Question : Monetization of Unused Land of AAI

(a) whether the Government proposes to monetize the unused land of Airports Authority of India (AAI) near Shirdi airport for commercial purposes and to build shopping mall/centre, commercial offices, hospitals etc.;

(b) if so, the details thereof and the reasons therefor and the details of its qualified bidders;

(c) whether necessary amendments have been made in the Act for this purpose and if so, the steps taken for amendment in the concerned Act;

(d) whether the Government has taken/is likely to take steps to give preference to farmers/persons displaced due to construction of Shirdi airport for using the vacant Railway land near Shirdi airport for said purpose and if so, the details thereof;

(e) the details of land and assets of AAI being commercialised by the Government, location-wise and the reasons for the same; and

(f) whether the AAI receives 31% of its revenues from DIAL and MIAL, but after the tariff revision, revenues from the two airports may come down and if so, the details thereof and whether AAI proposes to double its revenue during the next three years and if so, the details thereof?

The Minister of State in the Ministry of CIVIL AVIATION
(Shri Jayant Sinha)

(a) to (d): The Shirdi Airport is owned by the Maharashtra Airport Development Company (MADC), therefore, the commercialisation and related issues comes under the purview of MADC.

(e): The National Civil Aviation Policy (NCAP), 2016 envisages to unlock the potential of land by liberalising the end-use restrictions for existing and future airports. In compliance with the provisions of NCAP, the Ministry of Civil Aviation has already initiated amendment to the AAI Act to enable AAI for carrying out any activity at AAI airports in its best interests. Further, AAI has also identified land for city side development of airports at Lucknow, Raipur, Tirupati, Jaipur, Bhubneswar, Varanasi, Kolkata and Amritsar in phased manner and has commenced construction of multi level car park with commercial facilities at Chennai, Pune, Calicut and Amritsar. AAI has also published request for proposal for construction of hotels at Amritsar and Kolkata Airports and bidders have been selected for construction of hotels at the Bhubaneswar airport.

(f): Yes, Madam. The AAI got 31% of its revenue from Delhi International Airport Limited (DIAL) and Mumbai International Airport Limited (MIAL) during the Financial Year 2016-17. However, consequent to the judgement of the Hon''ble Supreme Court of India, Airports Economic Regulatory Authority of India has issued order for reduction in tariff at Delhi Airport w.e.f. 07.07.2017. The revision has resulted in reduced revenue share from DIAL. However, the impact of revised tariff in respect of MIAL has been minor. So far proposal to double AAI''s revenue during next three years is concerned, there is no such proposal under consideration in the Ministry.