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Why flights from Noida may not be cheaper than Delhi
10 May 2026

Passengers eyeing cheaper flights from the Noida International Airport (NIA) may have to pay fares similar to or even higher than those from Indira Gandhi International Airport (IGIA).

The reason is that higher airport tariffs and passenger charges at NIA are offsetting Uttar Pradesh's low tax on aviation fuel.

Despite UP imposing 1% VAT on aviation turbine fuel (ATF), compared to Delhi's 25%, interim passenger user charges and aeronautical fees at NIA are much higher than those at Delhi airport.

IndiGo warns of higher fares at NIA
Airline objections

IndiGo, the first airline to announce services from NIA, has raised concerns over the airport's pricing structure.

The airline has formally objected to the tariff structure before the Airports Economic Regulatory Authority (AERA), warning that higher charges "will make overall fares paid by passengers traveling to and from NIA higher than IGIA."

IndiGo also claimed landing charges for large aircraft like Airbus A320s and Boeing 737s are 119% higher for domestic flights, and 53% higher for international flights at NIA.

User development fees significantly higher at NIA
Fee disparity

IndiGo also pointed out that user development fees (UDF) for domestic passengers are over four times higher at NIA.

The airline said UDF for departing and arriving domestic passengers is 406% and 404% more, respectively, while charges for international travelers are 85-89% higher.

IndiGo warned these high costs could make NIA commercially unattractive for operations on any meaningful scale due to reduced demand.

NIA operator defends tariff structure
Operator's response

In response to the concerns raised by IndiGo, the operator of NIA defended its pricing structure.

The company said that the tariffs are "in line with those at comparable greenfield and brownfield airports in the country."

It also clarified that the tariff model is designed to recover the investments over a longer period.

The first phase of NIA has been built at a cost of ₹6,500 crore.

Political intervention sought
Political intervention

The fare debate has also drawn political attention, with BJP MLA from Jewar questioning the higher ticket prices and seeking intervention from Prime Minister Narendra Modi and Uttar Pradesh Chief Minister Yogi Adityanath.

The issue comes amid the long-standing concerns raised by Delhi International Airport Ltd, which has been pressing the Delhi government for a "level playing field" in ATF taxation, to prevent airlines from shifting operations to Noida.