CorporateFour greenfield airports get Cabinet nod
ds for the development of four regional airports in Andhra Pradesh under public private partnership would be called for the second time. A proposal to this effect was approved by the state Cabinet here on Tuesday.
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The airports, to come up on 1,500 acre each, would be developed on a build, own, operate and transfer (BOOT) basis. The projects would be completed in 36 months from the date of award of contract.
Disclosing this to the media here, information and public relations minister J Geeta Reddy said these airports would promote balanced regional development and improve the connectivity between the state capital and district headquarters.
The government has identified Orvakal in Kurnool, Jakranpalli in Nizamabad, Ramagundam in Karimnagar and Tadepalligudem in West Godavari for the new airports.
The Airports Authority of India has already given the feasibility reports of these places. The government has designated the Infrastructure Corporation of Andhra Pradesh (Incap) as the nodal agency for inviting expression of interest and request for proposal from prospective developers.
In view of the poor response it got in the first attempt, the government has now decided to offer more support like providing land on lease, external infrastructure like road, water and power to make the projects more attractive to the developers.
Resettlement and rehabilitation of the affected families would be at government’s cost. Also, the airport developers would get exemption from VAT, seigniorage and land conversion charges, the minister said.
Bidders who offer the highest percentage of gross revenues would be selected.