Business Daily from THE HINDU group of publications Wednesday, Apr 11, 2007 ePaper |
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Logistics
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Airlines Industry & Economy - Infrastructure States - Karnataka Greenfield airports planned in Karnataka cities Madhumathi D.S.
Airport projects The current plan is to select build the airport within two years through special-purpose vehicles. The next phase of development may cover Raichur, Hassan and Kushalnagar.
Bangalore April 10 At least three smaller cities of Karnataka could be abuzz with air activity in the next 2-3 years if a new initiative to develop greenfield airports across the State succeeds. The latest attempt is to bring Shimoga and northern cities Bijapur and Gulbarga into the air loop in the first phase, connecting them with capital city Bangalore and other regional hubs.
Minimum Investment
The State Infrastructure Development Department set the ball rolling on Monday by inviting expressions of interest from private investors. The model would be smaller but similar to the large PPP (public-private partnership) airport projects taking shape in Bangalore or Hyderabad, according to a source familiar with the project. Here too, the State may chip in with the required Government or acquired land and perhaps offer some form of financial support for its part. It has been estimated that each of these new airports would warrant a minimum investment of Rs 25-30 crore for just the airport side. "People are already interested in tier-2 and tier-3 cities. For now, we are focussing on the service (or air link) aspect and not yet pushing for the commercial component of airports," which could mean more investments, the source said.
Central Plan
The current plan is to select a developer in the next six months and build the airport within two years through special-purpose vehicles. Each airport may require 200-600 acres of land. The State Government has identified 457 acres in Bijapur and is looking at acquiring 500 acres more; in Gulbarga, it has identified 567 acres; and 750 acres at Shimoga. These three towns have not seen air activity so far unlike Mysore, Hubli or Bellary, which have partly operational or idle airstrips and which are being revived through a separate Central plan. Among the many tier-2 cities that are clamouring for connectivity, Bijapur and Gulbarga are tourist destinations and Shimoga is in the Malnad belt.
Feasibility Studies
The next phase of airport infrastructure development may cover Raichur, Hassan and Kushalnagar. Feasibility studies that have been done or are under way for the three cities indicate that this would prepare the ground for smaller 40-70-seater turboprop aircraft such as the ATRs. By bringing air cover to some of these places not even linked by rail, the State Government hopes to reduce regional and economic disparities, especially with booming Bangalore.
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