Tuesday, December 30, 2008
Demonstration on 02-01-2009
Opposite to MIOT Hospital............
Time: 11.00 A.M - 2.00 P.M
Date:02-01-2009
Day: Friday
Medha Patkar will also be present in the Meeting.....
Affected people, please make your presence and we can request government to reconsider the plan.........
Thursday, December 25, 2008
State wants stake in exchange for providing land
Instead, the TN government has proposed turning some of the airports into corporations in which it could take a stake in exchange for providing land. AAI is currently experiencing a drop in air traffic due to the economic slowdown. The slump coupled with privatisation of high revenue-yielding airports at Delhi and Mumbai have eroded the finances of the agency, which depends on fees levied on airlines for its revenue.
Its plans to expand hubs at Coimbatore, Madurai and Tiruchi hinge on acquiring land without incurring high costs. However, in a recent meeting, the state government made it clear to AAI that it would not get land for airport expansion projects free of cost.
"The government has told us that land can be provided free only for the expansion of Chennai airport. It also wants us to prune the requirement of land," said a senior AAI official.
This would impact development work, he said, adding AAI needs close to 900 acres for expanding Coimbatore airport and 616 acres for developing Madurai airport. Sources said the government has suggested that AAI convert each airport into a company and allow them to acquire stakes in it depending on the quantum of land handed over for development. But AAI is against the proposal. State governments have 13% equity share in new airports at Hyderabad and Bangalore. "
The Tamil Nadu government wants AAI to have a similar arrangement for airports in the state without privatising them," an AAI official said. The current stand-off may force AAI to reconsider its options as the agency cannot afford to acquire land on its own. "We lost high revenue-yielding airports of Mumbai and Delhi to private companies.
They paid just an upfront license fee of Rs 150 crore for airports that contributed close to Rs 700 crore from cargo movement alone to the coffers of AAI every year," said a senior AAI official. AAI already has two major projects modernization and expansion of Chennai (Rs 2,000 crore) and Kolkata (Rs 1,800 crore) airports on hand. "These projects will empty out the Rs 3,000 crore cash reserve the AAI has.
The authority is facing a severe cash crunch because decline in air traffic and unpaid air traffic fee by airlines has eaten into the revenue generated by existing airports including Chennai and Kolkata," said an executive director of AAI. "We have had a line-up of airport expansion proposals because air traffic was growing at a healthy 15%.
But now, there is a shocking decline of 20%. This is expected to slow down infrastructure developments," he added.
http://timesofindia.indiatimes.com/Chennai/Airport_projects_in_limbo_TN_wants_stakes_in_exchange_for_providing_land/articleshow/3891934.cms
Sunday, December 21, 2008
CMDA head calls for arbitrators for land acquisition
CHENNAI: Land acquisition processes, which often run into legal and political hurdles, should be done through arbitrators appointed for the process, and not through government officials, a top CMDA member secretary Vikram Kapur has said.
Speaking at a session on infrastructure at Pan IIT 2008 at IIT-Madras, Kapur said the responsibility of acquiring lands should not be vested with government servants. "The government should appoint arbitrators for acquiring land.
The arbitrators can ensure that the government does not pay too much for the land, while also upholding the real value the land owner should get," he said. The member secretary advocated that the land owners be paid royalty for the land that they give to the government, for any future returns that might be got from the land.
The schedule of rates of the PWD was outdated and not realistic, as it does not factor in inflationary trends. "Because of this, many contractors are not willing to take up projects. Often there is a single bidder or just a few of them," he said. Many state governments have often run into problems during land acquisition.
The Tamil Nadu government's plans to acquire land for the proposed satellite township projects and the airport expansion project have run into problems, with political parties and residents opposing the move. Kapur said that any infrastructure project must be funded through debts than government funds, even if the user charges are high.
http://timesofindia.indiatimes.com/Cities/Chennai/CMDA_head_calls_for_arbitrators_for_land_acquisition/articleshow/3864707.cms
Thursday, December 11, 2008
Friday, December 5, 2008
Compensation given for lands acquired for airport expansion project
KANCHEEPURAM: Compensation totalling Rs.25 crore was distributed recently to the landowners, who agreed to hand over their lands for the Chennai airport expansion project.
Distributing cheques to 36 out of the 45 landowners at the Collectorate here, Labour Minister T.M. Anbarasan said 126.59 acres had been acquired in Manapakkam and Kolapakkam.
The State government had classified the 126.59 acres of private lands acquired at Manapakkam and Kolapakkam areas into four categories – (a) barren agriculture lands (which are level lands); (b) lands in which earth had been excavated for brick making; (c) unapproved layout area with access to public road; and (d) land in the unapproved layout set aside for road and common purposes.
The compensation for lands coming under category A has been fixed at Rs.1.06 lakh per Cent; for lands classified as category B at Rs.60,000 per Cent and for the category C at Rs.750 per sq.feet or Rs.18 lakhs per ground (2400 sq. ft). Lands falling under category D were not eligible for compensation.
Kancheepuram Collector Santosh K.Misra said the landowners have given their consent for receiving the compensation under Section 7(2) of the Tamil Nadu Acquisition of Land for Industrial Purposes Act 1997.
http://www.hindu.com/2008/12/05/stories/2008120560330400.htm
Sunday, November 30, 2008
Airport wall floods surrounding areas
V Ayyappan TNN
Chennai: Residents of Manapakkam and Kolapakkam are in deep trouble, thanks to the flood prevention steps taken by the airport. Located on the north western side of the airport and sandwiched between Adyar river and Porur lake, these neighbourhoods have become inundated by floodwater. Stormwater and an overflowing Adyar river have already flooded the river-end of the secondary runway. However, flood will not affect airport operations as the secondary runway is not used regularly.
During heavy rain the overflowing water from Porur lake flows through these neighbourhoods and into the Adyar river. The airport authorities have built a wall to prevent the water from entering their ground. This has resulted in obstructing the water flow causing water logging in the residential areas of Manapakkam, Kolapakkam and Mogalivakkam.When Chembarampakkam reservoir was opened, water from Adyar river started flowing towards the residential areas in Manapakkam and even Porur.
Brinda Brighton, a resident of Manapakkam — one of the neighbourhoods marked for acquisition for airport expansion — said that water from the river had flooded the area. “The clearing and levelling works in the 129 acres acquired for extension work is causing flooding in the locality,” she added. “The problem will get complicated because Airports Authority of India (AAI) is planning to extend the runway further across the river.
Unless the runway level is raised, flooding will affect airport operations in the future, said Captain A Ranganathan, a former pilot.
