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1. When was Airports Authority of India (AAI) constituted and the manner it has been constituted? AAI has been constituted under an Act of Parliament, namely, the Airports Authority of India Act, 1994 and has been constituted as a Statutory Body. 2. What is the management structure of AAI? AAI is managed by a Board of Members appointed by the Central Government under Section 3 of the AAI Act. The Board of AAI presently comprises: (a) a Whole-Time Chairperson; (b) the DGCA, who is the Ex-Officio Member; (c) five Full Time Members for Operations, Finance, HR, Planning and Air Navigation Services; (d) the JS (in-charge of AAI) and the AS&FA in the Ministry of Civil Aviation; (e) three Part-Time non-official Members. As on date, the Board of Airports Authority of India consisted of the following Members :
1. Shri V.P. Agrawal Chairman

2. 3. 4. 5. 6. 7. 8. 9.

Vacant - Member (Finance) Shri K.K. Jha Member (Human Resources) Shri S. Raheja Member (Planning) Shri V. Somasundaram Member (ANS) Shri G.K. Chaukiyal Member (Operations) Shri E.K. Bharat Bhushan Part-time Member Shri Alok Sinha Part-time Member Shri Deepak Parekh Part-time Nonofficial Member

10. Shri Sajjan Jindal Part time Non-official Member 11. Shri Arun Laxman Bongirwar Part-time Non-official Member

3. How many Airports / Civil Enclaves are maintained by Airports Authority of India? Airports Authority of India (AAI) manages 115 airports in the country, which includes 23 civil enclaves. 4. How many International airports are in India and which There are seventeen international airports in India as on date. AAI Managed Airports
1. 2. 3. 4. 5. 6. 7. 8. 9. Netaji Subhash Chandra Bose International Airport, Kolkata Chennai International Airport, Chennai Thiruvananthapuram International Airport Sardar Vallabh Bhai Patel International Airport, Ahmedabad Guru Ram Dass Jee International Airport, Amritsar Lokpriya Gopinath Bordoloi International Airport, Guwahati Goa International Airport (Civil Enclave) Srinagar International Airport, Srinagar (Civil Enclave) Jaipur International Airport

are they? These are:

10. Kozhikode Airport, Calicut 11. Veer Savarkar International Airport (Civil Enclave), Port Blair, A&N Islands (UT)

Privately Managed Airports

12. Indira Gandhi International Airport, Delhi 13. Chattrapati Shivaji International Airport, Mumbai 14. GMR Hyderabad International Airport, Hyderabad 15. Bangalore International Airport Limited, Bengaluru 16. Cochin International Airport, Kochi (Private) 17. Bharat Ratna Babasaheb Dr. B.R. Ambedkar International Airport, Nagpur (Maharashtra)


5. Which are the airports / civil enclaves maintained and managed by AAI? Details of airports / civil enclaves maintained and managed by AAI are given below: International Airports AAI AIRPORTS Ahmedabad (SVBPI) Amritsar Calicut Chennai Guwahati (LGBI) Jaipur Kolkata (NSCBI) Thiruvananthapuram CIVIL ENCLAVE Goa Portblair Srinagar

Customs Airports AAI AIRPORTS Coiombatore Gaya Lucknow Mangalore Patna Tiruchirapalli Varanasi Pune Bagdogra CIVIL ENCLAVE

TOP Operational AAI Airports 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. Agartala Agatti Aurangabad Behala Belgaum Bhavnagar Bhopal Bhubaneshwar Dehradun Dibrugarh (Mohanbari) Dimapur Gondia Hubli Hyderabad (Begumpet) Imphal Indore Jabalpur Juhu (Mumbai) 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33. 34. 35. 36. 37. 38. 39. 40. Kullu (Bhuntar) Lilabari (North Lakhimpur) Ludhiana Madurai Mysore Pantnagar Pondicherry Porbandar Raipur Rajamundry Rajkot Ranchi Safdarjung (Delhi) Salem Shillong (Umroi) Shimla Surat Tirupati

19. 20. 21. 22.

Kandla Kangra (Gaggal) Kanpur (Civil) Khajuraho

41. 42. 43. 44.

