India Signs Long-Term Fuel Supply Deal with Mauritius; Bengaluru Airport Cuts Domestic Passenger Fee by 45%

India signed a long-term fuel supply arrangement with Mauritius covering petrol, diesel and aviation fuel, while Bengaluru airport's domestic passenger fee will drop 45% to Rs 300 from September 1.

Original report
economictimes.indiatimes.com

Industry impact

Lower airport passenger charges under AERA's new tariff framework could ease cost pressure on domestic air travel while infrastructure costs are recovered incrementally as projects complete.

India has entered a long-term supply arrangement with Mauritius covering petrol, diesel, and aviation fuel, signed during Oil Minister Hardeep Puri's visit to the island nation. The agreements include a government-to-government memorandum of understanding on oil and gas cooperation and a separate sales agreement with Indian Oil. Mauritius did not disclose supply volumes.

Separately, Bengaluru airport's passenger fee for departing domestic travelers will fall 45% to Rs 300 from September 1, under a new tariff order issued by the Airport Economic Regulatory Authority. The international passenger fee has been cut to Rs 997, and an incremental revenue framework has been adopted, linking the recovery of major infrastructure costs to project completion.

India's government also announced plans to invest Rs 28,840 crore over the next 10 years to expand the UDAN regional air connectivity scheme, Civil Aviation Minister Ram Mohan Naidu said.