The expansion works would obstruct the flow of the Adyar river and the flow of floodwater from Porur to the river. Hence, flooding might hamper aircraft operations on the secondary runway and the parallel runway, a former AAI official said.
http://epaper.timesofindia.com/Daily/skins/TOI/navigator.asp?Daily=TOICH&login=default&AW=1228104326406
TN Govt Says Manapakkam is a flooding area......
Thursday, November 20, 2008
Thursday, November 13, 2008
WATCH MORE VIDEOS FROM CNN-IBN.......
http://ibnlive.in.com/videos/77276/11_2008/cj17_0111_2/delhi-women-buckle-up-to-change-the-system.html
Comments:
Thanks to Brinda for fighting against this expensive project. Government clearly can not run both the airports, then what is the point in spending thousands of crores in expanding this airport. Instead Govt should spend all its effort in speeding up the new airport work. That is what an efficient government can do. But these politicians dont know what they are doing.We all with you Brinda !- jayavel
NATARAJAN said...
Thank U Mrs. Brinda Brighton,you have taken up the causes of hundreds of people living around the airport who are likely to be displaced in event of the parallel runway becomes a reality. We are with u in giving a fight against the Airports Authority of India and Government of Tamilnadu. I pray that good sense will prevail in the minds of those and they will resort to the the Greenfield Airport at Sriperumudur instead of displacing thousands of families in and around Manappakkam. What disturbs all of us is that the State of Tamilnadu is contemplating to acquire lands in and around Manappakkam despite the fact that CMDA gave clearance for the lands involved in Marvel River View County some where around the early 2006. What made the State Government to come out with a revised area for acquisition in May, 2007. What happened in between? May God bless us and our home sweet homes.With prayers.R. NATARAJAN.
November 14, 2008 6:49 AM
Monday, November 3, 2008
A flexible land acquisition process
The Tami Nadu Acquisition of Land for Industrial Purposes Act works differently from the Land Acquisition Act. It has expedited the process and helped fix flexible rates for compensation, writes C.H.Gopinatha Rao
It is a usual practice to evoke the land acquisition Act (1864) for this purpose.
This shift was done in order to speed up acquisition. Did the government achieve its objectives? Were the people whose lands were acquired adequately compensated?
As per Section 2(e) of the Tamil Nadu Acquisition Act, ’industrial purpose’ includes the starting of a new industry, expansion of an existing industry, development of an industrial area and establishment and management of an industrial estate. The word, industrial purposes, is so widely defined that the court took the view that land acquisition for airport can be made under this Act.
The Tamil Nadu Acquisition Act overrides the provisions of the original Land Acquisition Act and the detailed procedure usually adopted need not be followed.
The State Government has to now issue a notification under Section 3 proposing to acquire land, followed by a notice under Section 4(1) to show cause why the land should not be acquired. The owner of the land can then make his/her objection and if the Government is not satisfied with the objection, a notification under Section 3(1) can be issued. After which the land will vest with the Government. Section 7 of the Act provides for payment of compensation based on the principles laid down under the Land Acquisition Act.
Revenue officials say that the Act allowed them, in the case of Oragadum, to work out a flexible rate, expedite the process and facilitate better interaction with the land owners.
The Collector was guided by the provisions of the Land Acquisition Act. The Guideline value, the last land transaction amount received at the sub-registrar’s office and the market value of lands to be acquired were taken into consideration and fair value of the land was arrived at. This also allowed for arriving at differential rates fixed depending on various factors that influence the value of land.
In Oragadum this approach has paid dividends and 50 owners voluntarily surrendered the land and received the compensation.
However, in the case of Chennai Airport expansion project there are reports that some of the residents feel that the compensation value is less than the fair market value.
If the value was fixed through values obtained through recent transaction, then the detailed information of such transaction must be made known.
The author is past National President, Institution of Valuers.
Passenger movement at Chennai airport’s domestic terminal falls
CHENNAI: There has been a fall in passenger and aircraft movement at the domestic terminal of the Chennai airport in the last six months.Records show that from April to September this year, 32.45 lakh passengers travelled in the domestic sector, against 36.83 lakh during the corresponding period last year.
Aircraft movement was 42,765 from April to September this year against 43,592 during the corresponding period last year.Airports Authority of India (AAI) sources say passenger movement recorded a negative growth rate of 12 per cent and aircraft movement recorded a negative growth rate of 2 per cent in the last six months since April this year.
The reasons
Increase in the cost of aviation turbine fuel is being cited as a major factor for the fall. This has forced airlines to prune operations. While some have reduced the number of services from Chennai to other destinations, a couple of others have suspended operations from Chennai, say the AAI sources. With the opening of new airports in Bangalore and Hyderabad, a few airlines have cancelled short-haul flights. This is another reason for reduction in passenger movement in the domestic sector, the sources say.Consolidation in the airline industry is another reason for the reduction in the number of flights.
For example, Air Sahara and Jet Airways were operating different flights from Chennai to New Delhi. With their merger, the Air Sahara flight to Delhi was cancelled. Another example is Kingfisher and Air Deccan, who were operating to Bangalore and Madurai separately. After Air Deccan was bought over by Kingfisher some of the Deccan flights were cancelled. Again, promotional offers by low cost airlines have been scrapped and ticket costs have gone up.
A senior AAI officer says among the three major airports in the southern region, Chennai is the least affected.
http://www.hindu.com/2008/11/01/stories/2008110160160800.htm
Sunday, November 2, 2008
Link to Watch CNN-IBN news...
Watch the CNN-IBN, Citizen Journalist Program regarding Chennai airport expansion in the following location.........
http://ibnlive.in.com/videos/77165/cj-story-airport-authority-acquires-residents-land.html
Friday, October 31, 2008
THE REHABILITATION AND RESETTLEMENT BILL 2007
BILL, 2007
http://164.100.24.209/newls/whatsnew/rehabandsettlementbill.pdf
WATCH CNN-IBN TV
If u miss the above, Please watch the Re-telecast at 11.30 A.M on Sunday 02-11-2008
www.ibnlive.com
Thursday, October 30, 2008
Land acquisition for parallel runway on
A. Srivathsan and P. Oppili
Chennai: The process of acquiring about 1,069 acres of land for the parallel runway of the Chennai airport expansion project is on.
“There is no reconsideration of land acquisition,” says a senior revenue official. Both the secondary and parallel runways have been mapped in detail and the land required has been identified in the villages of Manapakkam, Kolapakkam, Gerugambakkam, Tarapakkam and Kovur on the northern side of the Chennai airport.
“The survey numbers are being enumerated and the acquisition is in the process. Notices will be shortly sent,” says a government source.
So far, the Tamil Nadu government has acquired 126.59 acres in Kolapakkam and Manapakkam villages in the Sriperumbudur taluk for the secondary runway and has handed over the land to the Airports Authority of India.
