Privatisation of airports in-country and welfare of employees

Privatisation of airports in-country and welfare of employees

GOVERNMENT OF INDIA
MINISTRY OF  CIVIL AVIATION
RAJYA SABHA

UNSTARRED QUESTION NO-779

ANSWERED ON-13.08.2013

Privatization of airports in the country

779 . SHRI AJAY SANCHETI

(a) whether Government has decided to privatize a number of airports in the country;
(b) if so, the details thereof;
(c) the experience after privatization of Delhi and Mumbai airports; and
(d) the fate of employees of these airports proposed to be privatized?

ANSWER

MINISTER OF STATE IN THE MINISTRY OF CIVIL AVIATION (SHRI K. C. VENUGOPAL)

(a) & (b): Based on the recommendations of Task Force on Financing Plan for Airports for 12th Five Year Plan, Government of India has decided to undertake operation, management and development of 20 select airports at Chennai, Kolkata,Lucknow, Guwahati, Jaipur, Ahmedabad, Bhubaneshwar, Coimbatore, Trichy, Varanasi, Indore, Amritsar, Udaipur, Gaya, Raipur, Bhopal, Agartala, Imphal, Mangalore & Vadodara in phased manner through Public Private Partnership(PPP).

(c): After awarding the Delhi & Mumbai airports to Joint Venture companies namely, M/s Delhi International Airport Pvt. Ltd. (DIAL) and M/s Mumbai International Airport Pvt. Ltd. (MIAL) respectively, it has been observed that the introduction of PPP model at these airports has led to a significant improvement in the infrastructure and rise in the collection of revenues, especially non-aeronautical revenues. Consequently, the revenue of Airports Authority of India has also increased significantly.

(d): An Inter-Ministerial Group (IMG) has been constituted to evolve and recommend appropriate modal for achieving the desired objective of operation, management and development of the selected airports with private participation,including the welfare of employees.

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Source: Rajya Sabha