Airlines oppose Bangalore airport s tariff hike proposal; private airports support it
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Airlines oppose Bangalore airport s tariff hike proposal; private airports support it
Saurabh Sinha / TNN / Jul 24, 2021, 13:12 IST
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NEW DELHI: Private airport operators and airlines have locked horns over the issue of the former’s demands to raise tariffs for funding their ongoing expansion projects.
Airlines, on their part, oppose any hike saying this would increase cost of flying and further impact air traffic. This catch-22 situation has come to the fore yet again on Bangalore International Airport Ltd’s (BIAL) proposal to increase aeronautical tariffs and user development fees (UDF) starting this October till March 2026.
Need relief urgently to sustain operations: Private airports to government
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Need relief urgently to sustain operations: Private airports to government
Saurabh Sinha / TNN / Jun 9, 2021, 15:11 IST
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NEW DELHI: Citing a ‘precarious’ cash flow situation, India’s private airport operators have sought urgent relief from the government “ to ensure sustaining operations at airports” and “save jobs”. The Association of Private Airport Operators (APAO) on Wednesday issued a statement saying they “are not generating sufficient cash flows to sustain operations, and meet debt obligations.” Further, their downgraded credit ratings “have made it impossible to take further financing support from financial institutions” and “there is a worry that many (sectoral) jobs will be lost.”
India’s private airport operators have sought urgent relief from the government to ensure sustaining operations at airports and save jobs. The Association of Private Airport Operators (APAO) on Wednesday issued a statement saying they “are not generating sufficient cash flows to sustain operations, and meet debt obligations.” Further, their downgraded credit ratings “have made it impossible to take further financing support from financial institutions” and “there is a worry that many (sectoral) jobs will be lost.” APAO counts operators of Delhi, Mumbai, Hyderabad, Bangalore airport as its members Airport apex body says aeronautical revenues have reduced by 75-80 per cent. Hit by the Covid-19 pandemic, Indian airport operators are struggling with a severe cash crunch, according to APAO. In a letter written to the Ministry of Civil Aviation (MOCA), the airport apex body, requesting help, said that the aeronautical revenues have reduced by 75-80 per cent whereas, th