The cost of acquiring 126 acres is about Rs.100 crore. It is estimated that the cost of acquiring the entire area measuring 1,069 acres will be about Rs. 1,000 crore.
This high cost of land acquisition had raised doubts about the financial viability of the parallel runway project.
However, the government source says that there is no reconsideration or rethinking.
http://www.hindu.com/2008/10/31/stories/2008103150120100.htm
Secondary runway work to take 18 months
A. Srivathsan and P.Oppili
126 acres are fenced and construction of perimeter will begin soon
CHENNAI: The secondary runway project of the Chennai airport will take 18 months for completion, sources in the Airports Authority of India (AAI) said. The 126 acres handed over by the State government for the project has been fenced and construction of the perimeter would begin shortly. The total cost of the expansion is about Rs.400 crore, of which the AAI’s share is Rs.250 crore.
As regards the parallel runway project, the sources said that it would begin only after the remaining 943 acres of land is handed over. A separate Special Tahsildar (Land Acquisition Unit), Chennai Airport Scheme, had been posted at the Pattunool Chatram , Sriperumbudur taluk, for acquiring land.
A detailed map showing both the runways and the airport building had been prepared by the AAI and submitted to the State government. Development regulations of the second master plan for Chennai had stipulated conditions to control development around the transitional areas and trough around runways of the airport.
Monday, October 27, 2008
Chennai Airport expansion work finally takes off
CHENNAI: The Rs 1,808 crore expansion project of the Chennai Airport will enable the airport handle increased volume of passengers as Tamil Nadu is turning out to be a favoured investment destination for various industries.
Chief Minister M Karunanidhi formally inaugurated the project, after overcoming public opposition and legal hurdles, under which a new domestic terminal and a 2,500 feet parallel runway among various other works would be taken up. According to M Ramalingam, Chairman, Airports Authority of India (AAI), with the parallel runway the airport could handle 45 flights per hour as against the existing 30 flights.
The expansion project, one of the pet projects of Karunanidhi, at one time faced the danger of being grounded following stiff opposition from residents of Pammal, Pozhichalur, Anakaputhur and Cowl Bazaar localities near the airport for the proposal to acquire lands in their areas.
Political parties, including DMK's then allies, the PMK and Left parties, as well as the Opposition AIADMK and BJP, extended their support to the agitating people. The residents contended that about 25,000 people would be displaced by the land acquisition, with 583 hectares of the total 2,000 acres required for the expansion falling under these residential areas. The previous AIADMK government had allotted 2,000 acres of land free for the AAI to carry out the expansion.
Buckling under pressure in view of the opposition, the government later decided to drop land acquisition in the said areas and identified alternative land at Manapakkam, Tharapakkam, Kolapakkam and Gerugambakkam. But this time the residents moved the Madras High Court early this year challenging the move to acquire their lands.
Expansion work commences at Chennai International Airport
Chennai: The Rs1,808 crore expansion programme of the Chennai International Airport has finally taken off with a formal inauguration by state chief minister M Karunanidhi. The expansion is intended to enable the airport to handle increased air traffic and a higher volume of passengers.
Tamil Nadu has already established itself as a favoured investment destination for various industries and the need for a larger, more modern international airport has been increasingly felt.
The expansion plans will add a new domestic terminal and a 2,500 feet parallel runway to existing facilities.
According to M Ramalingam, chairman, Airports Authority of India (AAI), with a parallel runway the airport would be able to handle 45 flights every hour compared to the existing 30 flights.
http://www.domain-b.com/aero/airports/20081027_international_airport.html
Tuesday, October 21, 2008
Land acquisition process for parallel runway delayed
Land acquisition process for parallel runway delayed
V Ayyappan TNN
Chennai: Although the airport expansion works were kicked off on Monday, residents and builders at Kolapakkam, Manapakkam, Tharapakkam and Gerugambakkam are in a quandary because the state government is going slow on acquiring land marked for construction of a parallel runway at the airport.
Residents and builders whose land was identified for the project are worried over the ambiguity in the land acquisition process. “It has been close to a year since the district administration served notices to the landowners stating that the land has been marked for acquisition for airport expansion. Registration and construction have been stopped on the land marked for acquisition. But, there is no follow-up after that,” said a builder Ramesh C Soningara, whose two-acre land at Kolapakkam has been marked for acquisition.
Though the government has handed over 131 acres of the 1,069 acres land to the Airports Authority of India (AAI) to extend the existing secondary runway, there is no sign of speeding up acquisition of the rest of the land for building a parallel runway. “The Airports Authority of India (AAI) or the state government are not saying clearly whether the parallel runway will come up or not. Hence, there was no need for either identifying or demarcating the land,” said Vijay Kumar, a resident.
Soningara said “we may not get adequate compensation because the value of the land adjacent to the land earmarked for acquisition is going up by the day. The district administration has frozen registration of property in the panchayats where land had been identified for the parallel runway. But, they are yet to take further steps,” he said.
Since registration has been stopped, the guideline value had remained stable. But the price of land in neighbouring areas has reportedly touched Rs 40 lakh per ground. However, “going by the yardstick followed by the state government for fixing compensation for the land acquired for extending the secondary runway, residents will get an approximate of Rs 244 per square feet, while the current selling price is Rs 1,583 per square feet,” said Soningara.
K Manivannan, a land owner, claimed that the existing price of land has touched Rs 7 crore per acre at Kolapakkam. But the government had fixed just Rs 1 crore per acre.
Meanwhile, the civil aviation ministry, the AAI and the district administration have hinted that the parallel runway may be constructed under the next phase of airport expansion. Civil aviation minister Praful Patel on Monday urged the state government to hand over land for building a parallel runway.
During the inauguration of airport expansion works, civil aviation secretary Madhavan Nambiar said that the secondary runway and terminal buildings were being constructed as part of phase one of the airport expansion plan.
District collector of Kancheepuram Santosh Mishra maintained that the parallel runway project was very much on. “Acquisition is happening in a phased manner.”
http://epaper.timesofindia.com/Daily/skins/TOI/navigator.asp?Daily=TOICH&login=default&AW=1224645556828
Meeting Collector on Nov3rd 2008
WHETHER AAI needs land for PARALLEL RUNWAY or NOT..
GOVERNMENT WILL TAKE CARE OF BANK EMI'S??
Monday, October 20, 2008
Patel ask Tamil Nadu CM to Handover Land for Parallel Runway...........
TIMES NEWS NETWORK
Chennai: Union minister of civil aviation Praful Patel on Monday urged the state to reduce the sales tax on Aviation Turbine Fuel (ATF). The high taxes could see Chennai airport losing out to Hyderabad and Bangalore in the race to become the aviation hub in southern India, he hinted.
