PPPAC gives in-principle approval for 8622cr private airport upgrades
Big changes are coming to India's airports!
The Public Private Partnership Appraisal Committee (PPPAC) gave in-principle approval to a plan to bring in about ₹8,622 crore from private investors to upgrade 11 airports.
These upgrades will happen through 50-year agreements, with each bundle awarded to a single concessionaire, so expect some fresh ideas and improvements soon.
Bhubaneswar-Hubballi airport bundle tops 2725cr
The airports are split into five bundles. Bhubaneswar-Hubballi leads with ₹2,725 crore, followed by Varanasi-Gaya-Kushinagar (₹2,467 crore), Raipur-Aurangabad (₹1,496 crore), Tiruchirappalli-Tirupati (₹1,411 crore), and Amritsar-Kangra (₹523 crore).
All this funding covers both approved upgrades and extra expansions as passenger traffic grows.
Three-year airport deadline , government weighs caps
Companies running these airports have three years to finish the main upgrades. After that, any further expansion will depend on how busy things get.
To keep things fair (and avoid one company dominating), the government is looking to cap how many bundles a single bidder can win.
This move comes after concerns when Adani Group won all six airports in the last round of privatization.