Adani Group given 90 days to take over 3 key airports
NEW DELHI: The Adani Group has been allowed a threemonth extension to take over airports at Jaipur, Guwahati and Trivandrum, civil aviation minister Jyotiraditya Scindia told the Lok Sabha on Thursday.
The Ahmedabad-based conglomerate had asked stateowned Airports Authority of India (AAI) for a six-month extension till December 2021, citing force majeure due to the Covid-19 pandemic,
Scindia said that while the airports at Jaipur, Guwahati and Trivandrum airports are yet to be handed over to the Adani Group, those at Mangaluru, Ahmedabad, and Lucknow were handed over to the company on October 31, November 2 and November 7, respectively. The concessionaire had invoked force majeure and sought an extension of 205 days for taking over these airports.
“AAI had granted three months extension (to Adani Group) in this regard,” Scindia said, adding that there was no loss registered due to the delay.
“The revenue from the remaining three airports viz. Guwahati, Jaipur and Thiruvananthapuram will continue to be received by AAI till the handing over of these airports to the concessionaire (Adani Group),” Scindia added.
Adani Group became the country’s largest airport operator after taking a controlling stake in MIAL earlier this year. The Chhatrapati Shivaji Maharaj International Airport (CSMIA) In Mumbai is the second busiest in the country after the Delhi airport.
According to a March report by rating agency Icra, the airport sector is likely to incur a net loss of ₹5,400 crore in the financial year ended March 31 due to a sharp drop in passenger traffic following the covid outbreak. The report also estimates a cash loss of ₹3,500 for the sector.
However, ratings agency Icra expects the airport sector to bounce back to profitability this financial year, with industry net profit expected to rise to ₹190 crore.