“The government should give incentives to the airlines to encourage them to fly into Chennai, like how the semiconductor industries are attracted,” he said during the inauguration of the Rs 1,808-crore airport expansion project.
Chief minister M Karunanidhi inaugurated the project that involves extending secondary runway, constructing domestic and international terminal building and other modern amenities. It is scheduled to be completed in December 2010.
Patel said:
“The state charges 29% sales tax on ATF while Kerala, Andhra Pradesh and Karnataka have reduced it to 4%. High taxes will force airlines to prefer other airports.” Karunanidhi did not make any statement in response.
Patel said the state should hand over land for a parallel runway.
The greenfield airport at Sriperumbudur, he said, “can be kept as a standby because the existing airport after development will be enough to handle the traffic for the next 10-15 years.”
Of the 35 non-metro airports being developed, three are in Tamil Nadu. “Work on the first phase will be completed at Tiruchi airport while work has begun for Madurai airport. We need more land at Tuticorin and Coimbatore. When all this is completed the state will have a major role to play in civil aviation. Hence, the government should support by handing over land and by also luring airlines to operate,” Patel said.
K Ramalingam, chairman, AAI said: “We have asked the state to hand over land required for developing airports.”
http://epaper.timesofindia.com
Another airport expansion
N. Madhavan
October 15, 2008
The expansion and modernisation of the overburdened Chennai international airport is set to take off, at long last. The Airport Authority of India (AAI) has awarded the Rs 1,212-crore contract for construction of terminal buildings and multi-lever car parking facility to Consolidated Construction Consortium Ltd (CCCL).
Ranked 14th among the top 25 fastest growing airports worldwide in 2007 (even ahead of the Indira Gandhi International Airport in New Delhi, ranked 25th), according to Geneva-based Airports Council International, the Chennai airport has been bursting at the seams for some time now. In 2007-08, it handled 10.66 million passengers against its rated capacity of 9 million. This included 3.41 million international passengers (rated capacity 3 million) and 7.25 million domestic passengers (rated capacity 6 million). It also handled 2.71 lakh tonnes of cargo. Pressure on the tarmac is also building up. In 2007-08, the airport handled 1,15,865 aircraft movements (745 to 750 per day), servicing over 50 airlinesinternational and domestic. While this translates into about 25 aircraft movement an hour, the congestion during peak hours is beginning to tell.
Even as the airport’s infrastructure wilted, the Tamil Nadu government for months grappled with a dilemma—whether to expand the existing airport at Meenambakkam (which would involve politicallysensitive land acquisition) or go for a green-field project. Late last year, it decided to do both. New terminal buildings and a second runway at the existing airport to be built at a cost of Rs 1,000 crore will double the current aircraft handling capacity to 23 million passengers a year, which will be sufficient to meet the needs till 2014-15 by when the new green-field airport would be ready. The state government has identified 4,820 acres near Sriperumbudur for the new airport, to be built at a cost of Rs 5,000 crore through private-public partnership.
“We expect the detailed work order by November 1 and we have 30 days to start the work,” says R. Sarabeswar, CEO, CCCL. The Chennai-based-construction company is also involved in the upgradation of Tiruchirapalli, Thiruvananthapuram, Mangalore and Dehradun airports. “We have tied up with Canada-based Herve Pomerleau International for technological assistance. “They have the expertise in modernising a running airport— they have just completed the revamping of the Montreal airport— and will guide us in completing the project in 26 months,” he added.
Says K. Natarajan, Director, Chennai airport: “Around 1,256 acres have been earmarked for the runway expansion. Of this, 126 acres have been handed over to us. This will enable us to expand the existing secondary runway. The work on the second runway will commence after rest of the land is made available.” On completion, the terminal buildings will have an area of 1.4 lakh sq. metres with 140 check-in and 60 immigration counters. Hopefully, that should put an end to long queues that are currently the order of the day.
http://businesstoday.digitaltoday.in/index.php?option=com_content&task=view&id=8115
No retrenchment in Air India: Praful Patel
CHENNAI: Civil Minister Praful Patel on Monday ruled out retrenchment among employees in public sector Air India and blamed rising fuel prices as the
reason behind the present crisis in the aviation sector.
"I have categorically denied that there will be any retrenchment in Air India," he told reporters here after the inauguration of the Rs 1808-crore Chennai airport expansion and modernisation project. He, however, declined to comment on the issue in the private sector.
Jet Airways had last week decided to lay off about 1900 of its employees but withdrew the move promptly. The Kingfisher Airlines has announced a salary cut of its trainee pilots as part of cost-cutting measures.
Patel said prices of Aviation Turbine Fuel (ATF) have gone out of control and called for "rationalisation" of the same to manage the present crisis.
The rising prices have put an extra burden of Rs.7,000 to Rs 8,000 crore on the airlines operators who have in turn passed on the burden to passengers, he said and stressed the need for states to reduce the sales tax levied on ATF.
"Most states levy a sales tax of 29 per cent on a commodity whose value has gone up, which also adds up to the overall cost," he said.
He also demanded a cut in other taxes, including customs and excise. "States should understand that better rational pricing brings more flights into their cities, helping in increased revenue..I hope all understand," he said.
He also said that unless a permanent solution was found, fears of retrenchment "will hang in the air."
http://economictimes.indiatimes.com/News/News_By_Industry/Transportation/Airlines__Aviation/No_retrenchment_in_Air_India_Praful_Patel/articleshow/3621143.cms
Thursday, October 16, 2008
Study on feasibility of greenfield airport
Study on feasibility of greenfield airport
TIMES NEWS NETWORK
Chennai: The International Civil Aviation Organisation (ICAO) will carryout an eightmonth-long study to assess the techno-economic feasibility of establishing the greenfield airport and of simultaneously operating it with the airport in Meenambakkam.
Land acquisition for the greenfield airport will start only after ICAO submits its report. The Airports Authority of India (AAI) has already conducted a feasibility study and confirmed that an airport may be constructed at the 4,820.66 acres of land in Sriperumbudur taluk and Tiruvallur taluk.
The AAI had requested the ICAO to carry out the study because the government was particular that the city airport should not be shut down after the new airport was opened. The government has informed AAI that they have spent close to Rs 2,000 crore for acquiring land for airport expansion.
Sources said that the techno-economic study would look into the prospects of establishing a greenfield airport on the land identified by the state government at Sriperumbudur while a dual airport operation study would look into the feasibility of operating the existing airport along with the new airport. “Officials of AAI have suggested that ICAO can be roped in for the study because aviation experts raised doubts about operating two airports,” said an AAI official.
http://epaper.timesofindia.com/Daily/skins/TOI/navigator.asp?Daily=TOICH&login=default&AW=1224215280250
Tuesday, October 14, 2008
Thursday, October 9, 2008
Construction work on Chennai airport expansion begins
Chennai, Oct 9 (PTI) The work on the construction of Rs 1,212 crore Kamaraj Domestic Terminal Phase II at the Chennai Airport began today with the conduct of the 'Bhoomi Pooja'.
