Airports across India could soon face financial penalties for failing to maintain passenger service standards, as the Centre moves closer to introducing a new performance monitoring framework.
Officials familiar with the development said the proposed system would allow penalties of up to 5 per cent of passenger-related charges collected by airports, including User Development Fee (UDF), landing charges and parking fees, if service benchmarks are not met, per a report by Hindustan Times.
“The move is aimed at ensuring that service quality keeps pace with rising airport charges and upgraded infrastructure,” one of the officials told HT.
New monitoring framework in final stages
The framework is expected to be notified by the Civil Aviation Ministry later this year. It will mark the first formal attempt to create uniform passenger service standards across major airports while linking airport tariffs to passenger experience.
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The Airports Economic Regulatory Authority of India (AERA), which regulates airports handling over 3.5 million passengers annually, has already circulated a draft consultation paper on the proposal.
According to officials, third-party consultants have spent the past nine months studying passenger experience at airports, including Delhi, Bengaluru, Hyderabad, Kolkata, Ahmedabad, Thiruvananthapuram, Patna and Jaipur, per HT report.
The framework is expected to be notified by the Civil Aviation Ministry later this year. Representative image/ANI Around 50 service parameters to be assessed
The proposed framework will evaluate airports on nearly 50 performance indicators, including both objective and subjective parameters.
The 16 objective indicators will monitor passenger wait times at entry gates, check-in counters, security checks and baggage delivery areas. Infrastructure performance such as functioning lifts, escalators, travelators, flight information systems and aerobridge availability will also be tracked.
“Special focus will be given to passengers with reduced mobility and facilities provided to them,” an official told HT.
Additional areas under review include help desks, grievance redressal systems and staff support services.
The 18 subjective indicators will assess cleanliness, terminal ambience, walking distances, staff behaviour and overall value for money.
'Special focus will be given to passengers with reduced mobility and facilities provided to them'. Representative image/ANI Penalties, surveys and possible incentives
Officials said monthly passenger surveys will be conducted by independent agencies, while penalties may be imposed every six months.
The government is also considering incentives for airports that exceed performance targets.
“The objective is not merely to penalise airports, but to ensure service quality improves alongside infrastructure expansion and tariff increases,” one official told HT.
Similar service-linked penalty systems are already operational at airports in the United Kingdom and Malaysia.