Long queues to check-in gaps: Soon, airports could be penalised over passenger service lapses

AIrports in republic of india could before long human face financial penalties for weakness to encounter passenger service standards, with the government in the final stages of rolling out a performance monitoring framework, multiple officials aware of the development told HT.Under the proposal, airports that fail to meet prescribed service benchmarks may be penalised up to 5% of the passenger-related charges they collect — including User Development Fee (UDF), landing and parking charges. Of this, 4% will be linked to objective parameters and 1% to subjective ones.“The move is aimed at ensuring that service quality keeps pace with rising airport charges and upgraded infrastructure,” one of the officials said.The framework, expected to be notified by the civil aviation ministry this year, will be the first attempt to create uniform service standards for major airports and formally link passenger experience to airport tariffs.A draft consultation paper by the Airports Economic Regulatory Authority of India (AERA) — which regulates all airports handling 3.5 million or more passengers annually, around 35 in total — notes that service quality assessments are currently carried out largely by airport operators themselves or by agencies they appoint, a system it identifies as inadequate.As part of the exercise, third-party consultants visited airports including Delhi, Bengaluru, Hyderabad, Kolkata, Ahmedabad, Thiruvananthapuram, Patna and Jaipur over the past nine months to study passenger touchpoints, facilities and infrastructure.The government will assess airports on around 50 parameters covering objective, subjective and additional key performance indicators.The AERA draft proposes classifying airports within its jurisdiction into two categories based on annual passenger traffic: Category A for those handling 6 million or more passengers, and Category B for those below that threshold.However, one official said the final framework may use three tiers — large, medium and small — with full implementation on large airports and selective application on medium ones.The 16 objective parameters cover core processes — passenger wait times at entry gates, check-in counters, security checks, baggage delivery and arrival processing — as well as infrastructure uptime, including flight information display systems, lifts, escalators and travelators, aerobridge availability, seating at boarding gates, and automated services.“Special focus will be given to passengers with reduced mobility and facilities provided to them,” an official said.Help desks, staff assistance and grievance redressal systems will also be monitored.The 18 subjective parameters include airport cleanliness, ambience, walking distances within terminals, staff courtesy and value for money.Monthly surveys will be conducted by a third party, with penalties imposed every six months, another official said. Survey findings will be made public, though a final decision on whether airports will be formally ranked is yet to be taken.The government is also considering incentives for airports that exceed performance targets, a third official said.Officials said the framework will also track a set of forward-looking indicators — minimum connection times, passenger misconnects, transfer passenger landside access, and availability of cloak rooms, baby care rooms and unbooked wheelchairs — though these will not attract penalties initially.“The objective is not merely to penalise airports, but to ensure service quality improves alongside infrastructure expansion and tariff increases,” one official said.Comparable frameworks linking service standards to financial consequences are in place at Heathrow in the UK and at airports in Malaysia.Malaysia introduced a service quality framework in October 2016 to help airports operate efficiently while improving convenience for passengers, airlines, ground handlers and other airport users. The framework focuses on enhancing passenger comfort, prioritising service standards and improving the overall airport experience. It sets performance standards and key performance indicators (KPIs) for Kuala Lumpur International Airport’s Terminal 1 and Terminal 2 across four categories. If an airport fails to meet the prescribed standards, it may be required to pay a rebate of up to 5% of its total turnover, payable quarterly to the Malaysian Aviation Commission (MAVCOM).In its 2024 revision of charges for London Heathrow Airport, the UKCAA imposed service standards and established parameters, failure to achieve which standards may lead to rebates. Overall, up to 7% of revenue could become payable if the airport fails to achieve these standards. In addition, high performance in certain standards could result in a bonus to the airport operator of up to 1.44% of revenue