New Delhi: The Government of India has decided to lease out 25 airports of Airports Authority of India (AAI), including Biju Patnaik International Airport in Bhubaneswar by 2025.
This was informed by Union Minister of State for Civil Aviation, Murlidhar Mohol in Rajya Sabha today while replying to a question asked by BJD MP Niranjan Bishi.
In his written reply, Shri Mohol said, “As per National Monetisation Pipeline (NMP), 25 airports of Airports Authority of India (AAI), including Biju Patnaik International Airport in Bhubaneswar, have been earmarked for leasing over the years 2022 to 2025.”
Airports are leased out for their better management, utilising private sector efficiency and investment. States and passengers are the ultimate beneficiary of enhanced airport infrastructure and facilities created by a private partner, who operates, manages and develops the leased airport under Public Private Partnership (PPP), he said.
The Union Minister said airports have emerged as a nucleus of economic activities and have a multiplier effect on the economy of the State. The revenue received by AAI from the leased airports is also utilised for the development of airport infrastructure across the country.
In accordance with the provisions of Section 12A of AAI Act, 1994 (as amended in 2003), AAI, with the approval of the Government of India, may make a lease of the premises of an airport (including buildings and structures thereon and appertaining thereto) to carry out some of its functions, in the public interest or in the interest of better management of airports, he clarified.
The BJD MP has asked, “Whether there have been consultations with stakeholders, including the State Government and airport staff, and the feedback received for the same?
In his reply, Murlidhar Mohol said the observations of State governments concerned, if any, are considered on merit during the transaction process for PPP of airports.
Strongly opposing the move, senior BJD leader and former minister D S Mishra said such a monopoly move is an affront to Odia Asmita especially when 50 lakh passengers have used air services from this airport.
In another written reply in the Upper House of the Parliament, the Union MoS said the Government of India (GoI) has granted Site clearance on 22.09.2023 to the State Government for Development of Greenfield Airport at Puri.
The Ministry of Civil Aviation has received an application for ‘in-principle’ approval from the State Government on July 23, 2024 along with Detailed Project Report (DPR) comprising techno economic feasibility assessment, coastal zone status report and environment & socio impact assessment report, he informed.