Indian Ministry of Civil Aviation: non-metro airports...

Development works by the Airports Authority of India (AAI) has been completed at various non-metro airports and in many the work is scheduled to be completed by 2009-10. This information was given by the Minister of Civil Aviation, Shri Praful Patel in Rajya Sabha. The details of development works completed by AAI at various non-metro airports are as follows: Vizag (Andhra pradesh)- construction of new integrated terminal building; Guwahati (Assam)- extension of runway; Mangalore (Karnataka)- construction of new integrated terminal Building; Agati(Lakshadweep)- construction of new integrated terminal building; Raipur (Madhya Pradesh)- construction of new apron; Khajuraho (Madhya Pradesh)- construction of new apron at; Aurangabad (Maharashtra) - construction of new integrated terminal building; Nagpur (Maharashtra)- construction of new international arrival hall and expansion of existing terminal building; Amritsar (Punjab)- extension of runway, expansion of apron and terminal building, construction of new terminal building; Jaipur (Rajasthan)- construction of new international terminal complex; Udaipur (Rajasthan)- construction of new terminal building complex and new apron; Madurai (Tamil Nadu)- extension of new apron; Trichy (Tamil Nadu)- construction of new integrated terminal building; Agartala (Tripura)- expansion of apron, strengthening of existing runway and construction of technical block; Agra (Uttar Pradesh)- renovation of terminal building; Dehradun (Uttarakhand)- construction of new terminal building, apron and strengthening and extension of runway. Development works scheduled to be completed in Financial Year 2009-10 at various non-metro airports are as under: Portblair (Andaman & Nicobar Island)- extenion and strengthening of apron; (Raipur (Chattisgarh)- construction of new terminal building; Ahmedabad (Gujarat)- construction of new international terminal building; Ranchi (Jharkhand)- construction of new integrated terminal building; Trivandrum (Kerala)- construction of new international terminal buiding; Bhopal (Madhya Pradesh)- construction of new integrated terminal building; Indore (Madhya Pradesh)- construction of new integrated terminal building; Pune (Maharashtra)- extension and modification of terminal building; Imphal (Manipur)- extension of apron; Dimapur (Nagaland) - extension of apron and construction of link Taxiway. Coimbatore (Tamil Nadu)- expansion and modification of existing terminal building, consruction of part parallel taxi way and extension of apron; Madurai (Tamil Nadu)- construction of new integrated terminal building; Lucknow (Uttar Pradesh)- construction of new international terminal building and new apron, expansion of existing apron; Varanasi (Uttar Pradesh)- construction of new integrated terminal building including aerobridge and extension of apron; Chandigarh (Union Territory) - construction of new terminal building; Khajuraho (Madhya Pradesh)- construction of terminal building. of terminal building. (a): Airports Authority of India (AAI) operates and Airports Authority of India (AAI) operates and maintains 87 operational and 29 non-operational airports including 23 civil enclaves at defence airfields and private airports for air traffic operations. In addition to above, Government of India have given 'in-principle' approval for setting up of new Greenfield airports at Navi Mumbai, Sindhudurg in Maharashtra, Mopa in Goa, Bijapur, Simoga, Hassan and Gulbarga in Karnataka, Pakyong in Sikkim, Durgapur in West Bengal and Datia/Gwalior in Madhya Pradesh. There is no such estimation made. However, Airports Authority of India (AAI) has plan to incur expenditure of Rs.12434 crores for modernisation of airports and air traffic services across the country during XIth Five Year Plan period (2007-2012).Two Greenfield Airports each at Bangalore and Hyderabad with an investment of Rs. 2400 Crores and Rs. 2920 crores have been made operational in 2008 under PPP. Besides,development of IGI Airport, New Delhi and CSI Airport, Mumbai with estimated cost of Rs. 8975 crores and Rs. 9802 crores respectively has been undertaken under PPP.

Mid Year assessment of Aviation Industry...

