Mumbai: Mumbai International Airport Limited (MIAL), operated by the Adani Group, has announced an increase in the User Development Fee (UDF) for both domestic and international flights. The proposed fees are Rs. 325 for domestic departures and Rs. 650 for international departures. To offset the increased fees, MIAL plans to reduce airline landing and parking charges by approximately 35 per cent, helping airlines lower operational costs and maintain affordable ticket prices.
The current Yield Per Passenger (YPP) stands at INR 285, but with the proposed changes, MIAL aims to increase it to INR 332, which is an 18 per cent rise in line with AERA’s consultation paper issued in March 2025.
In a bid to strengthen Mumbai’s status as a global aviation hub, MIAL plans to invest INR 10,000 crore into the airport’s infrastructure over the next five years.
The investment is expected to recover INR 7,600 crore in revenue from an estimated 229 million passengers, striking a balance between revenue recovery and continued high-quality airport operations. This new tariff structure, which increases the UDF and reduces landing and parking fees, mirrors similar models at other major airports in India, aiming to improve passenger experience while ensuring financial stability.
Key Points Regarding Airport Transformational Projects
Terminal 1 Redevelopment: Focus on improving structural integrity and capacity of the aging Terminals 1A (30+ years) and 1B (60+ years). Also, Introduction of state-of-the-art infrastructure, expanded capacity, and better passenger facilities for long-term sustainability.
Airside Enhancements: Upgrades to runway maintenance, apron, and taxiway infrastructure are also designed to improve aircraft movement efficiency and flight operations.
Smart Passenger Technology: Adoption of next-gen digital solutions such as E-gates (DigiYatra), FTI-TTP, and IoT-driven innovations for smoother and secure travel.
Sustainability Commitments: Transition to electric vehicles and energy-efficient operations.
