Centre negotiating with states on fuel tax on air travel

HYDERABAD: The central government is negotiating with state governments to rationalise fuel tax on air travel, Union Minister of Civil Aviation Syed Shahanawaz Hussain said here on Saturday.
Thanking the Andhra Pradesh government for collecting lowest fuel tax of four per cent, Hussain said fuel tax vary significantly from state to state.
"While Andhra Pradesh government is collecting lowest tax, Kerala is collecting highest tax of 39 per cent."
The Civil Aviation ministry has taken an initiative to rationalise the fuel tax structure to reduce the burden on passengers, he said.
Referring to the proposed International Airport at Shamshabad near Hyderabad with participation of private operator, Hussain said all obstacles were being removed in the development of the new airport which, he hoped, would be completed as per schedule.
The Airport Authority of India has taken up various works to extend the runway and improve other facilities at the Hyderabad airport at a cost of Rs 22.45 crore to facilitate landing of international fights, he added.
The works taken up by AAI include extension of runway length up to 10,598 ft and strengthening of runway and apron for AB-330, he said, adding that all work would be completed by the end of January, 2004.