Tuticorin Udaipur Vadodara Vijayawada

Non-Operational AAI Airports 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. Aizawal (Turial) Akola Asansol Balurghat Bilaspur Chakulia Cooch Behar Cuddapah Deesa (Palanpur) Donakonda Jalgaon Jharsuguda Jogbani Kailashahar Kamalpur Keshod (Junagarh) Khandwa 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33. Khowai Kishangarh Kota Lalitpur Malda Muzaffarpur Nadirgul Panna Passighat Raxaul Rupsi Satna Shella Tazu Vellore Warangal

Operational Civil Enclaves 1. 2. 3. 4. 5. 6. 7. 8. 9. Agra Allahabad Bangalore Bhuj Chandigarh Gorakhpur Gwalior Jammu Jamnagar 10. 11 12 13 14 15 16 17 18 Jodhpur Jorhat Jaisalmer Kanpur (Chakeri) Leh Pathankot Silchar Tezpur Visakhapatnam

TOP 6. What is the status of AAI at present, as a profit making PSE? What advantages does it confer on AAI as a Miniratna Category 1 PSE? AAI has been consistently making profits since its formation. In February 2009, AAI was granted "Miniratna Category 1 PSE" status by the Government of India. As a Miniratna Category 1 PSE, the Financial Powers of the Board of AAI to invest capital expenditure have

been enhanced to Rs.500 crores without Govt. approval. 7. What is the policy of Govt. of India on airport infrastructures? As per the Govt. of India's Policy on Airport Infrastructures issued in December, 1999, no Greenfield airport will normally be allowed within a distance of 150 kms from the nearest existing airport. Where the Govt. decides to set up a new airport at such place through AAI on social economic consideration, even through the same is not economically viable, suitable grant-in-aid will be provided to AAI to cover both the initial capital cost as well as recurring losses. 8. What is the role of State Govt in upgradation of airports? Govt of India has been encouraging participation of State Governments in development of airport infrastructures. The New Bangalore Airport, New Hyderabad Airport and Cochin International Airport (CIAL) are examples of participation of State Govt. through joint venture. In the Domestic airport, State Governments normally hand over the required land for development of airport free of cost and free from all encumbrances as a token of State government participation. The examples are Vizag, Khajuraho, Amritsar, Pathankot, Dehradun, Lucknow, Varanasi airports where respective State Govts. have given land free of cost. 9. What steps have been taken by AAI to cut down delays in landing and taking off of aircrafts at airports as also to facilitate the passengers by providing for additional runways and taxiways? Airports Authority of India has taken the following steps to reduce delays:


AAI had initiated measures for high speed exit taxiways at Delhi and Mumbai airports. A parallel taxi-track has been constructed at Delhi airport by which runway occupancy time has been reduced considerably.

2. 3. 4. 5. 6. 7. 8. 9.

Mumbai and Delhi airports has been handed over to Joint Venture Companies for further development of ground infrastructure. Delhi International Airport Ltd. has already constructed third runway to accommodate more arrivals and departures at Delhi Airport. Simultaneous use of both runways at Delhi and Mumbai airport has started during the traffic congestion period. The beginning of runway 32 and 27 have been joined by constructing a new taxi-track and beginning of runway 27 is joined from international apron to reduce runway occupancy time. AAI has already taken up the project for upgradation of 35 non-metro airports enable in handling the increased air traffic at those airports. Improved ATC procedures have been designed. Clearance Delivery Position has been established at Mumbai, Delhi, Bengaluru and Hyderabad International airports to reduce R/T congestion. Ban on general aviation aircraft during peak period at Mumbai Airport has been imposed.

10. ATC Automation System at Delhi and Mumbai have been upgraded. 11. Advanced Surface Movement Guidance and Control System [ASMGCS] along with Surface Movement Radar has been installed and in operation at Delhi, Bengaluru and Hyderabad Airports. 12. Advanced Surface Movement Guidance and Control System [ASMGCS] is under process for

Mumbai, Chennai and Kolkata airport. 13. Air Traffic Flow Management System is under consideration. 14. Kolkata ILS has been upgraded to CAT II ILS to cater to operation with lower visibility. 15. New Integrated Automation System for Chennai and Kolkata is being planned. 16. At the time of slot allocation schedule arrival and departure time are spread in such a manner that bunching should not take place resulting into delays. 17. The number of hourly movements of flights are freezed at Mumbai and Delhi airport as per with availability runway / terminal building capacity.

