Govt looking to revitalise 400 airfields
Govt looking to revitalise 400 airfields
A proposed civil aviation policy wants to revitalise India's 400 airports and to restructure the Airports Authority of India.

New Delhi: Anil Ambani doesn't have to lose heart. The proposed civil aviation policy is asking for private participation for modernising more airports.

The Government wants to revive 400 airfields in the country under the ownership of the Airports Authority of India (AAI), Ministry of Defence and various state governments.

Currently, no greenfield airport is allowed within an aerial distance of 150 kms of an existing airport.

The policy proposes to relax this restriction to encourage development of more airports.

The Ministry also wants multiple airports in metropolitan regions to meet requirements of different areas.

The policy also proposes restructuring the activities of AAI.

AAI will be hived off into five subsidiaries separately handling consultancy, architectural, construction, cargo and ground handling services.

These subsidiaries will be fully owned by AAI or through joint ventures with international partners.

To generate funds for modernisation, the government will tap the capital markets through an IPO.

Airport modernisation will be put on the fast track. To remove air congestion, the ministry has also proposed that air traffic management services be set up as a seperate entity.

Passenger, air traffic and transport services could also be thrown open to private sector in non-metro airports.

DGCA will exercise regulatory control over air navigation services and would conduct safety audits for air traffic controllers.

Ground handling services at all airports including the greenfield ones will become more competitive.

Private participation will be allowed through competitive bidding on revenue sharing basis by the aiport operator subject to security clearance.

Foreign airlines would also be allowed self handling at international airports provided it has a minimum of 14 services per week.

There will be a minimum of two authorized ground handling service providers in airports in metro's in addition to the subsidiaries of Air India and Indian.

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