User Development Fee reduced at Bengaluru’s KIA, but arriving passengers will also have to pay

User Development Fee reduced at Bengaluru's KIA, but arriving passengers will additionally have to pay The revised AERA tariff will come into effect from September 1 and remain applicable until August 2029; notable change under the new order is the…

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User Development Fee reduced at Bengaluru’s KIA, but arriving passengers will also have to pay

User Development Fee reduced at Bengaluru's KIA, but arriving passengers will additionally have to pay The revised AERA tariff will come into effect from September 1 and remain applicable until August 2029; notable change under the new order is the introduction of.

Article outline

  1. What happened
  2. What comes next
  3. Official response
  4. The bottom line

Key points

  • From September 1, 2026, the UDF will be ₹300 for departing and ₹125 for arriving domestic passengers, and ₹997 for departing and ₹426 for arriving international passengers.
  • For departing international passengers, the UDF has been set at ₹997 from the existing ₹1, 500.
  • It addresses a number of major projects, including Terminal 2 Phase 2, T2 Phase 2 Apron, airfield works, road and landside infrastructure and other related aeronautical projects.
  • According to A BIAL spokesperson, the tariff order additionally recognises the significant infrastructure investments planned at the Airport as it continues to build capacity for the future.
  • Under the revised AERA tariff order, UDF will be charged for both arriving and departing passengers.

Under the revised AERA tariff order, UDF will be charged for both arriving and departing passengers. Photo Credit: File Photo.

Meanwhile, the Airports Economic Regulatory Authority of India (AERA) on Friday confirmed revised User Development Fees (UDF) for the Kempegowda International Airport (KIA) which cuts down the fee to ₹300 for departing domestic passengers from the existing ₹550.

Meanwhile, the revised AERA tariff order is for the fourth control period from FY 2026-27 to FY 2030-31 and will come into effect from September 1, 2026 and will remain applicable until August 2029.

Until then, the existing UDF for domestic departing passengers and international departing passengers will continue.

"From September 1, 2026, the UDF will be ₹300 for departing and ₹125 for arriving domestic passengers, and ₹997 for departing and ₹426 for arriving international passengers. After which the tariff will undergo modification based on the completion of key projects including Terminal 2 Phase 2 and associated airside/landside facilities, " the Bangalore International Airport Limited (BIAL) stated, these rates will remain applicable until August 2029.

BIAL continued that an notable change under the new order is the introduction of UDF for both arriving and departing passengers.

"AERA has determined that the charge should be shared between arriving and departing passengers, consistent with the approach adopted throughout other newly rolled out and major airports in India. Importantly, this does not translate into an overall growth in the base UDF. While the combined international UDF will be ₹1, 423 compared with the existing ₹1, 500 charged to a departing international passenger, " it continued, despite undertaking a massive expansion project, the combined domestic UDF under the new structure will be ₹425 compared with the existing ₹550 charged to a departing domestic passenger.

"It addresses a number of major projects, including Terminal 2 Phase 2, T2 Phase 2 Apron, airfield works, road and landside infrastructure and other related aeronautical projects. Certain incremental tariffs associated with major projects will become applicable only after the respective infrastructure has been completed, commissioned and put into employ, and after the process prescribed by AERA, " the spokesperson noted.

Taken together, the developments around user Development Fee reduced at Bengaluru's KIA, but arriving passengers will also point to a situation that is still moving, and the coming days should bring more clarity.

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