TOP 10. Which are the AAI managed airports in the country which are having the night landing facilities? All operational airports managed by AAI have been provided with Aeronautical Ground Lights except Umroi (Barapani) in Meghalaya. However, only Instrument Flight Rules airports (Airports equipped with all weather day and night operational capability) can be permitted to be used for night operations. 11. Which are the new greenfield airports under construction in the country by AAI? A new Greenfield airport is under construction at Pakyong in Sikkim. The estimated cost of this project is Rs.309 crores and the project is expected to be completed by January, 2012. 12. What efforts are being made by AAI to increase the non-traffic revenue at AAI airports? Airports Authority of India (AAI) is in the process of exploring new avenues to increase NonTraffic Revenue as per the following:
1. 2. 3. introducing the concept of master concessionaires at major airports by bunching major contracts which shall not only increase the revenue but also enable easy monitoring; tendering of the Ground Handling facilities at the airports which was earlier done only through selected agencies which has resulted in manifold increase of revenue of AAI; and introduction of innovative schemes / facilities at the airports which shall not only facilitate the passengers but also increase the revenue to AAI.

13. The number of airports in the country having digitalized Performance Based Navigation (PBN) systems? Performance Based Navigation (PBN) arrival and departure procedures have been implemented at Mumbai, Delhi, Chennai and Ahmedabad till date and procedures are under development for Hyderabad airport. 14. The number of airports in the country having the Geo Augmented Global Satellite Navigation (GAGSN) technology; and Final Operational Phase (FOP) of GPS Aided Geo Augmented Navigation (GAGAN) is under implementation and is expected to be operationalized by June, 2013. This technology is not airport based but it is space based. Once the GAGAN system is operational, it will be available for use at all airports in the country. 15. What is Development Fee (DF) and why Development Fee is charged by Airport Operators? Development Fee is a levy made under section 22A of the AAI Act, 1994, inter-alia, for funding

or financing the cost of upgradation, modernization or development of the airport. The levy is in the nature of a "pre-funding" charge and is consistent with ICAO policies. TOP 16. Do other countries also charge Development Fee? Yes. Pre-funding charges have been levied by several countries. Some of the international airports are (a) Newquay International Airport, UK (b) Blackpool International Airport, UK (c) Norwich International Airport, UK (d) Norman Manley International Airport, Jamaica (e) Hailfax Airport, Canada (f) Pearson International Airport, Toronto, Canada and (g) Winninpeg James Armstrong Richardson International Airport, Canada. 17. What is User Development Fee and why User Development Fee is charged? What is PSF and why PSF is charged? What are the charges/fees levied to passengers by private airports / JVS for development / upgradation of airports? Greenfield airports like Hyderabad and Bangalore are levying User Development Fee (UDF) from embarking passengers to fund viability gap of these airports. DIAL and MIAL have also been authorised by the Government to levy UDF from embarking passengers at Delhi and Mumbai airports to fund modernization of Delhi and Mumbai airports. 18. Whether Passenger Service Fees is levied to passengers to fund development of new airports? Passenger Service Fees (PSF) is levied to meet the expenditure on airport security and passenger facilities at the airports and it is not utilised to fund new development / upgradation of airports. 19. What is approved rate of User Development Fees / Development Fee charged at new greenfield airports at Hyderabad and Bangalore and JVCs airports at Delhi and Mumbai? UDF/ Development Fee being levied at new Greenfield and JVC airports to departing passengers is as under: Airport Amount of UDF / Development Fee (Rs.) Inclusive of all taxes Domestic passenger International passenger Bengaluru Intl. Airport Ltd. 260 1070 Hyderabad Intl. Airport Ltd. 375 1000 Delhi Intl. Airport Ltd. 200* 1300* Mumbai Intl. Airport Ltd. 100* 600* *Development Fee TOP 20. Is there any Regulatory Authority for the charges being levied by AOs? Yes. AERA. 21. How UDF / PSF is collected from the passengers? User Development Fees (UDF) / Passenger Service Charges (PSF) is collected as part of passenger fare and remitted to concerned airport operators (AAI / Pvt. Airport / JVC). 22. What are the key reasons for the restructuring and modernization of Delhi and Mumbai airports? The key reasons for restructuring and modernizing Delhi and Mumbai airports are:
1. 2. To improve the standard of services and facilities at these Airports. To facilitate infusion of private sector investments as also foreign direct investment in the airport

sector. 3. 4. 5. To improve managerial efficiency. To induct state of the art technologies. Delhi and Mumbai being gateway airports to the country and cater to a large number of tourist and other passengers, it is felt imperative to improve these airports to world-class standards and create positive impression of the country.

