Monday, May 10, 2010

Delhi airport to outsource work

New Delhi: The GMR group-led Delhi airport plans to outsource its non-aeronautical activities such as power, cleaning, water and handling of many other services to a third party as the firm concentrates on the physical development of the airport.
In possibly the first such instance of outsourcing by an Indian airport, the Delhi airport developer is working on the idea of bundling several services including management of retail shops and giving them to specialised agencies. The contract for such outsourcing has been valued at about Rs 200 crore annually. Global consultancy KPMG is advising the airport operator on an action plan.
A Delhi Airport official, who did not wish to be named, said utility outsourcing is under consideration. “For the time being, the utility outsourcing plan is on hold. It would be implemented only after the Commonwealth Games in October,” he said.
Airport operators in various countries outsource the running and management of various utilities as it helps them reduce operating cost.
With the expansion of Delhi airport, both aero and non-aero activities are set to multiply.
10/05/10 Nirbhay Kumar/Economic Times
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