After a directive from the ministry of civil aviation, the Airports Authority of India (AAI) on Thursday decided to infuse additional equity into airports at Delhi and Mumbai in a bid to abolish ADF. CNBC-TV18's Sumit Jha reports on the impact on development fees at both airports.
In its board meeting on Thursday, AAI decided to propose infusing Rs 113 crore into DIAL (Delhi International Airport) and Rs 293 crore into MIAL (Mumbai International Airport). However, this proposal will be presented to the Airport Economic Regulatory Authority (AERA) in consultation with different stake holders to examine various implications before final approval and implementation.
The decision was taken after the ministry of civil aviation directed the AAI to look at infusing equity so that the airport development fees (ADF) can be abolished at these airports.
Private operators at both these airports namely GMR at Delhi and GVK in Mumbai will also have to infuse some equity to retain their stake in the JVs. AERA has been given two months to issue an order and according to the ministry directive, ADF could become a thing of the past come January 2013.
25/10/12 moneycontrol.com
To Read the News in full at Source, Click the Headline
In its board meeting on Thursday, AAI decided to propose infusing Rs 113 crore into DIAL (Delhi International Airport) and Rs 293 crore into MIAL (Mumbai International Airport). However, this proposal will be presented to the Airport Economic Regulatory Authority (AERA) in consultation with different stake holders to examine various implications before final approval and implementation.
The decision was taken after the ministry of civil aviation directed the AAI to look at infusing equity so that the airport development fees (ADF) can be abolished at these airports.
Private operators at both these airports namely GMR at Delhi and GVK in Mumbai will also have to infuse some equity to retain their stake in the JVs. AERA has been given two months to issue an order and according to the ministry directive, ADF could become a thing of the past come January 2013.
25/10/12 moneycontrol.com
