Latest news with #AAHL
Time of India
6 days ago
- Business
- Time of India
'Bringing parity': Adani pushes for one calculated tariff at Mumbai, Navi Mumbai airports
This is a representative AI image NEW DELHI: Adani Airport Holdings Ltd (AAHL) has requested the government to treat Mumbai and Navi Mumbai airports as a single unit for calculating tariffs for passengers and airlines, according to documents reviewed by The Economic Times. Should the government approve this proposal, it would establish uniform charges across both airports, potentially increasing traffic flow at Navi Mumbai. This outcome is particularly significant for AAHL, considering their Rs 16,700 crore investment in the facility's construction. Despite AAHL's ownership of both airports, Navi Mumbai is set to have notably higher passenger fees, landing and parking charges. This disparity could discourage airlines from transitioning to the new airport, which is scheduled to commence commercial operations in July. The organisation references a 2021 amendment to the AERA Act that permits airport grouping and unified designation. This legislation was initially implemented to facilitate privatisation of smaller, unprofitable airports by combining them with larger, regional counterparts to enhance investor appeal. 'Since there has been a large capital invested in Navi Mumbai, which is a green field airport, naturally tariff at the airport will be significantly higher than Mumbai, which is an established airport where capex is low and there are depreciating assets,' a source familiar with the matter told ET. 'If both the airports' tariffs are calculated as one unit, the charges at both airports will be average of the two, bringing parity,' the source added. The airport is set to launch commercial operations in late 2025, with IndiGo becoming the first airline to begin flights. The airline will start with 18 daily departures to over 15 cities, scaling up to 79 daily departures—including 14 international flights—by November 2025, and further doubling to 140 daily departures by November 2026. The opening comes as Mumbai International Airport Ltd (MIAL) plans to begin the revamp of Terminal 1 in October, prompting the relocation of around 15 million passengers to Terminal 2 and Navi Mumbai airport. Sources say one reason Adani Airport Holdings Ltd (AAHL) is encouraging more airline operations at Navi Mumbai is due to the difference in revenue sharing agreements. MIAL pays 38.7% of its revenue to the Airports Authority of India (AAI), while Navi Mumbai International Airport Ltd (NMIAL) only pays 12.6% to Maharashtra's CIDCO. The greenfield Navi Mumbai airport, spanning 1,160 hectares, will initially handle 20 million passengers and 0.5 million tonnes of cargo annually, with a long-term capacity of up to 90 million passengers and 3.2 million tonnes of cargo. It will feature two parallel runways capable of simultaneous takeoffs and landings, including a 3,700-meter runway for large aircraft. The airport's launch is expected to ease congestion at Mumbai Airport and improve the overall passenger experience, creating a dual-airport system for India's financial capital. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
6 days ago
- Business
- Time of India
Adani proposes uniform charges for Mumbai, Navi Mumbai airports
Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel New Delhi: Adani Airport Holdings Ltd (AAHL) has asked the government to consider Mumbai and Navi Mumbai airports as a single entity for calculation of tariffs for passengers and airlines, show documents reviewed by proposal, if accepted by the government, will bring parity in charges for both the airports, likely resulting in more traffic at Navi Mumbai, the success of which is crucial for AAHL, having invested Rs 16,700 crore in building the both airports are owned by AAHL, passenger user fees, landing and parking charges will be significantly higher at Navi Mumbai, which could deter airlines from shifting to the new airport that's expected to start commercial operations in company has cited a 2021 amendment of the Airports Economic Regulatory Authority ( AERA ) Act allowing grouping of airports and designating them as a single entity. This was done to privatise smaller, loss-making airports--clubbing them with a larger one in the same region to make them attractive to investors.'Since there has been a large capital invested in Navi Mumbai, which is a green field airport, naturally tariff at the airport will be significantly higher than Mumbai, which is an established airport where capex is low and there are depreciating assets,' said a person aware of the development.'If both the airports' tariffs are calculated as one unit, the charges at both airports will be average of the two, bringing parity.'Tariff regulator AERA fixes airport charges for five years based on capital expenditure by the operator. It takes into account the airport's revenue and expenditure based on capital expenditure, operating costs, depreciation and non-aero revenue, determining tariffs so that the operator makes a reasonable has faced opposition from airlines on shifting to the new airport. The International Air Transport Association ( IATA ), an airline lobby group, said in March that the Adani group was using its ownership of both airports to forcibly move traffic to kickstart operations at Navi Adani group and the Ministry of Civil Aviation didn't respond to company announced plans to start the revamp of Mumbai airport 's Terminal 1 in October, due to which around 15 million passengers will have to be shifted to Terminal 2 and Navi difference in revenue share is another reason why AAHL wants more airlines operating from Navi Mumbai, said people involved in the to the concession agreement, Mumbai International Airport Ltd (MIAL), the company that operates the airport, has to pay 38.7% of its gross revenue with the Airports Authority of India (AAI) whereas Navi Mumbai International Airport Ltd (NMIAL) has to pay only 12.6 % of its revenue to the City and Industrial Development Corporation of Maharashtra (CIDCO).'If there is high traffic at low revenue share at Navi Mumbai airport as compared to less traffic at higher revenue share at Mumbai airport, the company will have more revenue for operating the airports,' a senior airport official said. 'So, it makes financial sense to consider them as a single entity.'Government officials said deliberations are ongoing with AAI and CIDCO on the company's proposal that would set a precedent for future cases. With as many as 15 cities having dual airports, it's necessary to establish a tariff calculation process that promotes the development of newer facilities while not burdening passengers, they a former AERA official warned that such a move may be seen as conferring an unwarranted advantage as they have different agreements and ownership structures. 'Currently, this is the only case where a single company owns both the airports in the same geography,' he said.
