Sunday, March 05, 2017

AAI takes off airport upgrade

New Delhi: In a bid to reduce operational overhead costs in developing airports and related infrastructure projects by one-third, the Airports Authority of India (AAI) will chip in using its in-house manpower and expertise instead of subcontracting work to outside agencies. Senior AAI official said the plan would come into effect from April this year with the start of the new financial year.

The AAI is expected to disburse close to Rs 3,500 crore against work contracts to private developers by March 31, the end of the current financial year. The government has allocated Rs 17,500 to AAI for developing airport’s infrastructure for the next five years. AAI is aiming to save around Rs 3,500 crore by utilising its manpower rather subletting work to private contractors.

The move also comes in at a time when the government is eyeing big on connecting airports in remote areas within the country under the Regional Connectivity Scheme (RCS) project. The project aims at connecting remote un-served and under-served regions of the country through revival of existing air-strips and airports.
In the first phase, the government plans to make 60 airports—10 owned by AAI and 50 by state governments—operational over the next three years.
04/03/17 Sanjay Singh/New Indian Express