23. When was the Cabinet approval for the restructuring and modernization of Delhi and Mumbai airports obtained? The Cabinet in its meeting held on 11th September 2003 accorded its approval for the restructuring of Delhi and Mumbai airports by adopting a Joint-Venture by setting up two separate companies. TOP 24. Was any consultant(s) appointed in connection restructuring and modernization of Delhi and Mumbai airports? Yes. Through a Global Tender Process, M/s ABN AMRO Asia Corporate Finance (I) Ltd., had been selected and appointed as Financial Consultants in January 2004. A Global Technical Adviser (GTA), to advise AAI/ MCA on all technical aspects of the transaction, had also been appointed. M/s Amarchand & Mangaldas & Suresh A. Shroff & Co were retained as Legal Consultant. M/s Thakur, Vaidyanath Aiyar & Co. was appointed as Accounting and Tax Advisor. 25. What is the equity pattern for the restructuring and modernization of Delhi and Mumbai airports? The Policy on Airport Infrastructure envisages that 74% Foreign Direct Investment could be on automatic approval and 100% on special approval. However, the EGOM, took a decision on 21st June 2004 to reduce the Foreign Direct Investment to 49% in the Joint Venture Companies (JVCs) set up for the restructuring and modernization of Delhi and Mumbai airports. The balance 25% of the overall 74% equity to be held by the private Indian entities. 26. What were the bidding procedures adopted for the restructuring and modernization of Delhi and Mumbai airports? After obtaining the approval of EGOM, Expressions of Interest (EOI) was solicited from interested parties to acquire 74 % equity stake in the JVC and the complete documentation, in this regard, was uploaded in the websites of AAI and MCA on 17.02.2004. The last date for submission of EOI was 20th July 2004. A total of 10 consortia submitted their EOIs and nine parties were pre-qualified for the stage-2 of the process i.e. Request For Proposal (RFP) stage. RFP documents along with Information Memorandum, Reports of the Global Technical Adviser and Reports of Accounting and Tax Advisor in respect of each of the airports were issued to the Pre-Qualified Bidders (PQBs) on 1st April 2005. Besides these documents, draft Transaction Documents were also issued to the PQBs. 27. The Who details were the pre-qualified bidders of the consortia, who submitted M/s. Changi Hochtief Bharti Airport Airport for their the stage-2 (RFP)? EOIs, are as under: Pvt. Pte. Holdings Ltd., Ltd. Ltd., Ltd.

(a) Singapore (b) L&T M/s.

Enterprises Enterprise , Piramal

GmbH Holding

(c) Agarwal Aeoprorts (d) Fraport India (e) TAV Operation Ganjam (f) Airports Old The (g) Malaysia (h) Reliance Vinci M/s.


Macquarie Galvanising de GMR Development

Bank Pvt.

Ltd., Limited Paris. Ltd., AG Fund Ltd., and Corporation, Ltd., Ltd., Limited Managers, Limited. Ltd., Berhad Pvt. Ltd., Ltd., Airports. (DSCL) (Munich) Laing) (Apollo)




Pan Investment Trading


Paryatan Construction Pvt.

M/s. Company Mutual Bidvest M/s. Airport Reliance

GVK South

Industries Africa Asset Group


Universal Holdings Developers

Airport Energy

(i) DS Construction Flughafen Munchen John Laing International Ltd Apollo Enterprises Ltd Ebony Retail Holdings Ltd (Ebony).

