IATA calls for changes to rules for passengers denied entry
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IATA calls for changes to rules for passengers denied entry

The International Air Transport Association (IATA) has called for a review of the mechanisms for distributing responsibility and costs between airlines and governments in cases where passengers are denied entry upon arrival.

The association believes that the financial obligations of air carriers should depend on the reasons for the refusal and the degree of influence carriers could have had on the situation. This position was set out in an IATA press release issued in Macau on October 30, 2026.

Airlines are taking steps to prevent such incidents by checking passenger documents before departure. Nevertheless, IATA notes that carriers cannot always foresee all possible reasons for entry refusal. Factors beyond their control include incomplete information, complex fraud schemes, changing migration trends, and decisions made by state bodies regarding immigration and security.

According to rules agreed upon by states through the International Civil Aviation Organization (ICAO), airlines are responsible for accommodating and servicing passengers who are denied entry due to incorrect documentation. If the refusal occurs for other reasons, the costs must be covered by state authorities. However, IATA points to a lack of transparency in immigration decisions and limited information available to airlines before departure.

Nick Karin, IATA's Senior Vice President for Operations, Safety, and Data Protection, stated that passengers can be denied entry even after the airline has checked their documents. In such situations, carriers face additional expenses, including fines. He added that airlines often receive bills or notifications of fines without an explanation of the refusal.

More transparent information exchange would help prevent such cases and ensure a fairer distribution of costs. The IATA report is based on a survey of 49 airlines and 22 border services. Most surveyed airlines reported that documentation and processing errors account for about 20–30% of passenger entry refusals.

Furthermore, 40 out of 49 airlines reported instances where immigration services did not disclose the grounds for refusal. This forced carriers to organize the return of passengers without knowing the reasons for the decision. More than 90% of surveyed airlines stated that they paid at least part of the costs that, according to ICAO rules, should be covered by governments.

A passenger's denial of entry can lead to flight delays, the need to rebook tickets, disruption of aircraft and crew schedules, the need for escort, and prolonged coordination with authorities. According to the study, the average cost of one denied passenger was approximately $4,000 in North Asia and $14,000 in Europe.

Responsibility mechanisms, the scope of services provided, return procedures, and the level of fines vary significantly between countries and even between airports within the same country. All airlines participating in the survey reported operational delays related to passenger refusals.

The report also provides an example where an airline received a bill for nearly 60,000 euros for the accommodation of a passenger who was denied entry. The passenger was held by the government for six months awaiting assistance from the embassy, with accommodation costing 300 euros per day. Karin called this case exceptional, emphasizing that while airlines are willing to take responsibility for their mistakes, they should not face unlimited large expenses when circumstances are beyond their control.

IATA urges governments to clearly separate situations where the airline failed to meet its document verification obligations from those over which the carrier had no control. The association also insists that fines and cost-sharing schemes must take into account the airline's due diligence, the degree of its control over the situation, and the specific reasons for refusal. Furthermore, carriers must be provided with information regarding the reasons for refusal within legal limits.

To reduce the number of such cases, IATA recommends wider implementation of interactive pre-passenger information systems (iAPI), digital document verification tools, cooperation mechanisms with immigration service liaisons, and channels for quick dispute resolution. The association argues that these tools will help identify problems before departure and resolve contentious issues more quickly.

Another suggestion concerns the return of passengers denied entry. IATA believes that governments and airlines should develop timely notification procedures and improve coordination. Karin noted that both parties are interested in ensuring border security while facilitating seamless travel. This requires determining as early as possible whether a passenger has the right to enter the destination country, and in case of refusal, allocating responsibility and costs according to each party's actual ability to control the situation.

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Oxera study shows airport fees have limited impact on European airfare costs
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Oxera study shows airport fees have limited impact on European airfare costs

According to a study conducted by Oxera on behalf of Airports Council International Europe (ACI EUROPE), airport usage fees have only a minor and ambiguous influence on air ticket prices in Europe. Competition among airlines and airport congestion exert a much more significant impact on ticket costs.

The researchers analyzed over 62,000 data points covering nearly 6,000 European air routes. The results of this analysis, presented in the report 'What Really Drives Airfares' published in Brussels, covered 5,915 routes involving 54 European airports over four IATA seasons from 2023 to 2025, as reported by ACI EUROPE.

This study is being conducted against the backdrop of the European Commission's review of the EU Airport Fees Directive and slot allocation rules. Furthermore, slot allocation rules are also under discussion in the UK.

During the study, the impact of a 10% increase in each of the three factors on air ticket prices was compared. A 10% rise in airport fees was associated with only an average price increase of 0.35%. In contrast, a 10% increase in airport congestion led to a tariff increase of 0.93%, while a 10% concentration of airlines on a route was linked to a 1.06% increase.

The average pass-through coefficient of changes in airport fees to ticket prices is estimated at approximately 26%. Using some models, this effect from airport fees was not statistically significant.

According to the study, airport congestion allows airlines to benefit from what is known as a scarcity premium. This premium is estimated at 6.4 billion euros annually, equivalent to an average of 13.54 euros per one-way ticket at congested airports. ACI EUROPE noted that this phenomenon affects not only major hub airports like Heathrow in London but also airports across Europe with limited capacity.

