Mumbai: Travellers at Mumbai's Chhatrapati Shivaji Maharaj International Airport (CSMIA) may soon face a significant increase in the User Development Fee (UDF). Reports from Times Now indicate that airport officials have proposed raising the UDF, effective from the next financial year, contingent on a meeting scheduled for March 25 in Delhi.
The Mumbai International Airport Limited (MIAL), which oversees operations at CSMIA, has submitted this proposal to the Airport Economic Regulatory Authority (AERA). A simultaneous suggestion has been made to reduce landing and parking fees by 35 percent.
Mumbai Airport proposes a user development fee of Rs 325 for domestic & Rs 650 for international passengers to fund ₹10,000 crore infrastructure upgrades over 5 years. pic.twitter.com/cDKLKOGbjO
— Indian Tech & Infra (@IndianTechGuide) March 18, 2025
The proposed UDF for international travellers is set to rise to Rs 650, while domestic travelers, currently exempt from the fee, might be charged Rs 325. The UDF is a fee collected by airlines on behalf of airport authorities aimed at funding infrastructure upgrades, modernization, and maintenance. Currently, CSMIA has one of the lowest UDF rates in the country, at Rs 187 for international departures.
Adani proposes ‘User Fee’ hike for Mumbai International Airport. Ultimately, it will be collected from the Citizens through increased ticket prices.
— Raju Parulekar (@rajuparulekar) March 19, 2025
So Adani now determines the Electricity Tariffs for supply of electricity in Mumbai, TDR that would be generated through Dharavi… pic.twitter.com/FJa7BNlqct
The need to raise the UDF stems from the airport's heavy passenger traffic and the necessity for infrastructure improvements. An official noted that the funds will be used for enhancements such as self-baggage drop services, digital travel solutions, facial recognition e-gates, improved lounges, and sustainability projects. Under the proposed changes, the increase in UDF for international travelers could reach Rs 650, while an alternative plan suggests a fee of Rs 463. This potential rise reflects the ongoing efforts to modernize the airport facilities to better accommodate millions of travellers annually.
As Aurangazeeb is being discussed - Adani increases the user fee From ₹187 to ₹650 at Mumbai airport .
— Salem Dharanidharan (@dharanisalem) March 19, 2025
Common man suffers - . Already flight charges have exponentially increased due to monopoly. pic.twitter.com/kVn0Mh4cZ7
According to the Airports Authority of India, the User Development Fee (UDF) being implemented at new Greenfield and Joint Venture airports for departing passengers is as follows: Bengaluru International Airport charges Rs. 260 for domestic and Rs. 1070 for international passengers; Hyderabad International Airport charges Rs. 375 for domestic and Rs. 1000 for international passengers; Delhi International Airport charges Rs. 200 for domestic and Rs. 1300 for international passengers; while Mumbai International Airport charges Rs. 100 for domestic and Rs. 600 for international passengers.
In line with this fee structure, there is a proposal to reduce landing and parking fees, potentially beneficial for airlines. MIAL has suggested a 35 percent decrease in these fees for the fourth control period (FY2024-2029). The Airports Economic Regulatory Authority (AERA), responsible for setting tariffs at major airports, will review this proposal and make a decision. The final determination will be made following stakeholder consultations at a meeting in Delhi on March 25.
Airports such as Hyderabad and Bengaluru are implementing UDF to ensure their financial sustainability, while both Delhi International Airport Limited (DIAL) and MIAL have received government approval to impose UDF at their respective airports to aid modernization efforts.