Ltd GmbH UK UK (John

28. What activities were undertaken subsequent to the issue of RFP documents and when was the final Transaction Documents issued? Subsequent to the issue of the final RFP documents, management presentations were made to PQBs and site visits were organized for them. Also replies were furnished to the due diligence questions of the PQBs and PQBs were allowed to carry out technical inspection of airports. Besides these, management interviews were held between the AAI management and the PQBs and review meetings of PQBs conducted with the Government Transaction Team (GTT). Also as part of the process, the PQBs were allowed to change the members of the consortia by furnishing the requisite information within a stipulated date. Further, proposals were received from the bidders on the changes sought by them in the draft Transaction Documents. These changes were discussed with the consultants and after the Inter-Ministerial consultations on the changes sought by the bidders; approval of the EGOM was obtained in its meetings held on 14th June and 22nd June 2005 for the Transaction Documents. Final Transaction Documents were frozen and issued to the PQBs on 30th August 2005. TOP 29. How many bids were received for Delhi and Mumbai airports along with details of bidders? Six binding Offers (Technical and Financial bids) were received for Mumbai airport and five

binding Offers were received for Delhi airport by the last date of receipt i.e. 14th September 2005. The details of the bidders are as under: CONSORTIUM DETAILS 1 Reliance Consortium 1. Reliance Airport Developers Pvt.Ltd 2. Reliance Energy Limited 3. Aeropuertos y Servicios Auxilliares** 2 GMR Consortium 1. GMR Infrastructure Limited 2. GMR Energy Limited 3. GVL Investements Pvt Limited 4. Fraport AG Airport Services Worldwide** 5. Malaysia Airports (Niaga) Sdn. Berhad** 6. India Development Fund 3 Essel-TAV Consortium 1. Pan India Paryatan Limited 2. Ganjam Trading Company Pvt. Limited 3. Tepe-Akfen-Vie Yatirim Yapim Ve Isletme Anonim Sirketi (TAV)** 4 DS Construction 1. D.S. Constructions Limited Consortium 2. Flughafen Munchen GmbH** 3. Ebony Retail Holdings Limited 4. Hirandani Properties Pvt. Limited 5 Macquarie Consortium 1. Macquaire India Airports One Limited 2. Macquaire India Airports Two Limited 3. Sterlite Infrastructure Limited 4. Aeroports de Paris Management** 6 GVK Consortium 1. GVK Industries Limited* 2. Airports Company South Africa** 3. The Bidvest Group Limited** Note: *GVK Consortium has bid only for Mumbai airport **Foreign companies/ foreign airport operators 30. What actions were taken subsequent to the receipt of binding Offers from the bidders? The technical and financial bids submitted by the bidders were segregated by the authorized th officials of AAI in the presence of representatives of bidders on 14 September 2005 and the same were separately sealed and besides the signatures of the authorized officials of AAI, the signatures of the representatives of the bidders were also obtained on the sealed covers/boxes. Subsequently, a meeting of the Inter-Ministerial Group Meeting was held on 19 September 2005 wherein it was decided that the evaluation should be undertaken by a composite team of Financial Consultant (ABN-AMRO), Global Technical Advisor (Airplan Pty. Australia) and Legal Consultant (Amarchand & Mangaldas) ensuring independent analysis, transparency, consistency, non-discrimination and equity. Further, it was decided by the IMG that since the Transaction Documents and RFP documents are frozen, no such view should be taken by the Consultants, which could be viewed as change in the provisions of the final Transaction Documents including RFP. In addition, it was stated by IMG on the approach to evaluation process of technical criteria presented by FC, that the same should not be conflict with the RFP documents. Further, the IMG decided that considering the complexity and voluminous data, a separate Government Group (GRC) be constituted to conduct an independent review of the evaluation undertaken by the consultants including the approach to the evaluation adopted by the consultants.

The technical bids kept under sealed covers were opened on 22 September 2005 by the authorized officials of AAI in the presence of the representatives of bidders. Thereafter these technical bids were handed over to the consultants for evaluation. The consultants undertook the evaluation and submitted their reports on 22nd November 2005. The evaluation report of the consultants was considered by the GRC in its meetings held on rd th 23 and 24 November 2005. The GRC submitted its report to the MCA for further action. The report of the consultants and the report of the GRC were placed before the IMG. The IMG nd considered the report of the consultants and GRC in its meeting held on 2 December 2005 th and the findings of the IMG were considered by the EGOM in its meeting held on 5 December th th th th th 2005 and subsequent to the same, the IMG held series of meetings on 6 , 8 , 9 , 12 , 13 , th th 14 and 16 December 2005. Subsequently, Ministry of Civil Aviation vide their letter dated 30 January 2006 directed AAI to open the financial bids of the under-mentioned bidders: For Mumbai Airport For Delhi Airport GMR Consortium Reliance Consortium GVK Consortium D.S. Construction Consortium GMR Consortium Reliance Consortium D.S. Construction Consortium Macquarie Consortium