Airport Director K Nadarajan lighted the traditional lamp while R Sarabeswar CEO and Chairman of construction services provider Consolidated Construction Consortium Ltd (CCCL), which has won the bid for the project, participated in the 'ground breaking ceremony', airport sources told PTI.
The function was held in the administrative building and officials from Airport Authority of India and CCCL took part.
The CCCL has associated with Canadian infrastructure company Herve Pomerleau International for the project which is expected to be completed in 26 months.
The construction work includes a multi-level car parking, a substation, surface car parking for international terminal, an elevated road in front of the terminal building (for one km) and 17 aero bridges. PTI
http://www.ptinews.com/pti%5Cptisite.nsf/0/1D4D8249ACD00696652574DD00532B8B?OpenDocument
Wednesday, October 8, 2008
CCCL bags Rs 12K cr Chennai airport expansion proj
The Chennai airport expansion plans will finally take off. The Chennai-based CCCL has bagged the Rs 12,000 crore project. CNBC-TV18's Divya Rajagopal and Taapsi Ramchandani find out how?
After Bangalore and Hyderabad, it's Chennai's turn to get a swanky new airport. And after over a year of protests, and red-tape, the dream will finally take wings. The Airport Authority of India has awarded the Rs 12,000 crore project to Chennai-based infrastructure company CCCL. CCCL will develop the airport in a joint venture with Canadian infrastructure company Herve Pomerleau International. The CCCL-led consortium piped L&T, Punj Lloyd and Nagarjuna Constructions for the project. And CCCL is confident of garnering solid returns from the Chennai airport project.
R Sarabeswar, Chairman, CCCL said, “We have been in this business for a long time and we now how to make money. We are expecting 26-30% return on capital employed"
The project is likely to be completed by 2011. But CCCL is not stopping with the Chennai airport. It will also develop the Trichy, Dehradun and Mangalore airports.
It will also bid for the re-developement of the Coimbatore airport. This process is slated to begin shortly. But it's not just the airport business that the company is banking on. It is betting big on the power sector, and has already got a Rs 95 crore deal with BHEL to set up a 600 MW power station.
Almost 30% of CCCl's revenue comes from infrastructure projects, and apart from the Chennai airport expansion it will also be bidding for the Chennai Metro Rail. And that’s why analysts believe that CCCL will be a promising bet in future.
http://news.moneycontrol.com/india/news/business/cccl-bags-rs-12k-cr-chennai-airport-expansion-proj/11/05/360178
Chennai airport to be revamped in 26 months, contract awarded
CHENNAI: The city’s dream of getting a world-class airport just got a little bit closer to realisation. Chennai-based Consolidated Construction Conso
rtium Ltd (CCCL), which has bagged the contract for the Rs 1,212-crore airport expansion, is expected to start work in a month. The work, to be carried out in technical collaboration with Canadian infrastructure company Herve Pomerleau International, is expected to be completed in 26 months.
Once the project is completed in 2011, the new-look airport will have the departure lounge on the first floor and the one for arrivals on the ground floor. The building will have interiors that allow natural lighting, an in-campus flyover that will take passengers all the way to the first-floor departure area and a multi-level car parking. This apart from restaurants and recreational areas for passengers.
“We are waiting for the letter of award of the contract from the Airports Authority of India. It is expected to come in a couple of days, after which we have a 30-day waiting time to start work,” CCCL chairman R Sarabeswar told a news conference.
The expansion and modernisation works include development of the Kamaraj domestic terminal phase II, expansion of the existing Anna International terminal and renovation of the existing terminal to bring about uniformity in design. The passenger handling capacity of the airport will also go up from the existing four million to 16 million a year.
CCCL has also bagged the contract for building a Rs 68-crore cargo complex. “The project will be funded using the mobilisation contract AAI will be extending to us, and the rest will come from tie-ups with banks,” he added. CCCL was the lowest bidder from among L&T, Soma Enterprises, Nagarjuna Constructions and Punj Lloyd.
http://timesofindia.indiatimes.com/Chennai/Chennai_airport_to_be_revamped_in_26_months_contract_awarded/articleshow/3571571.cms
Consortium bags the Chennai Airport Project
"The contract has been awarded for development of Kamaraj domestic Terminal Phase II and the expansion of existing Anna International terminal" CCCL CEO and Chairman R Sarabeswar said.
He said on the total 1,47,000 sq m, they would be constructing a multi-level car parking (47,000 sq m) for domestic terminal, a substation of 10,449 sq m, surface car parking for international terminal, an elevated road in front of the terminal building (for one km) and 17 aero bridges.
"We can park around 2,600 cars in the Car parking area" he said.
"The order will help consolidate our presence in the airport infrastructure space and winning these projects will strengthen our portfolio. We hope to give our best and complete these projects successfully" he said.
Internal electrification, power supply system, HVAC, fire alarming system, elevators and CCTVs are also expected to be set up, he said.
To a query he said the work would commence from November this year and is expected to be completed within 26 months.
"Initially Airport Authority of India would pay 10 per cent of the total cost and the rest would be released in a phased manner" he said.
He said CCCL has also bagged the Chennai airport's cargo complex project worth Rs 68 crores.
In addition to this, Sarabeswar said they have won a Rs. 140 crores project for construction of a factory for Renault Nissan Automotive India Pvt Ltd, at their plant in Orgadam situated about 50 km from Chennai. "We have won this project recently and we are expecting it to be completed by 18 months" he said.
With these projects, the total order backlog is Rs 4250 crore, the Chairman said.
CCCL President-Infracons also said that they have also bagged another project in North Delhi for sewage treatment plant. "We got that project recently" he said declining to elaborate.
CCCL has grown from RS 40 million to Rs 14 billion and has executed projects across 17 states and union territories in India.
http://www.dnaindia.com/report.asp?newsid=1196267
CCCL gets Rs 1,212 cr Chennai airport project
CCCL will execute this project with Canada-based Herve Pomerleau International, which will be its technological partner. The project is scheduled to be completed in 26 months.
The project has been awarded mainly for the development of Kamaraj Domestic Terminal (74,527sq metres) Phase II, expansion of existing Anna International Terminal (65,000 sq metres). The company is also constructing multiple car parking areas spread over 47,000 sq metres, which can accommodate 2600 car at any given time.
