India may call bids for new Mumbai airport by year-end

India may call bids for new Mumbai airport by year-end
Comment E-mail Print Share
First Published: Mon, Apr 23 2007. 05 55 PM IST
Updated: Mon, Apr 23 2007. 05 55 PM IST
Reuters
New Delhi : India expects to invite bids for a greenfield airport in the country’s financial capital Mumbai by the end of the year, Civil Aviation Minister Praful Patel said on 23 April.
“The land issues have been resolved. The government will now proceed for cabinet approval on bidding,” Patel told reporters on the sidelines of the US-India Aviation Partnership Summit.
The Navi Mumbai International Airport is to be built at a cost of Rs42.35 billion on public-private partnership by forming a special purpose company.
The project is designed to ease congestion at Mumbai’s existing airports, among the busiest in the country.
Maharashtra’s City and Industrial Development Corp. and the state-run Airport Authority of India will hold equity to the extent of 26% and the rest will be held by a private developer.
Air travel demand for Mumbai is expected to grow to 91 million passengers per year by 2030/31 from 20 million passengers per year in 2006/07, according to government figures.
The Mumbai airport is expected to become saturated by 2013, which has necessitated the demand for a new airport.
India is working to modernize its airports and develop greenfield projects in private public partnership to improve its creaky infrastructure, which analysts say may impede economic growth.
Comment E-mail Print Share
First Published: Mon, Apr 23 2007. 05 55 PM IST
More Topics: Corporate News | Sector Spotlight |