Wednesday, October 03, 2007

Private airports protest regional carrier sops

Civil Aviation Minister Praful Patel's ambitious policy to encourage regional airline carriers has hit an air pocket with private airport developers opposing a stipulation to offer these carriers infrastructure free of landing or parking fees.
Private airport developers in Delhi, Mumbai, Hyderabad and Bangalore, said landing and parking fees account for a significant proportion of revenues, so offering these services free would be unviable.
An executive of GMR Hyderabad International Airport Ltd (GHIAL), which runs the Hyderabad airport, said that aeronautical charges would be the key revenue earner till 2009, accounting for a third of the airport's revenues.
"Once the airport starts earning non-aeronautical revenues from hotels and other projects, it will be in a position to offer free landing and parking services," he said.
Airport developers also said providing space to smaller aircraft was unviable until their facilities are fully modernised.
"Smaller aircraft have to maintain a greater distance with larger aircraft in the air. This leads to inefficient use of airspace and runway. Operating such aircraft would only be possible after the new runway comes into place," said a Delhi airport official.
Smaller aircraft, which carry fewer passengers and put the same kind of demand on the airport infrastructure, would be very unviable to operate in the airport at this stage, an executive of Mumbai airport added.
03/10/07 Anirban Chowdhury/Business Standard
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