AAI plans to privatise 15 airports

AAI is planning to privatise as many as 15 airports, including the facilities at Chennai and Ahmedabad, as a part of its move to enhance the country’s aviation infrastructure. The government had earlier decided to award only management contracts for AAI-owned airports to private parties. However, attempts to award such contracts for the Jaipur and Ahmedabad airports did not receive interest from bidders. To carry out the proposed privatisation, the Department of Economic Affairs and NITI Aayog have been asked to prepare a model concession agreement (MCA) for greenfield airports and for the redevelopment of brownfield facilities. The new MCA will take into account all necessities, including real estate development on airport land.