In-Principle Approval Granted for Establishment of 21 New Greenfield Airports in India
New Delhi, July 27, 2023, the Government of India granted ‘In-Principle’ approval for the establishment of 21 new Greenfield Airports across the country. The move is part of the Greenfield Airports (GFA) Policy formulated in 2008 to promote the development of new airports in India. Under this policy, developers, including State Governments, are required to identify suitable sites and conduct Pre-feasibility Studies for proposed airport construction.
Out of the 21 approved airports, 11 have already become operational. These include Durgapur, Shirdi, Kannur, Pakyong, Kalaburagi, Orvakal (Kurnool), Sindhudurg, Kushinagar, Itanagar, Mopa, and Shivamogga.
The approved airports are spread across various states and union territories:
- Goa: Mopa
- Maharashtra: Navi Mumbai, Shirdi, and Sindhudurg
- Karnataka: Kalaburagi, Vijayapura, Hassan, and Shivamogga
- Madhya Pradesh: Dabra (Gwalior)
- Uttar Pradesh: Kushinagar and Noida (Jewar)
- Gujarat: Dholera and Hirasar
- Puducherry: Karaikal
- Andhra Pradesh: Dagadarthi, Bhogapuram, and Orvakal (Kurnool)
- West Bengal: Durgapur
- Sikkim: Pakyong
- Kerala: Kannur
- Arunachal Pradesh: Hollongi (Itanagar)
Furthermore, the Ministry of Civil Aviation has introduced the Regional Connectivity Scheme (RCS) – UDAN (UdeDeshkaAamNagrik) to enhance regional air connectivity and make air travel affordable for the masses. As part of this scheme, 74 airports, including heliports, water aerodromes, and greenfield airports, have been operationalized across the country since its inception in 2016.
Moreover, seven of the newly approved Greenfield Airports—Mopa in Goa, Navi Mumbai in Maharashtra, Karaikal in Puducherry, Jewar (Noida) in Uttar Pradesh, Dholera and Hirasar in Gujarat, and Bhogapuram in Andhra Pradesh—will be developed as international airports. The Airports Authority of India (AAI) will undertake the development of Hirasar and Dholera airports at a cost of Rs. 1405 crore and Rs. 1305 crore, respectively, using its own resources. The financing responsibility for the other greenfield airport projects lies with the respective airport developers. However, the timelines for project completion will depend on various factors such as land acquisition, mandatory clearances, and financial closure.
To attract private investment for airport infrastructure development, the Ministry of Civil Aviation has permitted 100% Foreign Direct Investment (FDI) in both Greenfield and Brownfield airport projects under the FDI Policy.
In addition, the Ministry has granted ‘In-Principle’ approval to various State Governments for the development of Greenfield Airports under the Public Private Partnership (PPP) mode, involving private investment. Some of these approved projects include Kannur in Kerala (Rs. 2342 crore), Durgapur in West Bengal (Rs. 670 crore), Mopa in Goa (Rs. 3400 crore), Navi Mumbai (Rs. 19646 crore) and Sindhudurg (Rs. 520 crore) in Maharashtra, Bhogapuram in Andhra Pradesh (Rs. 2500 crore), and Noida (Jewar) (Rs. 10056 crore) in Uttar Pradesh.
It is worth noting that airports can be upgraded to international status by the Airports Authority of India (AAI) and airport operators based on factors such as commercial viability, traffic demand, and land availability. Since 2014, Tirupati, Vijayawada, Kushinagar, and Mopa Airports have already been declared as International Airports, increasing the total count of international airports in India to 30.
The Greenfield Airports Policy, 2008, requires applicants proposing to set up an airport to submit applications to the Steering Committee for ‘site clearance’ and ‘In-Principle’ approval. Once granted approval, the applicants are expected to adhere to the prescribed schedule for airport development.
The Minister of State in the Ministry of Civil Aviation, Gen. (Dr) V. K. Singh (Retd), provided this information in a written reply to a question in the Lok Sabha today.