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Business Standard
7 days ago
- Business
- Business Standard
IndiGo to launch first commercial flights from Navi Mumbai airport
IndiGo is set to become the first airline to commence commercial operations from the much-anticipated Navi Mumbai International Airport (NMIA), developed by Adani Airport Holdings Ltd (AAHL). The airline will start with 18 daily departures — totalling 36 Air Traffic Movements (ATMs) — to over 15 cities from the first day of operations. IndiGo's expansion plans at NMIA IndiGo plans to ramp up services in phases. By November 2025, it will operate 79 daily departures (158 ATMs), including 14 international flights. This is expected to grow to over 100 daily departures (200 ATMs) by March 2026. By November 2026, IndiGo aims to operate 140 daily departures (280 ATMs), including 30 international routes. IndiGo and AAHL — India's largest private airport operator under the Public-Private Partnership (PPP) model — announced the milestone in a joint statement. 'This partnership will fuel aviation growth in the country, making it a key driver for India to become the third largest aviation economy by 2030,' IndiGo said. Boost to India's aviation growth Pieter Elbers, CEO of IndiGo, called the move a strategic expansion. 'Our alliance signals towards achievement of complete operational readiness on both sides to take next steps. This expansion underscores our dedication to catering to the evolving needs of our aspirational travellers and further contributing to the growth of India's booming aviation sector.' Elbers said the new operations from NMIA will enhance the customer experience. 'The new flights from the brand-new NMIA will elevate the travel experience of our customers while enjoying affordable, on-time hassle-free services on our unparalleled network,' Elbers said. Echoing this sentiment, Arun Bansal, CEO of AAHL, said the collaboration will help NMIA become a regional aviation hub. 'Together, we are poised to transform travel experience for millions of passengers, providing them both convenience and enhanced travel options. Our collaboration is set to strengthen NMIA's role as an aviation gateway for the region and for travellers nationally and internationally.' $2.1 billion NMIA project The $2.1 billion NMIA project is a landmark initiative designed to ease congestion at Mumbai's existing airport and position the region as a global transit hub akin to Dubai, London, or Singapore. Local authorities also plan to develop an 'aero city' around the airport to generate non-aeronautical revenues. Both the existing Chhatrapati Shivaji Maharaj International Airport and the upcoming NMIA are managed by the Adani Group. International flights by August NMIA's lotus-shaped terminal — inspired by India's national flower — will initially accommodate 20 million passengers annually, with plans to expand to 90 million over the next decade. Airlines are being advised to plan a phased shift in domestic operations between April and June 2025, with international flights likely to begin by August, according to Bloomberg.
NDTV
7 days ago
- Business
- NDTV
IndiGo, Adani Join Hands To Flag Off Operations At Navi Mumbai Airport
New Delhi: India's leading airline IndiGo and Adani Airport Holdings Ltd. (AAHL), the country's largest operator of private-public partnership airports, announced on Wednesday that the low-cost carrier will operate 18 flights from Navi Mumbai International Airport (NMIA) to over 15 cities from day one of the start of commercial operations. The 18 daily departures (36 air traffic movements) will be increased to 79 daily departures (158 Air Traffic Movements), including 14 international departures by November 2025, and further scaled up to over 100 daily departures (200 ATMS) by March 2026. IndiGo and Adani Airports come together to fuel aviation growth in India, as IndiGo becomes the first airline to commence flights from Navi Mumbai International Airport. @navimumairport @AdaniOnline — IndiGo (@IndiGo6E) May 28, 2025 By November 2026, the operations will be further built up to 140 daily departures (280 ATMs), including 30 international departures, according to a joint statement issued by the two companies. IndiGo CEO Pieter Elbers said: "IndiGo will be the inaugural airline to operate from NMIA, and we couldn't be more pleased to announce this. Our alliance signals towards achievement of complete operational readiness on both sides to take next steps. This expansion underscores our dedication to catering to the evolving needs of our aspirational travellers and further contributing to the growth of India's booming aviation sector." Commenting on the partnership, AAHL CEO Arun Bansal said: "We are delighted to announce IndiGo as the first airline partner to commence operations from NMIA. This partnership marks a major step towards confirming NMIA's position as a transfer hub for domestic and international travellers. Together, we are poised to transform travel experience for millions of passengers, providing them both convenience and enhanced travel options. Our collaboration is set to strengthen NMIA's role as an aviation gateway for the region and for travellers nationally and internationally." The NMIA is set to become India's premier international aviation hub, offering state-of-the-art facilities, best-in-class passenger experience and seamless connectivity. With its strategic location and advanced infrastructure, the NMIA will play a pivotal role in enhancing India's global air travel network, the