New Delhi, Aug 20 - The Delhi High Court Thursday reserved its order on a public interest petition challenging the collection of airport development fee (ADF) from passengers departing from the Indira Gandhi International Airport here.

A division bench of Chief Justice Ajit Prakash Shah and Justice Manmohan reserved their order for Aug 25 after hearing the arguments from the Airports Authority of India, Delhi International Authority Limited (DIAL) and Mumbai International Airport Limited (MIAL).

DIAL counsel Abhishek Manu Singhvi submitted before the bench: 'The fee is an inter-generational fee and is being charged from passengers keeping in mind the future prospects.'

On Wednesday, Solicitor General Gopal Subrahmaniam, appearing for the government, submitted that 'development of airports is a private initiative and therefore charging fees is not wrong and well within the law.'

'The airport is to develop the area surrounding it and the existing Airport Authority Act allows various airports to charge the ADF,' he added.