The appearance of a new airline on a route was associated with an average fare decrease of 6.7%, while an airline exiting led to an increase of 9.7%. When competition is measured at the level of airline groups rather than individual brands, market concentration is on average 20% higher.

The study also found that tickets purchased 14 days before departure cost, on average, about 20% more than those bought 60 days in advance, even though airport fees remained unchanged during this period. Oxera calculated that if congestion and airline concentration at all sampled airports did not exceed their respective median levels, passengers could save about 19.5 euros on a one-way ticket. The total potential savings would be 8.2 billion euros per year, although the authors emphasized that this is an illustrative scenario, not a forecast.

ACI EUROPE CEO Olivier Janckovec stated that the results refute the claim that reducing airport fees benefits consumers. He noted: 'It is a convenient argument for airlines seeking to cut costs and protect their profits, but it does not withstand economic scrutiny. Airport fees influence which airports airlines choose, where they develop their route networks, and where they place capacity. However, there is no direct link between fees and fares. In other words, reducing airport fees simply does not lead to lower prices for passengers.'

In Janckovec's view, this study points to three interconnected priorities: strengthening competition among airlines, more efficient use of airport capacity, and attracting investment to meet future demand. He added that achieving these goals requires reforms in slot allocation rules in the EU and the UK. He also mentioned that this issue was raised more than two years ago in the Draghi report.

In support of the reforms, ACI EUROPE presented an updated position on airport slots. The organization proposes tightening rules for new market entrants to ensure effective competition. It also advocates for more efficient use of scarce airport capacity and greater transparency in slot allocation. Another proposal is to give airports more influence over how their capacity is distributed, taking into account the needs of local communities. The document clarifies that the figures provided represent average estimates from the study sample and should not be considered forecasts for individual routes. The policy recommendations reflect ACI EUROPE's interpretation of the results.

MIAL insists on the plan to shift flights to Summer 2027, despite airline objections
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business-standard.com

MIAL insists on the plan to shift flights to Summer 2027, despite airline objections

Mumbai International Airport Ltd (MIAL), controlled by Adani Group, reiterated on Monday that airlines must independently decide whether to shift their flights to Navi Mumbai airport, temporarily suspend operations in Mumbai, or seek other options within the schedule for Summer 2027.

In its communication to the Airline Operators Committee (AOC), which represents airlines operating at Mumbai airport, MIAL emphasized again that during the summer period of 2027, Mumbai airport will serve approximately 5 million fewer passengers annually due to the closure of Terminal 1 for reconstruction. Both airports, Mumbai and Navi Mumbai, are managed by Adani Group.

MIAL's response to the AOC followed two days after the committee sent a letter to MIAL rejecting any unilateral redistribution of traffic, reduction of slots, or relocation of international operations without proper procedure. The AOC stated that airlines did not agree to transfer international operations to Navi Mumbai or to any reduction or cancellation of existing slots.

In an email to AOC members on Monday, MIAL referred to a meeting held on October 13 with airlines, noting that individual carriers have complete freedom in making decisions regarding their plan for the Summer 2027 schedule. MIAL clarified: 'As we explained at the October 13 meeting, the capacity of Mumbai airport should be limited by approximately 5 million passengers per year according to the S27 schedule.'

S27 is a commonly accepted abbreviation in the aviation industry for the Summer 2027 flight schedule. In aviation, the summer schedule is valid from the last Sunday of March to the last Saturday of October, while the winter schedule runs from the last Sunday of October to the last Saturday of March.

Furthermore, MIAL reported that airlines can choose to shift part or all of their operations to Navi Mumbai, temporarily halt activities at Mumbai airport until Terminal 1 resumes operation, or seek alternative locations. The operator added that the decision to participate in consultations with the Airport Operations Control Centre (AOCC), which coordinates airport operations, remains solely up to each individual airline.

The airport operator also confirmed that it will restore all historical slots at Mumbai airport after the completion of Terminal 1 reconstruction and its commissioning by 2030. A slot is a designated time when an airline can take off or land at the airport.

The dispute began in August when MIAL started discussions about shifting international flights to Navi Mumbai as part of the Terminal 1 reconstruction. Following this, the operator proposed moving 265 out of 770 weekly international flights from Terminal 2 of Mumbai airport to Navi Mumbai during the winter schedule, which begins on October 26.

MIAL's plan is linked to the reconstruction of Terminal 1, which is expected to be closed for restoration. The airport operator stated that the capacity of approximately 5 million passengers should be limited at Mumbai airport during Summer 2027, insisting that the reconstruction is necessary to address the issues of Terminal 1's outdated infrastructure.

Airlines questioned the basis for the proposed shift and requested detailed information on terminal capacity, passenger flow, and usage. The AOC also demanded clarification regarding the methodology used to determine the proposed reduction in international operations, stating that airlines cannot be forced to shift or reduce operations without the necessary data, consultation, and regulatory process.

The Ministry of Civil Aviation intervened in the dispute earlier this month. After a meeting on October 6 involving the ministry, MIAL, and Navi Mumbai International Airport, the airport operator was advised to engage with stakeholders to develop a mutually agreed transition plan instead of following its initial proposal.

At the October 13 meeting, MIAL assured airlines that the historical distribution of slots would not be disrupted during the 2026-27 winter schedule. It also announced that a joint working group would be established to develop a plan for implementing the Terminal 1 reconstruction. The next meeting between the airport operator and airlines is scheduled for October 28.

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