Hyderabad: Infrastructure major GVK, which runs the Mumbai International Airport (MIAL), is expecting clarity over airport development fee (ADF) by the month-end.
GVK is seeking additional ADF from the Airports Economic Regulatory Authority (Aera) to bridge the funding gap in the project, while the Union civil aviation ministry is not in favour of it.
The ministry has asked Airports Authority of India, one of the equity holders in the airport, to bring in additional equity, which implies that GVK, the majority holder in the project, too, will have to bring in equity.
“We have submitted our proposal to the Aera and we awaiting an order from the authority. As per the estimates, the MIAL project cost now stands at about Rs12,600 crore, up from Rs9,000 crore,” a GVK official said.
MIAL has a provisional approval for charing DF of Rs100 per departing domestic passenger and Rs600 per departing international passenger.
14/12/12 KV Ramana/Daily News & Analysis