R Sarebeswar, chairman and CEO, CCCL, said: "This project is a milestone for CCCL and it will fillip our business prospect in the future in the different verticals of our company like power, residential and civil construction works."
Apart from the Chennai Airport project, the company had also announced to get construction project for the second phase expansion of Thiruvananthapuram Airport terminal in Kerala. This project is valued Rs 41 crore, said Sarebeswar.
Sarbeswar noted that the upgraded airport in Chennai will be bigger than the new Bangalore Airport and its passenger capacity will be around 1.6 crore a year, which at present has a capacity to handle only 40 lakh users.
http://www.business-standard.com/india/storypage.php?tp=on&autono=47661
Wednesday, October 1, 2008
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Saturday, September 27, 2008
Thursday, September 25, 2008
New terminal buildings will ensure smooth movement of passengers
CHENNAI: The proposed new terminal buildings – international and domestic – at the Chennai airport are expected to provide adequate space for ensuring free movement of passengers, whose numbers are on the rise.
An airport source said the present domestic terminal was set up on a 19,250 square metre area. The new facility would come up on 68,900 square metres. The existing international terminal functions from a 42,300 square metre area while the new one would be built on 58,600 square metres.
With the increase in the domestic terminal space, it would serve 13 million passengers and the international terminal would cater to 7 million passengers. Both the new terminals would suffice till 2021, said the source.
The new terminals have been designed as energy saving ventures. There will be ample penetration of sunlight, and during daytime, only minimum lighting would be required. Another feature that will be introduced in the new terminals will be an advanced building management system. Each passenger movement can be monitored and recorded through a centralised network. Functioning of equipment inside both the terminals will be monitored through a common network. The system will provide an indication in case the equipment is due for servicing. In case of a leak or any other problem, the system will send out a warning.
http://www.hindu.com/2008/09/26/stories/2008092654860400.htm
Tuesday, September 23, 2008
In two years, you can fly in on A-380
A secondary runway that can handle simultaneous landing will also be a reality then, as it is being expanded.
Work on the airport expansion is all set to begin as about 130 acres of land across the Adyar river has been acquired.
To enhance capacity, parallel taxi tracks and parking bays will be constructed for both the main and secondary runways, besides 25 additional parking bays.
A two-level terminal building, with approximately 67,000 sqm on each level, is also a part of the expansion plan, to accommodate an additional 23 million passengers, both in international and domestic sides. Six aerobridges are also being constructed with these terminals. These facilities will host 140 check-in counters and 60 immigration counters.
With the increasing passenger traffic, parking capacity for vehicles also need to be taken into consideration. Two multi-level car parks are being constructed, each of which can provide space for 1,300 cars.
However, with the expansion project taking off, it is doubtful if the Greenfield airport will come into being immediately, though necessary land has already been acquired for the project.
Airline officials groan
Even if Airbus-380 manages to land in Chennai, can the airport handle the 600 odd passengers who will be disembarking from a flight, asks representatives of Emirates and Singapore Airlines that have the aircraft in their fleet.
“Since the terminal now has the capacity to handle not more than 400 passengers at a time, where will we land the passengers?” the representatives ask. “Where will they check-in? There is no scope until the support system is in place,” said a representative of Emirates.
With the number of passengers increasing by the day, every airline operator has a complaint on poor ground level facilities and mediocre infrastructure at the airport.
“We receive complaints from passengers almost on a daily basis about the airport facilities,” said a manager of a leading airline.
The number of check-in counters is less, resulting in a longer waiting time. The number of immigration counters is also not enough to meet the demand.
The number of passengers using the international terminal has increased by 13 per cent since 2006.
“There is no floor space at the airport to accommodate this kind of passenger traffic,” say airline operators.
Due to lack of aerobridges and parking bays, flights have to wait for their turn.
On any given day, if there is more number of flights taking off within a stipulated time, the passenger woes start with congestion at the entrance. “The CISF here is short-staffed. This causes delay at every security point – entrance, in-line scanning, security check,” another operator pointed out.
Moreover, only a few women CRPF personnel means women passengers to be frisked have to take a long route to do so. CISF men attribute this problem to the bunching of flights, which, again, is a problem the airport authorities have to deal with.
To make processes simpler and more effective, airline operators Committee had requested for a Common User Terminal System (CUTE) which facilitates flight ground staff to access passenger information at multiple check-in counters. “Out of the 33 check-in counters at the international terminal only 17 are CUTE enabled and nine are mobile.We have been pushing for a well connected CUTE system since 2003 but nothing has been done yet,” complained an airline operator.
Basic things like sanitation facilities at the airport are in bad shape. Airport toilets are so badly maintained that passengers shudder to use them.
http://www.expressbuzz.com/edition/story.aspx?artid=z91rmcimUBY=&Title=Set+for+takeoff&SectionID=lifojHIWDUU=&MainSectionID=ngGbWGz5Z14=&SectionName=rSY%7C6QYp3kQ=&SEO=Airbus-380
Sunday, September 21, 2008
Work on terminal buildings at Chennai airport to begin shortly
P. Oppili
AAI has approved the scheme and called for tenders
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Multi-level parking, seven aero-bridges, an elevated bus stop have also been planned
Metro rail station will come up near the airport
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CHENNAI: Work on a new international terminal, domestic terminal, multi-level parking and new aero-bridges will begin shortly at the Chennai airport. Construction of a bus stop, at an elevated level, on the flyover in front of the airport will also be taken up.
Airport sources said Rs.1,200 crore would be spent on constructing the terminal buildings, the multi-level parking and the aero-bridges, besides an electrical sub-station. The bus stop might cost Rs.3 crore.
As per the original plan, the National Highways Authority of India (NHAI) was to create the bus stop on the flyover and another one, at the ground level, near the Trisoolam railway station .
If the NHAI did not execute the project, the Airports Authority of India (AAI) would fund it, sources said.
MTC and mofussil buses would stop at the bay on the flyover. From there, either an escalator or a lift would bring the passengers down, said the sources. The AAI had approved the scheme and called for tenders. Once the contract was awarded, the sources said, the work would be completed in 26 months.
The expansion included installation of seven new aero-bridges in both the domestic and international terminals.
This apart, a Metro rail station was planned near the airport.
Land expected
The construction of a new international terminal on the southern side of the airport would begin after the Defence authorities handed over 20 acres to the AAI, said the sources.
http://www.hindu.com/2008/09/21/stories/2008092159780700.htm
Wednesday, September 10, 2008
CMDA Website
http://www.cmdachennai.gov.in/volume2.html
Tuesday, September 9, 2008
CMDA II Master Plan- Chennai in 2026
Thursday, August 21, 2008
Modernisation of Kolkata, Chennai airports to begin next month
Press Trust Of India / New Delhi August 21, 2008, 15:40 IST
Construction activities for modernising and expanding the Kolkata and Chennai airports by the Airports Authority of India will begin by the end of next month, Civil Aviation Minister Praful Patel said today.