Its exactly half of 2009, lets have a assessment of Aviation industry in India. This report has been take from IBEF : -

*Sector structure/Market size : With a growth rate of 18 per cent per annum, the Indian aviation industry is one of the fastest growing aviation industries in the world. The government's open sky policy has led to many overseas players entering the market and the industry has been growing both in terms of players and number of aircrafts. Today, private airlines account for around 75 per cent share of the domestic aviation market. India has jumped to 9th position in world's aviation market from 12th in 2006. The scheduled domestic air services are now available from 82 airports as against 75 in 2006. *Potential for Growth : The Indian Civil Aviation market grew at a compound annual growth rate (CAGR) of 18 per cent, and was worth US$ 5.6 billion in 2008. The Centre for Asia Pacific Aviation (CAPA) has forecast that domestic traffic will increase by 25 per cent to 30 per cent till 2010 and international traffic growth by 15 per cent, taking the total market to more than 100 million passengers by 2010. India's civil aviation passenger growth, presently at 20 per cent, is one of the highest in the world. By 2020, 400 million Indian passengers are likely to be airborne. By 2020, Indian airports are expected to handle more than 100 million passengers including 60 million domestic passengers and around 3.4 million tonnes of cargo per annum. Moreover, significant measures to propel growth in the civil aviation sector are on the anvil. The government plans to invest US$ 9 billion to modernise existing airports by 2010. The government is also planning to develop around 300 unused airstrips. *Airport Infrastructure : Mumbai and Delhi airports have already been privatised and are being upgraded at an estimated investment of US$ 4 billion over 2006-16.Greenfield airports are operational at Bangalore and Hyderabad. These are built by private consortia at a total investment of over US$ 800 million. A second greenfield airport being planned at Navi Mumbai is going to be developed using public-private partnership (PPP) mode at an estimated cost of US$ 2.5 billion. 35 other city airports are proposed to be upgraded. The city side development will be undertaken through PPP mode. Over the next five years, AAI has planned a massive investment of US$ 3.07 billion—43 per cent of which will be for the three metro airports in Kolkata, Chennai and Trivandrum, and the rest will go into upgrading other non-metro airports and modernising the existing aeronautical facilities. *Aviation Policy : Many policies supporting the infrastructure are now in place. 100 per cent FDI under automatic route is permissible for greenfield airports. For existing airports, FDI up to 74 per cent is permitted through automatic approvals and up to 100 per cent through special permission (from FIPB). Private developers allowed setting up of captive airstrips and general airports 150 km away from an existing airport. 100 per cent tax exemption for airport projects for a period of 10 years. 49 per cent FDI is permissible in domestic airlines under the automatic route, but not by foreign airline companies. 100 per cent equity ownership by Non-Resident Indians (NRIs) is permitted. overhaul (MRO) and training offer high investment potential. A report by Ernst & Young says the MRO category in the aviation sector can absorb up to US$ 120 billion worth of investments by 2020. 74 per cent FDI is permissible in cargo and non-scheduled airlines. The Indian government plans to set up an Airport Economic Regulatory Authority to provide a level playing field to all players. *Major Investments : Over the past year, various companies have shown an interest in the Indian aviation industry. US-based business jet maker, Hawker Beechcraft Corporation (HBC), opened its first authorised service centre in Delhi in partnership with Interglobe General Aviation with a total investment of US$ 8 million. Richard Branson, who controls UK carrier Virgin Atlantic Airways Ltd, has sought permission to start a domestic airline in India. GMR Infrastructure is looking to tap the growing corporate jet market in India with investment plans to the tune of US$ 151 million. It is also in talks with aircraft component manufacturers such as Honeywell and Safran to set up a components assembly plant in the country. The company plans to invest US$ 60 million for the proposed JV. US aircraft maker, Boeing Co, will deliver 100 planes worth US$ 17 billion over the next four to five years to India. *Road Ahead : The Indian aviation sector is likely to see clear skies ahead in the years to come. Passenger traffic is projected to grow at a CAGR of over 15 per cent in the next 5 years. The Vision 2020 statement announced by the Ministry of Civil Aviation, envisages creating infrastructure to handle 280 million passengers by 2020. Investment opportunities of US$ 110 billion envisaged up to 2020 with US$ 80 billion in new aircraft and US$ 30 billion in development of airport infrastructure. Associated areas such as maintenance, repair and

