Lease set calls for winning private investments
Adani Enterprises Ltd has been given a 50-year lease each for the operation, management and development of Jaipur, Guwahati and Thiruvananthapuram airports through the Public Private Partnership (PPP) scheme.
Adani won the concession under a Global Competitive Bidding conducted by the Airports Authority of India (AAI), the owner of the three airports.
The Cabinet chaired by the Prime Minister Narendra Modi on 19 August 2020 approved Adani’s bid.
The concession will bring efficiency in service delivery, expertise, enterprise and professionalism apart from harnessing the needed investments from the public sector, said the Cabinet.
The Government appreciated the success from leasing AAI’s airports at Delhi and Mumbai on Public Private Partnership for Operation, Management and Development about a decade ago.
While these PPP experiments have helped create world-class airports and helped in the delivery of efficient and quality services to the airport passengers, it has also helped AAI in enhancing its revenues and focusing on developing airports and Air Navigation infrastructure in the rest of the country, said the Cabinet.
Revenue from PPP partners has enabled AAI to create infrastructure facilities in Tier-2 and Tier-3 cities and helped upgrade airports to international standards.
The PPP airports in India are consistently ranked among the top 5 in their respective categories by the Airports Council International (ACI) in terms of Airport Service Quality (ASQ).
Therefore, the Government decided to lease out more airports of AAI for Operation, Management and Development under PPP through the Public Private Partnership Appraisal Committee (PPPAC).
The Government has also constituted an Empowered Group of Secretaries (EGoS) to decide on any issue falling beyond the scope of PPPAC.
The AAI had released Request for Proposal on 14 Dec 2018 through global competitive bidding wherein per passenger fee is the bidding parameter.
The technical bids were opened on 16 Feb 2019 and the financial bids of the qualified bidders were opened on 25 Feb 2019, 26 Feb 2019.
Adani Enterprises won all the bids by quoting highest per passenger fee for Jaipur, Guwahati and Thiruvanathapuram airports, said the Cabinet in a release. #IATA #airports #development #civilaviation /fiinews.com
