NEW DELHI, MAR 27:  The standoff between the government and domestic airlines over withdrawal of congestion surcharge is likely to continue as Kingfisher Airlines chairman Vijay Mallya said on Tuesday that many airlines want to plead with the Delhi High Court and explain their position on the implementation of the surcharge.

“Congestion surcharge should not be seen with such hostility. A majority of the airlines are unable to withdraw the surcharge. I am happy to explain my position to the honorable court,” Mallya said, clearly indicating Kingfisher was not in favour of taking back the congestion surcharge. On a question about other airlines’ decision to withdraw the surcharge, he said, “you will have to check their basic fares.”

The Directorate General of Civil Aviation (DGCA) has asked all scheduled airlines for immediate withdrawal of the congestion surcharge. In a letter (a copy of which is with FE), the director general had asked all airlines to respond by March 24, 2007. The directive was issued following the high court’s notice to the ministry on a PIL challenging the private airlines’ move to levy a congestion surcharge. The private airlines had levied the surcharge in December 2006 to offset losses due to extra fuel burnt while hovering in the skies during peak traffic hours. However, by March 24 only three airlines had replied to the DGCA. While Paramount Airways had said that the airline would withdraw the surcharge but would add it to the basic fare, Indigo and GoAir had not indicated their positions clearly.
source: The Financial Express

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