Ahmedabad fallout: AERA warns airports towards levying further costs on constitution flights

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Ahmedabad fallout: AERA warns airports towards levying further costs on constitution flights

NEW DELHI: The Airports Financial Regulatory Authority (AERA) has warned operators towards levying further costs on constitution flights, saying the identical violates the provisions of the AERA Act. The warning, issued on November 7, comes after the Adani group had raised costs for constitution flightsat Ahmedabad Airport through the ongoing ICC World Cup. Airways had complained towards this further levy.The regulator has warned of “stringent punitive motion” towards airport operators not complying with the principles and “directed” them “to desist from resorting to such practices (mandating availing of non-obligatory non-aeronautical companies as a pre- requisite for offering aeronautical service), if any.”
“It has been reported to AERA by stakeholders that some airport operators (main airports) are imposing/levying costs for non-aeronautical companies (like Elite Meet and Greet Service), that are in any other case an non-obligatory service for constitution/plane operators, and making them a pre-requisite, for availing aeronautical companies in respect of constitution flights. Making such non-aeronautical costs obligatory for availing aeronautical companies tantamounts to altering the aeronautical costs, thus violating the provisions of AERA Act, 2008,” the order issued by AERA says.
Feedback have been sought from the Adani Group and are awaited.
“It’s hereby clarified that Part 2(a) of the AERA Act, 2008, explicitly defines aeronautical companies and doesn’t entail availing any non aeronautical service (viz, Elite Meet and Greet Service), as a compulsory pre-requisite, for offering aeronautical companies (viz, working the plane constitution on the airport). Airport operator(s) resorting to such practices (mandating the availing of non-obligatory non-aeronautical service as a pre-requisite for offering aeronautical service), if any, are in clear violation of the AERA Act, 2008,” it provides.
In response to the tariff listing issued by Ahmedabad airport in September, the airport levied a minimal of Rs 265,000 as normal aviation costs for any constitution flight carrying greater than 15 passengers. Above that, it could cost Rs 17,667 per passenger. The airport additionally levied further costs on particular flights operated throughout IPL at Rs 6,000 per passenger. These costs are over and above the touchdown and parking costs.
Airways had finalised constitution agreements with based mostly on earlier costs. The imposition of those new final minute ones needed to be borne by airways. It’s learnt the Adani Group stated AERA nod is required for aeronautical costs whereas the additional charges levied to cowl further bills incurred for the improved flight motion had been non-aero costs for which the regulator’s nod just isn’t required.