Maharashtra Chief Minister meets minister for Civil
Aviation on the Navi Mumbai airport and Nagpur Hub
Shri Vilas Rao Deshmukh, Chief Minister of Maharashtra
today met the Minister for Civil Aviation, Shri Praful Patel to pave way for
the new green field airport at Navi Mumbai. Senior officials of the Ministry of Civil Aviation
and the Government of Maharashtra were present on the occasion. On this occasion the Minister announced that
all pending issues with the Government of Maharashtra would be resolved in
a month or two and the Government would then proceed for Cabinet approval
for the building of the greenfield airport in PPP mode with the City and Industrial
Development Corporation (CIDCO) of Maharashtra, the Maharashtra Government
and the Airport Authority of India. The
Minister also added that the bidding process and selection of JV partners
for building the airport would be completed within 2007.
Mumbai being
the financial and commercial capital of India, and requires aviation facilities
to highest order to meet the ever increasing demand of air travel.
Enhancement in aviation facilities in Mumbai is absolutely essential
for attracting Foreign Direct Investment(FDI).
The demand of air travel forecast
for Mumbai Metropolitan Region reveals that the air travel demand is growing
to the tune of 20 million passengers per annum in 2006-07 to 91 million passengers
per annum by 2030-31. Mumbai airport
with proposed expansion of facilities could be able to handle 40 million passengers
per annum due to constraints on airfield capability and non-availability of
land for expansion thereby making the airport saturated by 2013.
It is thus imperative to build the second airport. Accordingly, Government
of Maharashtra offered the Navi Mumbai site for development of second Airport
for Mumbai.
The location
of proposed International Airport at Navi Mumbai has been considered on several
parameters. Prominently amongst these,
is expected to absorb the future growth in population, business and commercial
activities of the Mumbai Region. The availability of physical and social infrastructure coupled with
environment friendly site with lease re-settlement and rehabilitation makes
the NMIA Project technically suitable and financially viable. Exactly, NMIA is situated on NH4B at a distance
of 35 km. from Santacruz Airport near Panvel in the geographical center of
Navi Mumbai.
The Navi Mumbai International Airport is located in
an area of 1140 Ha. Accommodating two parallel and independent runways for
simultaneous and independent operation with a provision of full length taxiway
on either side of runways. The airfield
is designed to accommodate the new large aircraft (A380) compatible to ICAO
standard of Aerodrome Code 4-F. This
airport is expected to absorb 10 million passengers per annum in first operation
year 2013, double to 20 million passengers per annum by 2020 followed by 30
million passenger per annum in 2025 and ultimately 40 million passengers per
annum by 2030.
The revised
basic cost of airport project in 2006-07 is Rs. 4,235 crore spread in four
phases. In the first phases, the cost
is Rs. 1340 crore followed by Rs. 990 crore in second phase Rs. 465 crore
in third phase and finally Rs. 383 crore in fourth phase. The project cost for the first phase for 10
million passengers per annum is Rs. 1825 crore considering the parameters
of design, supervision & management, contingency and interest during construction.
Upon the
approval of the Government of India, the project implementation programme with
its broad element drawn for airport facilities commence from January, 2007 and
end at October, 2013.
The financial
analysis indicate a project internal rate of return of 18% taking into consideration
the basic cost of airport project spread over in 30 years thereby making project
attractive for Public-Private partnership basis:
FINANCIAL HIGHLIGHTS
|
FEATURES
|
Rs. In Crore
|
|
Basic Cost of Airport
|
4235.00
|
|
Project Period
|
30 years
|
|
Project Phases
|
4
|
|
FIRR
|
18%
|
The Navi
Mumbai International Airport is proposed to be executed on Public-Private
Partnership basis by forming a Special Purpose Company (SPV) in which CIDCO
& AAI will hold equity to the extent of 26% and the rest will be hold
by private developer. The SPV will
detail design the project, raise required resources, issue EPC contract to
build, manage the airport during the concession period and finally transfer
back the assets.
Upon approval
of Union Cabinet, CIDCO would follow the guidelines for setting-up the green-field
airport prescribed by the Ministry of Civil Aviation (MOCA) for formulation
of project by appointing Consultants to carry out the various studies including
Masterplan and detailed project report, invite Expression of Interest, Issue
of Bid documents, select a Private Entrepreneur and form Special Purpose Company
(SPC) and finally execute the necessary documents; such as, Concession Agreement,
Share-holder Agreement, State support Agreement, Land-Lease Agreement and
CNS-ATM Agreement with the concerned Authorities for making the airport facilities
available to the citizens of Mumbai Region.
The
Minister also informed that the National Cargo and Passenger Hub for the nation
are being developed in Nagpur. The
Maharashtra Airport Development Corporation (MADC) – a special purpose vehicle
for the development of the Airports and AAI will sign an MoU for development of the airport, acquisition of additional
land and other infrastructural related issues
MC/GK
(Release ID :23426)