Air India proposes lower landing charges for Delhi airport

Air India has requested lower landing charges and incentives to boost international traffic at the Delhi airport. The airline, owned by the Tata Group, made these proposals to the Airports Economic Regulatory Authority (AERA) for the 2024-2029 tariff period. The airline is expanding its long-haul operations in response to rising air traffic demands. Air India CEO Campbell Wilson noted that a supportive market structure is essential for India's goal to become an aviation hub. The airport operator, DIAL, has suggested different fees based on passenger classes and peak hours. In its proposal, Air India emphasized the need for incentives to increase international to international (I2I) traffic. Air India suggested that AERA could reduce landing charges for long-haul flights by at least 30%. Long-haul flights typically last more than nine hours, while ultra long-haul flights exceed 16 hours. The airline also proposed a 20% reduction in user development fees (UDF) to encourage the use of wide-body aircraft on domestic flights. Wilson stressed that Delhi and Mumbai should be pivotal hubs for both international travelers and those flying domestically. He reiterated that the current tariff discussions are crucial for developing India as a major aviation center.