The Hindu Business Line : Airport modernisation: AAI recast, role for private sector mooted

New Delhi June 16 Though Tamil Nadu and West Bengal have opted for modernisation of the Chennai and Kolkata airports through the public sector Airports Authority of India (AAI), the draft civil aviation policy envisages a part role by the private sector in these ventures since the AAI is proposed to be restructured.

The draft policy suggests that in recognition of the need to infuse resources and the "participation of the private sector in this (modernisation of airports) endeavour, efforts would be made to raise funds from the capital market and through various other models of public-private partnership..."

Global partners

Also, to enable the AAI to keep pace with the latest developments, the policy proposes to allow the Authority to seek collaboration with global partners having experience in the relevant fields.

The draft policy, which was taken up by the Union Cabinet last Friday, has been referred to a Group of Ministers after some Union Cabinet Ministers raised objections to certain proposals.

The Government also intends to permit the AAI to hive off some of its services by setting up efficient subsidiaries either wholly owned by the AAI or through joint venture in collaboration with international partners.

The draft policy states that the Government will also examine various modes of public-private partnership and joint ventures, including participation of State Governments and local government bodies to support the operation of some economically unviable airports.

The Government plans to encourage the AAI to undertake perspective planning of future requirements and to initiate a scheme of incentives to popularise non-metro airports as there is paucity of parking space, traffic congestion and other infrastructure constraints at metro airports due to the spurt in air traffic.

MoU with IMD

The draft policy suggests that the Indian Meteorological Department and the AAI enter into an agreement or a memorandum of understanding to ensure better coordination between them. This is considered essential as timely and accurate meteorological information is required for safe and regular air transport.

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