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Noida International Airport Limited (NIAL) will hold one golden share in Yamuna International Airport Pvt Ltd (YIAPL), along with right to appoint two directors.
NIAL is setting up an airport at Jewar, near Greater Noida in Uttar Pradesh.
This is going to be third airport in National Capital Region, with one in Delhi and another at Hindon (for regional connectivity under UDAN scheme).
A ‘Golden share’ gives a right to veto any proposal in the board meeting. It is just like Airport Authority of India (AAI) has in privatised airports such Delhi or Mumbai.
NIAL, on Saturday, signed a shareholder agreement with Zurich Airport International AG (ZAIA). Arunvir Singh, Chief Executive Officer of NIAL and Christoph Schnellmann, Chief Executive Officer of YIAPL , signed the agreement in the presence of Yogi Adityanath, Chief Minister of Uttar Pradesh.
YIAPL is 100 per cent subsidiary of ZAIA, which has been incorporated as a special purpose vehicle (SPV) to develop the greenfield airport.
Based on the agreement, Arun Vir Singh, CEO NIAL, and Vishak Iyer, Director Civil Aviation, Government of Uttar Pradesh, nominated to the board of YIAPL.
Will lead to economic development, says CM
Speaking on the occasion, Yogi Adityanath said that the signing of the shareholder agreement is the next step in the direction of progress for the State. “Noida International Airport will be the benchmark for a modern, world-class airport in India. It will accelerate the development of industrial infrastructure, boost tourism, promote exports, ease air traffic and lead to creation of more jobs in the State. It will generate multi-dimensional progress, leading to economic development in Uttar Pradesh,” he said.
Arunvir Singh, CEO of NIAL, said the new airport will herald economic growth and job opportunities in the State. Daniel Bircher, CEO of ZAIA said that the agreement reaffirms UP government’s commitment to provide road and rail connectivity along with other various utilities and to ensure safety and security for the upcoming Noida International Airport.
Airport developer claims new airport will be India’s first net zero emission airport. “Noida International Airport (NIA) is striving to make air travel more affordable for airlines and passengers by building the infrastructure in a sustainable and cost-effective manner using renewable energy,” the statement said.
It also acknowledged State government’s support through measures such as VAT/ GST exemptions on procurement of equipment related to renewable energy, on cross-subsidy charges, wheeling/transmission charges as well as on open access charges will help make NIA’s sustainability investments financially viable.
Last month, YIAPL received the final credit sanction for ₹3,725 crore from the State Bank of India (SBI) for the development of NIA.
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