"Physical construction (at these two airports) should begin by the end of September," he said after inaugurating the country's longest runway at the IGI Airport here.
Patel said the acquisition of land for Chennai airport's expansion was a state subject. "If the State Government wants (to expedite the project), they will have to acquire the land soon and give it to us."
Replying a question on the Government's recent decision to allow charging of user development fees by the private operator of the new Hyderabad airport, Patel said "We are considering the same for the new airport at Bangalore. We will examine all parameters before we take a decision."
He said Civil Aviation Secretary Ashok Chawla recently visited Bangalore to study various aspects of the issue.
Asked about airport charges proposed to be imposed by Delhi International Airport Limited and Mumbai International Airport Limited, the Minister said the issue was before the Ministry. "Based on certain parameters, a judicious decision will be taken."
Earlier, an Air India Boeing 777-300ER (extended range) aircraft became the first to land at the new 4,430-metre runway. The aircraft was welcomed by a water salute (a spray of water from both sides) while taxiing to a temporary bay.
http://www.business-standard.com/india/storypage.php?tp=on&autono=45049
Monday, August 18, 2008
‘The foundation of these two projects will be done next month and its development and expansion will be completed in the next three years,’ he told reporters.
Patel also hoped that the Airports Authority of India (AAI) - developing these airports - would not need any external help to fund these projects.
The government has earmarked Rs.19.42 billion and Rs.18 billion, respectively, for the Kolkata and the Chennai airports.
For the Kolkata airport, AAI would fund 80 percent of the project cost (Rs.15.54 billion) through internal resources and the balance 20 percent (Rs.3.88 billion) through commercial borrowings.
Similarly, for Chennai airport, AAI would have 80 percent (Rs.14.46 billion) funding through internal resources and 20 percent (Rs.3.61 billion), through commercial borrowings.
‘I envisage that they (AAI) would not need any external help for these projects. This is an opportunity for the AAI to compete with the private developers. The AAI can create these two airports into models and compete with the private sector to develop world-class airports. They can even compete in the international arena,’ said the minister.
Both the projects envisage large investments and would be completed in a time-bound manner, Patel said, adding that the upgraded airports would cater to the needs of Kolkata and Chennai for the next two decades.
After completion, the two airports will be on par with those at New Delhi and Mumbai, the minister added.
Patel said the modernisation and expansion work will be done by the state-run AAI, which would also retain ownership of the two airports.
‘Only the non-aeronautical revenue and places outside the air side will be open for a public-private partnership (PPP)’ he said.
The minister said land acquisition issues have been sorted out with both the state governments.
The expansion projects at both the airports have been delayed, and Patel had in May raised the issue with the Planning Commission deputy chairman Montek Singh Ahluwalia.
He said ‘the constant objections’ on the size and scale of the project raised by the commission were responsible for the delay in the project.
Responding to a question on the possibility of a second airport around the national capital, the minister said the matter was with the Group of Ministers (GoM).
‘We are open to having an airport at Jhajjar (in Haryana) or Jhevar (at Great Noida). It all depends on the GoM’s decision,’ he said.
The GoM is looking into the intricacies of the issue, which includes legal and other contractual agreements and obligations the government has with the Delhi International Airport Ltd, which is developing Delhi’s Indira Gandhi International Airport.
Patel said the airport’s new third runway at the IGI airport would start its operations from the month end.
http://www.sindhtoday.net/south-asia/11950.htm
Government approves expansion of Chennai Airport
The Government gave its approval to the modernisation and expansion of Chennai Airport. The work which is expected to be completed within 26 months of award, will result in an additional passengers handling capacity of 14 million passengers per annum (mppa).
The airport will be upgraded to international standards; the secondary runway will be extended and made suitable for operations of large commercial aircrafts and additional parking space and taxiways to facilitate parking and movement of aircraft will be created.
It may be recalled that in May, 2007, the Committee on Infrastructure headed by the Prime Minister had decided that the Chennai Airport would be developed to international standards by the Airports Authority of India (AAI). The Public Investment Board (PIB) approved the AAI’s proposal of the Chennai Airport on 29-Jul-08.
The Chennai Airport is located at an area of approximately 1152 acres with two runways of 3658m and 2085m land. It has separate
International and Domestic terminal buildings with capacity of 3 mppa and 6 mppa respectively. International traffic at the Chennai Airport in 2007-08 was 3.41 million and Domestic traffic was 7.25 million.
Both the terminals are thus, saturated. The Airport has witnessed a growth of 10.7% pa of International traffic and of 24.4% pa growth of Domestic traffic over the last five years. It is estimated that Chennai Airport will further witnessed a combined growth of around 17.13% pa (20% Domestic and 10% International) till up to 2011-12,following which the growth rate is expected to taper to 11.10% pa (12%
Domestic and 8% International) up to 2016-17.
On the basis of these growth projections, the proposal for the Chennai Airport envisages an enhancement of runway capacity, apron capacity and terminal building capacity. The secondary runway is proposed to be extended by 832 m (to make a total runway length of 2917 m) across
A Domestic terminal building to handle 10 mppa is being constructed in addition to the existing Domestic terminal to enable the airport to handle 16 mppa on the Domestic side. The International terminal building is also proposed to be extended to cater to an additional 4 mppa. The airport will thus be able to cater to 7 mppa on the International side. A total of Rs.1077.16 crores is estimated to be spent on the new Domestic terminal, extension of the International terminal and facelift of the existing International and Domestic terminals.
The extended International terminal building is expected to saturate in 2017-18 and the combined Domestic terminal building will saturate in 2012-13. The project completion period is estimated to be 20 months for airside works and 26 months from terminal building works, from the date of award of work.
http://indiaaviation.aero/news/airline/13367/59/Government-approves-expansion-of-Chennai-Airport
Thursday, August 14, 2008
Cabinet approves Kolkata, Chennai airport upgrade
The government has set a deadline of 30 months for the Kolkata airport and 26 months for the Chennai airport. The work is expected to start next month.
The development of Kolkata airport will cost Rs.19.42 billion and Chennai Rs.18 billion.
Minister for Information and Broadcasting Priya Ranjan Dasmunsi told reporters that the expansion of the Kolkata airport would increase its passenger handling capacity to 20 million fliers a year.
Chennai will have a new passenger capacity of 14 million annually, he said.
The Public Investment Board (PIB) had earlier approved the Kolkata airport upgrade proposal May 30, while Chennai airport moernisation was approved July 29.