Accordingly, Chairman AAI, vide order dated 30 January 2006, constituted a committee comprising of officials from AAI and Ministry of Civil Aviation. The report of the committee was st required to be sent to MCA. Further to the above, the MCA vide letter dated 31 January 2006 communicated the procedure to be adopted for opening of financial bids and also the information to be given to the representatives of the bidders before opening of the financial bids. Accordingly, the sealed envelopes containing the financial bids of the aforesaid bidders were st opened by the committee constituted by Chairman, AAI on 31 January 2006 in the presence of the representatives of the bidder and the report of the committee was forwarded to the MCA for further necessary action. The MCA vide their letter dated 4th February 2006 communicated the decision of the competent authority regarding the selection of GMR Consortium as the successful bidder for Delhi airport and GVK Consortium as the successful bidder for Mumbai airport. The successful th bidders were informed by AAI accordingly vide its letter dated 4 February 2006. Both the successful bidders, as per the RFP requirement, enhanced the value of bid bond from Rs. 50 crores to Rs. 500 crores each and also furnished bank guarantees to this effect. AAI initiated other actions for finalizing the transaction including the formation of two separate companies for Delhi and Mumbai airports. Delhi International Airport Pvt. Limited (DIAL) and Mumbai International Airport Pvt. Limited (MIAL) were formed and Delhi and Mumbai airports were handed over to these companies respectively on 3rd May 2006. 31. If the private airport operators are unable to fulfill the obligations, what steps Government can take against them? Non fulfillment of any obligations under the agreed terms for the construction, maintenance (including performance standards) and expansion of airports will be default(s) by the project


companies and penalty/termination provisions are included in the concession agreements followed by transfer of airports to AAI/Government of India. 32. What are the steps taken by the Government to secure the safety and security at the airports rune by the private operators? Apart from security functions, the functions like customs, immigration, Health, meteorology, plant and animal quarantine and CNS/ATM Services at these airports will continue to be performed by the Government Agencies. The safety of the private airport is thus ensured by retaining the security functions at the airport with the government agencies. TOP 33. How service standards are ensured at the private airports? DIAL and MIAL are required to achieve, within two years from the Effective Date, and thereafter maintain throughout the Term ISO9001: 2000 certification (or appropriate substitute certification in the event of ISO 9001:2000 certification being discontinued) for all facilities relating to Aeronautical Services of the Airport. Further, DIAL and MIAL shall, commencing from the first anniversary of Effective Date, and hereafter every quarter, participate in the IATA/ACI AETRA passenger survey and achieves a rating of 3.75 in the IATA/ACI AETRA passenger survey or greater and maintains the same throughout the Term. Like-wise, both BIAL and GHIAL shall participate in IATA surveys and shall ensure that a survey is conducted each year in accordance with IATA's requirements to determine the Airports? performance and achieve service standards not lower than IATA rating of 3.5 (in the TATA scale of 1 to 5). The first such survey shall be conducted during the third (3rd) year after Airport Opening. 34. Whether AAI has any financial stake in these Yes Sir, AAI has 26% share of Equity capital in both JVCs (i.e. DIAL & MIAL). Airports?

35. What is the role of AAI in the management of the airports given on lease? AAI takes part in all major decisions of these airports through its Board members who are part of the Board of JVCs. 36. How AAI monitors functioning of these airports (DIAL & MIAL)? The JVCs are required to submit various reports to AAI on regular basis as indicated as below:
1. 2. 3. 4. 5. 6. 7. Monthly Activity Report Operating Statistics Reports on various indicators of performance measurement Quarterly financial accounts Annual Budget Latest update of Business plan Any other reports informed/ required by AAI/Govt. of India

Further AAI has also fixed Service Quality Requirements & Development Standard which are required to be followed by JVC (DIAL & MIAL) failing which AAI/Govt. can impose penalty. 37. What is the percentage of share of revenue from these Airports? Share of revenue to AAI is 45.99% in case of DIAL and 38.7% in case of MIAL on the Gross

Revenue. 38. Whether lease can be terminated, if performance of the JVCs is not satisfactory? In case of any event of default which, if not cured within time period permitted, shall provide AAI the right to terminate the Agreement. 39. Is there any provisions to audit the accounts of JVC? An Independent Auditor appointed by AAI is required to audit the accounts of the JVCs (DIAL & MIAL ). 40. What is the terms of OMDA? The term of OMDA is for 30 years with a right to JVC to seek further extension of 30 years subject to no JVC event of default in the preceding five years. 41. The What is OMDA provides an the exhaustive JVC list of Event Event of of Default? Default which include:

1. 2. 3. 4. 5. 6. 7. 8. 9.

