Starting May 16, 2025, passengers traveling through Mumbai’s Chhatrapati Shivaji Maharaj International Airport (CSMIA) will experience increased costs due to a revised User Development Fee (UDF) structure approved by the Airports Economic Regulatory Authority of India (AERA).
This adjustment aims to fund ongoing infrastructure enhancements and align charges with the ‘User Pays’ principle. Under the new tariff plan, domestic passengers departing from Mumbai will pay a UDF of ₹175, while arriving domestic passengers will incur a fee of ₹75. Previously, domestic travelers were charged ₹120 solely for departures. International passengers will see a differentiated fee based on travel class. Departing economy class passengers will pay ₹615, and business class passengers will be charged ₹695. For arrivals, economy class travelers will pay ₹260, while business class passengers will incur a fee of ₹304. This marks a significant increase from the earlier flat rate of ₹187 for all international passengers.
AERA’s decision reflects an effort to distribute the financial responsibility of airport infrastructure usage more equitably among passengers. The authority emphasized that both departing and arriving passengers utilize airport facilities such as aero bridges, travelators, and conveyor belts. Therefore, charging both sets of passengers ensures a fair allocation of costs. Additionally, the differential charges for economy and business class passengers align with the ‘User Pays’ principle, acknowledging the varying levels of services and amenities accessed by different traveler categories.
The revised UDF structure will result in increased travel expenses for passengers. For instance, a round-trip domestic journey will now cost an additional ₹250, while international economy and business class round trips will see increases of ₹875 and ₹999, respectively. However, tickets booked before May 16 for travel after that date will not be subject to the new fees. The increased revenue from the UDF is earmarked for significant infrastructure projects at CSMIA, including the demolition and reconstruction of Terminal 1, which is expected to enhance the airport’s capacity and efficiency. These developments are part of a broader initiative to create a more sustainable and eco-friendly airport environment, aligning with global standards for green aviation infrastructure.
To mitigate the financial impact on airlines and maintain operational efficiency, AERA has concurrently rationalized landing and parking charges, keeping them at competitive levels. This approach aims to balance the need for infrastructure funding with the operational viability of airline services. The revised UDF structure will remain in effect until March 31, 2029, covering the fourth control period. During this time, stakeholders will monitor the impact of these changes on passenger traffic and airport operations, ensuring that the objectives of sustainability, affordability, and equitable cost distribution are met.
As Mumbai continues to evolve as a major aviation hub, these adjustments represent a strategic move towards enhancing infrastructure while promoting sustainable and equitable growth in the aviation sector.
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