Passengers will be charged more UDF
Airlines to Benefit from Reduced Charges
MUMBAI: Mumbai International Airport Limited (MIAL) has proposed a new User Development Fee (UDF) structures part of its long-term plan to upgrade infrastructure at Chhatrapati Shivaji Maharaj International Airport (CSMIA). The proposal, submitted to the Airport Economic Regulatory Authority (AERA), aims to support a ₹10,000 crore investment-in airport development by 2029. Under the proposed revision, passengers will be charged:
- ₹325 for domestic departures
- ₹650 for international departures
The increased UDF will be offset by a 35% reduction in airline landing and parking charges, a move expected to help airlines manage operational costs and keep ticket prices competitive.
Major Infrastructure Overhaul Planned
MIAL has outlined a multi-phase infrastructure expansion, including:
- Redevelopment of Terminal 1
- Capacity expansion and digitalization of Terminal 2
- Airside improvements and implementation of smart passenger technology
To minimize disruptions, the demolition of Terminal 1 is scheduled to begin in November 2025, with passengers accommodated at CSMIA Terminal 2 and the upcoming Navi Mumbai International Airport, which is set to be operational by 2025.
Revenue and Sustainability Goals
The revised UDF structure is part of a broader financial strategy, with the Yield Per Passenger (YPP) expected to rise from ₹285 to ₹332, an 18% increase in line with AERA’s consultation paper. Over the next five years, the airport plans to recover ₹7,600 crore from an estimated 229 million passengers. Additionally, CSMIA has committed to achieving net zero emissions by 2029, aligning with global sustainability goals.
Impact on Passengers
While passengers will see a moderate increase in departure charges, the infrastructure investment is expected to enhance the overall travel experience, reduce congestion, and ensure Mumbai Airport remains a key aviation hub in India.