Regarding Kolkata, Dasmunsi said the Airports Authority of India (AAI) will bear 80 percent of the project cost (Rs.15.54 billion) through internal resources and the balance 20 percent (Rs.3.88 billion) through commercial borrowings.
Similarly, for Chennai airport, AAI will have 80 percent (Rs.14.46 billion) funding through internal resources and 20 percent (Rs.3.61 billion) through commercial borrowings.
AAI has already spent Rs. 320 million and Rs.200 million towards consultancy and other related work for the two airports.
Dasmunsi said the airports will be upgraded to international standards and secondary runways will be extended and made suitable for operations for large commercial aircraft.
Moreover, navigation facilities will be upgraded, additional parking space and taxiways will be created, and road and rail connectivity to the city will be improved, he said.
In April 2007, the Committee on Infrastructure (COI) headed by Prime Minister Manmohan Singh had decided that AAI would develop the Kolkata airport to international standards using its own resources.
The decision on Chennai airport was taken the following month.
Earlier, the PIB had been assured of AAI’s financial performance and its capacity to achieve financial closure for the project through internal resources and borrowing on its own strength and execute the project within the stipulated time.
However, both the projects have been delayed.
Minister for Civil Aviation Praful Patel raised the issue in a letter to Planning Commission deputy chairman Montek Singh Ahluwalia.
He said it was ‘the constant objections’ of the planning commission on the size and scale of the projects that caused the delay.
http://www.sindhtoday.net/south-asia/11902.htm
Viable project or white elephant?
The Tamil Nadu Government and the Airports Authority of India are going full steam ahead with the Chennai airport expansion plan. While the former seems unaware of the way Chennai airport looked during the monsoon in November 2005, the latter is quoting numbers that are inflated and not based on market forces.
To quote from a recent article in The Wall Street Journal: “Hurt by rising fares, the number of domestic passengers in India rose by only 7 per cent in the 12 months ended April, according to the Airports Authority of India. The growth rate for the previous 12-month period was 31 per cent, and in the 12 months before that, it was 59 per cent. Airlines are cutting routes, idling planes.” Even Mumbai and Delhi, as well as the privately-owned Bangalore and Hyderabad airports, are feeling the heat.
In the early part of this century, when oil was trading at $10, the fare between Mumbai and Delhi was around Rs 9,000 and airlines were making a huge profit. The low-cost carriers came into the picture and brought this down to less than Rs 3,000 and the full-service carriers had to make drastic changes in their fares.
The result is there for everyone to see. You cannot sell cheap tickets to fill up an aircraft and burn costly fuel to fly the passengers to their destinations.
Going by the Wall Street Journal article, it is apparent that projections are made on a single year’s figures, without vision.
Weather conditions and lay of land
Let us analyse the potential for Chennai airport. The airport expansion area is located at a lower level than the main runway and the proposed parallel runway. The main runway elevation is around 13 metres above sea level and the parallel runway will be at an elevation of 11 metres. The current secondary runway is sloped downward from the main runway and it has to cross the Adyar river which has an elevation of 2 metres.
The International Civil Aviation Organisation standards require the runway surface to be at a minimum height of 1 metre over the highest flood level across a water body.
If the secondary runway’s level is not raised sufficiently, it is going to be flooded in any heavy rain condition. It will also mean that aircraft will not be able to reach or use the parallel runway. People have forgotten what happened to Chennai airport during the deluge in 2005.
This becomes a Catch-22 situation. If the AAI does not raise the level of the secondary runway to meet ICAO standards, the secondary runway and the parallel runway will become unusable! If it does raise the level, the cost of the whole project is likely to multiply several times, which has not been budgeted for.
The Chembarambakkam lake overflow is through the Adyar river. If the flow area is restricted by the secondary runway or blocked to a large extent, the flooding on the west, south and south-east areas are going to be extensive.
Growth Projections
The whole programme is based on the inflated growth figures given out by the Ministry of Civil Aviation. Unfortunately, the scene has changed completely, with the rise in oil prices. In an article in April, when crude was hovering around $100 a barrel,
I had pointed out that the airlines are not taking the cost of fuel into account and the projections are likely to crumble. Oil prices are not likely to drop below $100 a barrel in the next year or so.
The airline numbers in India are likely to fall below the 50 per cent mark and the traffic potential in Chennai could drop drastically.
All the airlines in India are in consolidation mode. Air Sahara and Air Deccan have been gobbled up. And it may just be a matter of time before the other smaller airlines are taken over by bigger players. The low-cost carrier concept in India is a misnomer.
Except for the snacks and food, there is no difference in operations costs. One has to pay all the charges — import duty, leasing cost, landing charges, etc.
Cost of Expansion
The AAI has stated that 80 per cent of the Chennai Airport expansion cost will be funded from its own kitty and it will borrow from the market the other 20 per cent. The latest monetary policy spelt out by the RBI is going to make this an expensive exercise.
The AAI has also lost a big chunk of its income source from Delhi, Mumbai, Hyderabad and Bangalore. Even the private players that invested in these airports, based on the inflated traffic projections, are feeling the heat.
There is a question mark as to what will be the recovery period of the high investments. India does not even have a clear cut Civil Aviation policy. It keeps changing, day by day, at the whims and fancies of the Government in place.
Let us take the average aircraft movements in Chennai airport. The AAI pitches for the extension of the secondary runway and the building of the parallel runway, to increase the capacity to 50 movements an hour.
In January 2008, when traffic was at its peak, Chennai had a maximum of 28 movements an hour. This was during the peak hours and for just three hours in a day.
The rest of the day, the average hardly made double digits. It has been pointed out that a traffic capacity of 50 can be achieved with proper air traffic management and efficient ground structure design.
A former senior member of the Airports Authority has stated that Chennai airport, at the present location, is incapable of taking the additional passenger facility for 50 movements in an hour.
So, even if there are runways to cater to aircraft movement, there is not enough space to build the additional infrastructure required to handle all the passengers.
All airlines have cut the frequency of operations. Air travel between Chennai and nearby airports such as Bangalore, Coimbatore and Hyderabad has dropped drastically because of the costs and the time factor.
The door-to-door time taken to travel between Chennai and Bangalore by air takes almost five hours now. The cost has also escalated to almost Rs 6,000, including the taxi fare at both ends.
Train travel, without any hassles of security or baggage allowance, takes just an additional hour and the cost is just a tenth. One can travel very comfortably by the Shatabdi Express for just Rs 600!
Personal egos seem to override logic and reason in Indian aviation. Posterity will tell if the expansion programme of Chennai airport is a viable project or a white elephant.
(The author is an airline captain with 35 years flying experience.)
http://www.thehindubusinessline.com/2008/08/13/stories/2008081351900900.htm