Greenfield airport developers on slow track face govt ire

New Delhi: The Union civil aviation ministry is reviewing the in-principle approval given to private firms to develop airports in states like Kerala, Madhya Pradesh and Rajasthan since developers have not been able to achieve financial closure in time. The ministry had granted in-principle approval to these developers in 2008.
Last month, a steering committee on greenfield airports had asked the promoter of Kannur International Airport (KIAL) which is building the Rs 2,500-crore airport infrastructure in Kerala to work out a modified financial model following delay in financial closure. The developer has completed a feasibility study for the project. The Kannur airport in north Kerala is expected to come up in over 1,000 acres.
Similarly, the greenfield airport project near Jaipur in Rajasthan has been stuck since the developer has not been able to achieve financial closure. “We have given them six months to be on track, failing which the approval given to them could be withdrawn,” an aviation ministry official said. The airport site is located about 60 km from Jaipur.
In yet another instance, the civil aviation ministry has slapped a show-cause notice on Gwalior Agriculture, the company planning to build a cargo airport at Gwalior, and asked it to resolve land-related issues with the state government.
05/10/10 Nirbhay Kumar/Financial Express

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Categories: airports Oct 2010, New Oct 2010