SOMETHING WAITING FOR AVIATION SECTOR

GOM is planning to draft a new policy for aviation sector. The issues to be included for discussions are – 1. GOM is planning to ease out polices and rules for Indian airlines to fly abroad. The scheduled airlines can run on international routes after 3 years of operating as domestic airlines. 2. To open the gulf route for other players which currently are the monopoly market of Air India. 3. To ease out rules for foreign airlines to fly into India. 4. 100% FDI for merchant airports. 5. Sharing of airspace between civil and defense aircraft. 7. Modernization of 35 non-metro airports, 8. Route dispersal guidelines expected to be changed. 9. Under new policy the air traffic control is to be corporatized 10. Setting up the Airport Economic Regulatory Authority (AERA) for regulation of airport charges. 11. The amendment of the Aircraft Act 1934 to enhance the powers of the Directorate General of Civil Aviation. These are issues which want to be included in new aviation policy, let’s see once they will include in the policy what effect they will have on the aviation sector.

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The all – round development of Indian Aviation…

First came the open sky policy of 1990’s, which gave a boom to full-service carriers, then it again started with Air Deccan as country’s first LCC, then came the modernization of Int’l airports, followed by Non-metro Airports, then came the regional airlines which is now followed by development of nearly 300 airstrips all over India & the latest trend or I can rather say craze in Indian Aviation is Cargo Airlines…Air India has already started its cargo operations with two aircrafts…Jet Airways may also come up with a unit which will be dedicated to only cargo business…some of the upcoming cargo airlines are –->

• Flyington Freighters. It been promoted by Deccan Chronicle Holding & will be based in Hyderabad. It will have scheduled operations to various overseas destination. Its fleet will include a mix of A-330-200F’s & B-777 freighter’s. If everything goes according to plans, having an A-380 in the fleet is also on cards…
• then comes Aryan Cargo Express. It will start as an non-scheduled operator (operating both domestically & overseas)…it will start with a fleet of 03 B-757-200 freighter aircraft & as they will increase their fleet size (may be mid-2008), they may consider entering in to scheduled operations…
• the last one is Air Cargo Express which will start its operations with a fleet of ATR’s…

Its also been heard from industry watchers that Reliance may also consider its cargo airline to compliment its Supply chain…as of now, Bluedart is the only dedicated Air cargo operator in India with a market share of nearly 40% closely followed by Jet Airways with 30% & remaining with other carriers…now, it seems to me that Indian Aviation industry is really booming with all round development & not a single stone is left unturned…

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LCC then Regional Airlines & now Low Cost Airports...ufff

after lowcost airilines, it is the turn of no-frill & low cot airports. these r planned in tier-II & tier III cities, the airports would be in adtion to Ministry of Civil Aviation's modernisation of 35 non-metro airports. the investment in such airports will b in the range of Rs.40-100 crores. cities identified are- Hassan, Shimoga, Gulbarga, Bidar, Mysore... (Karnatka); Shirdi, Jalgaon, Solapur, Akola... (Maharashtra); Kannur... (Kerala); Madurai, Tiruchirapalli... (Tamil Nadu); Rupsi... (Assam); Ajmer, Mount Abu, Kailashar... (Rajasthan); Behala, Cooch Behar, Malda... (West Bengal); Jharsuguda... (Orissa); Muzzaffarpur... (Bihar); Kamalpur... (Tirupura); Passighat... (Arunachal Pradesh); big cos. like Changi Airport Singapore, TATA group, GMR Group, GVK Group r intersted in such projects...these airports could act as operational bases 4 regional airlines... Seed Newsvine Dig the Web!

Non-metro airports identified for modernisation

Aditya Birla Group expected to develop non-metro airports. there is a list of 35 airports which hv been identified & will be complted in 7 stages. these r the airports expected to be modernised--> Ahmedabad, Amritsar, Guwahati, Jaipur, Udaipur, Thiruvananthapuram, Lucknow, Goa, Madurai, Mangalore, Agatti, Aurangabad, Khajuraho, Rajkot, Vadodara, Bhopal, Indore, Nagpur, Vishakapatnam, Trichy, Bhubaneswar, Coimbatore, Patna, Port Blair, Varanasi, Agartala, Dehradun, Imphal, Ranchi, Raipur, Agra, Chandigarh, Dimapur, Jammu, Pune for complete story plz visit to the link above. (business standard 19 jun. 2007)... Seed Newsvine Dig the Web!