AAI: Development of non-metro airports moving apace

26 April 2007

The funding cost of Rs4,662 crore is being met through internal resources, rather than the private-sector funding route. Further, wholly owned subsidiaries of AAI are being created for the development and operation of these airports.

All civil enclaves and airports at Sikkim and Arunachal Pradesh are being developed by the AAI and a memorandum of understanding has already been signed between Maharashtra Airport Development Company (MADC) and the AAI for the development of the Nagpur airport.

According to the AAI, it has already awarded work orders for terminal buildings at 13 airports, and airside development, which include runway, taxiway, apron, fire station, control tower and isolation bay, for 19 airports.

Tenders have been invited for modernizing and developing terminal buildings in 10 airports and airside development at five airports.

In the current fiscal, airside work is expected to be completed at 17 airports, including Pune, Nagpur, Udaipur, Agra, Imphal, Agartala. In the next fiscal of 2008-09, airside development work will be completed at 12 airports. The works at the remaining six airports will be completed by 2009-10.

The government has also appointed UTI Bank and Capital Fortunes Ltd, as consultants to assist AAI in the selection of joint venture partners for city side development of 24 airports, which will be done through the public-private partnership (PPP) route. The JV partners have already been identified.