airport gets rolling, initial signals that indicate rise in airport charges are scaring off airline operators, who were expecting to lower costs with improved efficiencies and better airport infrastructure.
The proposal of GVK-led private airport operator Mumbai International Airport Ltd (MIAL) to raise check-in rentals from the current Rs 6,500 per month to Rs 30,000 per month is not going down well with many carriers, particularly budget airlines, which operate on very thin margins.
An Air Deccan spokeswoman fears that the increase in airport services charges could later trickle down to landing fee, takeoff fee and others.
“They are still very slow in responding to us. It has not changed much from what it was when it was state-owned,” says SpiceJet Ltd airport manager Rajesh Singh.
Meanwhile, the MIAL officials do not rule out a hike.
11/07/06 Praveena Sharma/Daily News & Analysis

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