AERA hikes Bangalore airport charges; IATA opposes the move

June 16, 2014

New Delhi, Jun 16: Airport tariff regulator AERA has fixed Rs 1,368 and Rs 342 per international and domestic passenger as user development fee (UDF) and other charges for Bangalore's Kempegowda airport but the airlines have opposed the ''over 100 per cent'' hike in tariff.Bangalore airport

In a latest order, the Airports Economic Regulatory Authority (AERA) also fixed charges for aircraft landing, parking, housing and other charges from July 1 till March 31 next year and higher tariff rates from April 1, 2015 till March end 2016.

While only UDF levels were lowered for 2015-16 to Rs1,226 for embarking international passengers and Rs 306 for domestic passengers, all the other tariffs were hiked for this period.

Terming the move as "a double whammy to Indian aviation", IATA's Regional Vice President (Asia Pacific) Conrad Clifford said in a statement that international airlines operating to Bangalore would now face "a steep increase in their operating costs with a 145 per cent increase in landing charges and a 105 per cent increase in parking charges".

The official of the global airlines body said it was also "disappointing" that AERA "deviated from the single till approach" in the case of Kempegowda International Airport which was "contrary to what AERA had previously opined that the single till approach was most appropriate for India".

"This deviation in policy can increase costs for airlines and passengers, thus negatively impacting traffic. This will hurt an already fragile Indian aviation industry," Clifford said, adding that funding airport development was "not a valid justification to deviate from the single till approach."

Under the 'single till' principle, airport activities, both aeronautical and commercial, are taken into consideration to determine the level of airport charges. By contrast, only aeronautical activities are taken into consideration under the dual till principle.

Maintaining that funding of the airport could be done through other means like equity, loans and bonds, Clifford said: "Instead, airport users are being penalised by being a convenient source of funding. They are unfairly made to pay for facilities that have yet to be built."

The International Air Transport Association (IATA) has been stressing that aviation should be treated as a strategic national asset that would pay dividends to the Indian economy.

Aviation supports 8.8 million Indian jobs and underpins 1.5 per cent of GDP, as per IATA figures.

"This could be a lot more. And the more globally connected that India is, the more opportunities will be created for jobs, trade and inward investment. AERA's decision is a step backwards for Indian aviation," the IATA officer said from Singapore.

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News Network
June 10,2020

New Delhi, Jun 10: India on Wednesday reported a spike of 9,985 more COVID-19 cases in the last 24 hours, taking the country's COVID-19 count to 2,76,583, according to the Union Ministry of Health and Family Welfare.

279 deaths were reported in the last 24 hours taking the total death toll to 7,745.

The total number of active cases has reached 1,33,632 while 1,35,205 patients have recovered. While one person has migrated.

With 90,787 cases, Maharashtra reported the highest number of coronavirus cases in the country followed by Tamil Nadu with 34,914 cases.

According to the Indian Council of Medical Research (ICMR), 1,45,216 samples were tested in the last 24 hours while overall 50,61,332 samples have been tested so far.

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Agencies
May 28,2020

Kochi, May 28: In these pandemic times, when the businesses are gravely affected and the MSMEs are particularly feeling the heat, a Kerala institute has come up with an initiative to help the distressed industry. The Institute of Small Enterprises and Development (ISED) has come out with a unique platform -- 'business clinic' for extending advisory services to the COVID-19 affected MSMEs in the state.

The Kochi based ISED's multi-disciplinary team of experts will offer free guidance to entrepreneurs to make a self-evaluation for improving their performance.

It will serve the interests of the MSMEs, entrepreneurial aspirants, such as the returning migrants, start-ups, educated unemployed, and women entrepreneurs.

ISED director, PM Mathew said COVID-19 pandemic has shattered the budgets and operations of most SMEs, globally, as also in India.

"Post-lockdown, the operational problems are likely to get aggravated. Beyond the broad macro level projections and debates, it is now time to act at the grassroots level. Many entrepreneurs need appropriate clinical assessment, and moral and psychological support, said Mathew.

According to the work force participation data at the national level, Kerala is ranked 31 in terms of the number of self employed, and placed in second rank in relation to the size of casual labour.

The Kerala Enterprise Development Report, brought out by the ISED states while the number of the unregistered enterprises is sizeable, constituting 76.85 % of the total, the respective share of registered MSMEs is only 9.53 %.

The constraints to these enterprises today are, poor sales, large inventory, delayed payments, damage of stock, wage bill arrears, unreliable labour supplies, fund diversion due to exigencies, GST related problems, and NPA/poor credit score.

"For all businesses, unlike in a sporadic recession in the economy, the danger today is circular and cumulative. Both from the demand side, and the supply angle, there is a serious contraction of business activities, which essentially means a glut in the cash flow. Corporate businesses, obviously, will come out of the mess due to their relative advantages of high reserve funds, liberal credit offerings, and easier access to alternative sources of finance," said Mathew.

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Agencies
February 11,2020

New Delhi, Feb 11: Delhi BJP chief Manoj Tiwari on Tuesday said the party will review why it failed to meet its own expectations in the Assembly polls and saw a moral victory in the fact that the party's vote share has increased since 2015.

"Delhi must have given mandate after careful thinking. Our vote percentage has increased from 32 per cent to around 38 per cent. Delhi did not reject us and the increase (in vote share) is a good sign for us," he told reporters.

He said the BJP hopes that there would be less blame game and more work in the national capital and congratulated Arvind Kejriwal on his party's victory in the polls.

After winning the Patparganj seat, AAP senior leader Manish Sisodia accused the BJP of indulging in the politics of hate.

"We indulge in politics of development not politics of hate. We're against the roadblock in Shaheen Bagh as we were earlier," he said.

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