Any material breach by the JVC of its obligations under OMDA. Failure of the JVC to operate and maintain the airport in accordance with the applicable laws. Non-achievement and non-maintenance of ISO Certification. Continued non-achievement of Service Quality Requirement Standards. Breach of obligations under Development Standards and Requirements. Failure by the JVC to make any payment to AAI. Failure of JVC to maintain insurance. Non-adherence, violation or non-compliance of the Master Plan or any other major development plan. JVC directly or indirectly undertaking any activity other than those permitted under OMDA. Articles 2.5.

10. Transfer of shares or voting rights in any entity or change in Operator in violation of provisions 11. Failure to replenish the performance bond towards of full amount within three months after encashment.

TOP 42. What are the rights for usage of these airports by Indian Defence Forces? Under OMDA Indian Defence Forces have been provided full rights of usage of the airport and all its facilities free of charge. Further, the agreements provides for airspace allocation and closure, runway usage etc. to be decided by the GoI at times of any emergency. 43. What are the Performance and Quality Standards prescribed for the JVC? OMDA provides a time-frame to achieve different Objectives Service Quality Standards and to maintain these standards thereafter. In case of failure to achieve the prescribed standards thereafter. In case of failure to achieve the prescribed standards in time or if the airport continues to perform below the targeted standards a penalty clause is built in. Further, the JVC is required to achieve a minimum of airport rating of 3.5 after completion of stage 1 and 3.75 after completion of stage 2. A penalty clause is also provided for its failure to achieve the target rating a penalty of 2.5% of monthly revenue has also been provided in OMDA. 44. Are there any rights given to the JVC for developing 2nd airport?

No rights have been conferred on JVC however, in case the GOI decides to develop a 2nd airport at Mumbai and Delhi the JVC has been given a Right of First Refusal (ROFR). The JVC would need to complete with other bidders and in case the bid of the JVC is within the range of 10% of the most competitive bid, the JVC will have ROFR by matching the 1st Rank bid in terms of the selection criteria for the 2nd airport. 45. Whether security function at the airport lies with JVC or GoI? All the sovereign function namely customs immigration, health, ATC and security etc. shall continue to be performed by the respective GoI agency. 46. What are the main terms of performance bond? The performance bond is to be submitted by JVC in the form of Bank Guarantee from the Scheduled Commercial bank in India with a minimum validity of 12 months for an amount of Rs.500 crores. The said Bank Guarantee will be escalated annually at the rate of inflation (as measured by All India Consumer Price Index-Industrial workers for the immediately preceding year) for the first five years after the effective date. 47. Who are the promoters for the new International Airport Project of Shamsabad and what are their equity holdings? Hyderabad airport Government Andhra Pradesh (GoAP), Airports Authority of India (AAI) and consortium of private promoters lead by GMR Industries Limited other members of consortium being Malaysian Airports Holdings Berhard are promoters to this Greenfield airport project. Their shareholding pattern in the Hyderabad International Airport Limited, a company incorporate under Companies Act for this projects. GMR Malaysian GoPA Industries Airports and AAI Limited Holdings together Berhard will held 63% 11% -26%

(AAI's investment is capped at Rs.50 crores) TOP 48. Is there any lock-in period for the equity holdings? GMR Industries Limited and Malaysian Airports Holdings Berhard: 45% of the paid the up capital of HIAL for a period of three years after the commercial operations date of the new airport (GMR Industries 40% and Malaysian Airports Holdings Berhard 5%) and 26% shares for a period of seven years after commercial operations date of the new airport. 49. Who are the promoters for the Greenfield airport project at Devenahalli near Bangalore and what is their equity pattern? Government of Karnataka through Karnataka State Industrial Investment & Development Corporation (KSIIDC), Airports Authority of India (AAI) and consortium of private promoters lead by Siemens Project Ventures GmbH and other members of consortium being Flughafen Zureich AG and Larsen & Toubro Limited are promoters to this Greenfield airport project. Their shareholding pattern in the Bangalore International Airport Limited, a company incorporated under Companies Act for this project is: Siemens Flughafen Larsen KSIIDC Projects Ventures Zureich & Toubro and AAI together GmbH AG Limited will hold 40% 17% 17% 26%

