Monday, April 21, 2014

Bids invited for upgrading Chennai, Kolkata airports

Less than three years back, the Airports Authority of India (AAI) spent 2,015 crore and 2,324 crore on upgrading Chennai and Kolkata airport respectively. Now, yet again, the Ministry of Civil Aviation (MCA) has initiated the process of calling private contractors for upgrading the two airports. This despite the fact that Committee of Infrastructure, headed by the prime minister, in 2006 decided that the two airports will not be privatised. The Planning Commission and the Parliamentary Standing Committee in their reports had raised objections on the privatisation plan of the ministry.
Of the total 111 airports with AAI, only four of them are listed as profit making: Chennai, Kolkata, Goa and Calicut airports. Chennai and Kolkata were expanded and upgraded by AAI three years back. The AAI had then increased the runway length and developed the car parking area. At Chennai airport, a cargo terminal with new modern import cargo complex was also developed. At Kolkata airport, the AAI had upgraded the terminal building and strengthened the runway and developed aircraft parking spaces.
Three years down the line, the MCA has yet again called for a fresh bid for upgrading the airport and other city side infrastructure. This time the ministry wants to give these airports to private operators to re-do the terminal building and develop the city side infrastructure on the lines of Mumbai and Delhi airport.
21/04/14 Daily News & Analysis
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