statement said. In its initial phase, the NMIA is set to handle 20 million passengers and 0.5 MMT of cargo per annum, with the capacity to serve 90 million passengers and 3.2 MMT of cargo per annum, once it is completed. IndiGo is committed to expanding its reach by offering both domestic and international destinations from NMIA. To enhance connectivity and convenience for its customers, IndiGo is strategically expanding its network across the country to ensure that airports are accessible to the maximum Indian population. This expansion highlights IndiGo's commitment to delivering a seamless travel experience and enhanced customer convenience, the airline said. The launch of the NMIA will create a dual-airport system for the financial capital of the country, enabling the decongestion of Mumbai airport and enhancing the overall passenger experience. The augmented capacity offered by both airports will offer unparalleled economic growth for the Mumbai region and Maharashtra. Spanning over 1,160 hectares (2,866 acres), on completion, the airport will feature two parallel runways and state-of-the-art terminal buildings. The NMIAL is a special-purpose vehicle established for the development, construction, operation, and maintenance of the greenfield international airport project at Navi Mumbai. The NMIAL is a Public Private Partnership (PPP) between Mumbai International Airport Limited (MIAL), a subsidiary of Adani Airports Holdings Limited (AAHL), which holds the majority stake of 74 per cent, while the City and Industrial Development Corporation of Maharashtra Limited (CIDCO), a Government of Maharashtra undertaking, holds the remaining 26 per cent.
Hans India
7 days ago
- Business
- Hans India
IndiGo, Adani Airports join hands to flag off ops at Navi Mumbai airport
New Delhi: India's leading airline IndiGo and Adani Airport Holdings Ltd. (AAHL), the country's largest operator of private-public partnership airports, announced on Wednesday that the low-cost carrier will operate 18 flights from Navi Mumbai International Airport (NMIA) to over 15 cities from day one of the start of commercial operations. The 18 daily departures (36 air traffic movements) will be increased to 79 daily departures (158 Air Traffic Movements), including 14 international departures by November 2025, and further scaled up to over 100 daily departures (200 ATMS) by March 2026. By November 2026, the operations will be further built up to 140 daily departures (280 ATMs), including 30 international departures, according to a joint statement issued by the two companies. IndiGo CEO Pieter Elbers said: "IndiGo will be the inaugural airline to operate from NMIA, and we couldn't be more pleased to announce this. Our alliance signals towards achievement of complete operational readiness on both sides to take next steps. This expansion underscores our dedication to catering to the evolving needs of our aspirational travellers and further contributing to the growth of India's booming aviation sector." Commenting on the partnership, AAHL CEO Arun Bansal said: "We are delighted to announce IndiGo as the first airline partner to commence operations from NMIA. This partnership marks a major step towards confirming NMIA's position as a transfer hub for domestic and international travellers. Together, we are poised to transform travel experience for millions of passengers, providing them both convenience and enhanced travel options. Our collaboration is set to strengthen NMIA's role as an aviation gateway for the region and for travellers nationally and internationally." The NMIA is set to become India's premier international aviation hub, offering state-of-the-art facilities, best-in-class passenger experience and seamless connectivity. With its strategic location and advanced infrastructure, the NMIA will play a pivotal role in enhancing India's global air travel network, the statement said. In its initial phase, the NMIA is set to handle 20 million passengers and 0.5 MMT of cargo per annum, with the capacity to serve 90 million passengers and 3.2 MMT of cargo per annum, once it is completed. IndiGo is committed to expanding its reach by offering both domestic and international destinations from NMIA. To enhance connectivity and convenience for its customers, IndiGo is strategically expanding its network across the country to ensure that airports are accessible to the maximum Indian population. This expansion highlights IndiGo's commitment to delivering a seamless travel experience and enhanced customer convenience, the airline said. The launch of the NMIA will create a dual-airport system for the financial capital of the country, enabling the decongestion of Mumbai airport and enhancing the overall passenger experience. The augmented capacity offered by both airports will offer unparalleled economic growth for the Mumbai region and Maharashtra. Spanning over 1,160 hectares (2,866 acres), on completion, the airport will feature two parallel runways and state-of-the-art terminal buildings. The NMIAL is a special-purpose vehicle established for the development, construction, operation, and maintenance of the greenfield international airport project at Navi Mumbai. The NMIAL is a Public Private Partnership (PPP) between Mumbai International Airport Limited (MIAL), a subsidiary of Adani Airports Holdings Limited (AAHL), which holds the majority stake of 74 per cent, while the City and Industrial Development Corporation of Maharashtra Limited (CIDCO), a Government of Maharashtra undertaking, holds the remaining 26 per cent.