(AAI's investment is capped at Rs.50 crores) 50. Is there any lock-in-period for the equity holdings? Yes Sir. As per the Shareholders Agreement entered to amongst the promoters to this project, the lock in period of each promoter is: Siemens Project Ventures GmbH: 40% of the paid up capital of BIAL for a period of three years after the commercial operations date of the new airport and 26% shares for a period of seven years after commercial operations date of the new airport. Unique Zurich: 5% of the paid up capital of BIAL for a period of three years after the commercial operations date of the new airport. Larsen and Toubro Limited: No lock in period is specified for their 17% shareholding in BIAL. 51. What is the criterion for identifying Non-metro airports for development? Non Metro airports are identified based upon potential for traffic growth, tourism, business potential and importance of airports located at State capitals etc. 52. What is Performance Based Navigation System? Area navigation(R-NAV) based on performance requirements for aircraft operating along an ATS route, on an instrument approach procedure or in a designated airspace. The performance-based navigation (PBN) concept specifies that aircraft RNAV system performance requirements be defined in terms of accuracy, integrity, availability, continuity and functionality required for the proposed operations in the context of a particular airspace concept, when supported by the appropriate navigation infrastructure. In that context, the PBN concept represents a shift from sensor-based to performance-based navigation. 53. What is Area Navigation(R-NAV)? A method of navigation which permits aircraft operation on any desired flight path within the coverage of station-referenced navigation aids or within the limits of the capability of selfcontained aids, or a combination of these. 54. What is RNP? Required Navigation Performance (RNP) is Area Navigation(R-NAV) with on board performance monitoring and alerting requirement. A critical component of RNP is the ability of the aircraft navigation system to monitor its achieved navigation performance and alert the pilot whether the required navigation performance is met on not. TOP aids?

55. What are station referenced navigation Those navigation aids, which are ground based, like VOR, NDB, DME etc.

56. Which are the self contained aids? These are the navigation aids contained within the aircraft system and do not depend upon the ground based navigation aids like, Inertial navigation system or inertial reference system, Aircraft Based Augmentation system etc. 57. What is inertial navigation system? An Inertial Navigation System (INS) is a navigation aid that uses a computer and motion sensors to continuously track the position, orientation, and velocity (direction and speed of movement) of a moving object without the need for external references. 58. What is Aircraft Based Augmentation System? An augmentation system that augments and/or integrates the information obtained from the

other GNSS elements with information available on board the aircraft. 59. What is GNSS? Global Navigation Satellite System (GNSS) is the standard generic term for satellite navigation systems that provide autonomous geo-spatial positioning with global coverage. A GNSS allows small electronic receivers to determine their location (longitude, latitude, and altitude) to within a few meters using time signals transmitted along a line-of-sight by radio from satellites. Receivers on the ground with a fixed position can also be used to calculate the precise time as a reference for scientific experiments. 60. What are navigational requirements for PBN? The primary means of navigation for PBN is GNSS, though VOR-DME, DME-DME, DME-DMEIRU can also support various phases of flight. TOP 61. What are the benefits of PBN? Performance-based navigation offers a number of advantages over the sensor-specific method of developing airspace and obstacle clearance criteria. For instance, PBN:
1. reduces the need to maintain sensor-specific routes and procedures, and their associated costs. For example, moving a single VOR ground facility can impact dozens of procedures, as VOR can be used on routes, VOR approaches, missed approaches, etc. 2. 3. avoids the need for development of sensor-specific operations with each new evolution of navigation systems, which would be cost-prohibitive. allows for more efficient use of airspace;

62. What are the plans of implementation of PBN in India? As per ICAO Asia pacific Regional plan, PBN procedures will be implemented at all international airports by 2012 and at other major airports by 2016. BACK th Last updated on : 06 January 2010 Home | Careers | Right to Information | Official Language Implementation | Aeronautical Info | Sitemap | Contact Us | AAI Email | FAQs | Hindi Website

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