Monday, May 15, 2017

AAI working on new norms for monetising land assets

Keen to increase non-aeronautical revenues, Airports Authority of India (AAI) is preparing new set of regulations for monetisation of its land assets in a "transparent manner".
The move also comes at a time when the government is working on amending the AAI Act which would do away with certain regulatory restrictions for land utilisation.
The national airports operator - which is estimated to have garnered over Rs 12,000 crore revenue in 2016-17 - is in possession of large swathes of land in different parts of the country but these assets have not been effectively exploited as a source of revenue. Elaborating on the efforts to ensure optimal use of land assets, AAI Chairman Guruprasad Mohapatra said more revenues from such assets would help in reducing the dependence on aeronautical sources.
"We are preparing a set of land regulations which will make the process of putting land into commercial use easier and transparent," he told PTI in an interview.
For the land norms, AAI is in discussions with the Civil Aviation Ministry and after finalising the contours, they would be sent for approval of the Cabinet.
"Once land regulations are in place, we do not have to go to Cabinet for every small parcel of land for decisions.
Cabinet will lay the board guidelines, purposes, procedures everything on disposing off land," Mohapatra said.
Airports Authority of India (AAI) manages a total of 125 airports, including 81 domestic and 11 international ones.
15/05/17 PTI/Millenium Post