Business Model Canvas (BMC)- A new venture concept
Greenfield airport
1. New Greenfield Airport in Greater Noida
After the grand opening of Terminal 3 of Indira Gandhi International Airport, every Indian
takes pride to boast as a Project which was completed in time for the Commonwealth
Games 2010 to be held in Delhi. Within a month of opening of Terminal 3, the
controversy in aviation infrastructure struck whether new Greenfield Airport in Greater
Noida airport will take off in near future or not.
As per the norms in the Greenfield Airport Policy 2008, a Greenfield Airport may be
permitted where an existing Airport is unable to meet the projected requirements of the
traffic or a new focal point emerges with sufficient viability. In case of an application to
establish an airport within 150 km of an existing airport, the proposal would first be
considered by the steering committee under the chairmanship of Civil Aviation Secretary
that would take into account all relevant facts and circumstances including contractual
liabilities. The Committee will also take into account whether the applicant has obtained
relevant approvals required and then give its recommendations to the civil aviation
ministry. Depending on ministry's approval, the Directorate General of Civil Aviation
(DGCA) can grant a license to the project. It is interesting to note here that the
Operation, Maintenance and Development Agreement dated 4th April, 2006 entered
between GMR-led Delhi International Airport Private Limited (DIAL) and Airports
Authority of India (AAI) is based on the policy on Airport Infrastructure, 1997 which
clearly states that no Greenfield Airport will normally be allowed within an aerial distance
of 150 kilometers of an existing Airport and where it is allowed as a second airport in the
same city or vicinity, the parameters for distribution of traffic between the two airports will
be clearly spelt out.
The gap between the traffic projections of UP government and DIAL is too wide and
there is a lot of difference in the projections. These projections will now be examined by
the aviation ministry and AAI. A realistic traffic projection will be crucial to decide for
setting up a new Greenfield Airport in Grater Noida.
The UP government justified the need for Delhi's second airport in Greater Noida
through its consultant, L&T Ramboll's report that estimates the NCR to have 100 million
people flying per annum much before 2021. DIAL, which is developing IGI on the basis
of traffic study done by UK-based Mott McDonald, estimates the 100-million mark to be
breached only after 2032. At present, the Terminal 3 is capable of handling 37 million
passengers per annum and the actual traffic is 9 million of international passengers and
19 million of domestic passengers. Further, the Master Plan of DIAL is clear with respect
to the start of next phase of construction of Terminal 4 which will be triggered by growth
in traffic.