Flying out of Hyd now costlier than any other metro

Hyderabad: Flying out of Hyderabad is now more expensive than any other major Indian metro. The Rajiv Gandhi International Airport (RGIA) currently levies the nation's highest User Development Fee (UDF), according to ministry of civil aviation (MoCA) data recently tabled in the Rajya Sabha.RGIA charges Rs 750 per passenger as UDF for domestic departures, the highest rate among major airports. For international departures, passengers pay Rs 1,500 per person.
In comparison, Kempegowda International Airport in Bengaluru charges Rs 550 for domestic departures, while its international UDF matches Hyderabad at Rs 1,500. However, Delhi and Mumbai airports charge significantly lower rates. At the Indira Gandhi International Airport (IGIA) in Delhi, domestic passengers pay Rs 129 for embarking and Rs 56 for disembarking, while international passengers pay Rs 650 for embarking and Rs 275 for disembarking. In Mumbai, domestic passengers pay Rs 175 for embarking and Rs 75 for disembarking. International flyers pay Rs 615 for embarking and Rs 260 for disembarking.According to the Airports Authority of India (AAI), the UDF or passenger service fee (PSF) is collected as part of the airfare and remitted to the airport operator. Greenfield airports like Hyderabad and Bengaluru levy these fees primarily to bridge viability gaps and recover infrastructure investments.Over the past four years, passengers flying out of Hyderabad have collectively paid nearly Rs 2,500 crore in UDF. MoCA data shows annual collections rose sharply from Rs 80 crore in FY 2020-21 to over Rs 1,000 crore in FY 2024-25, reflecting both a surge in air traffic and revised tariff structures.The financial burden on passengers increased steeply post-pandemic. The domestic UDF rose from Rs 281 per passenger in 2020-21 to the current Rs 750. For international departures, the fee jumped nearly fivefold—from Rs 393 to Rs 1,500—during the same period. The Centre established the Airports Economic Regulatory Authority of India (AERA) to determine these tariffs at major airports."AERA determines aeronautical charges, such as landing and parking fees and the UDF, by considering factors like return on investment for aeronautical assets, operating expenditure, depreciation, and tax for a five-year control period. The regulator aims to optimally balance the interests of service providers and end-users, ensuring the airport operator maintains and operates the facility with a reasonable return on investment," stated Murlidhar Mohol, minister of state for civil aviation.