Govt to discuss airport modernisation tomorrow

The empowered group of ministers will take up tomorrow the modernisation plans of Delhi and Mumbai airports even as the government has cautioned low cost carriers on the present fare structure introduced by some of them.

"The EGM will consider the modernisation of the two metro airports", Civil Aviation Minister Praful Patel said in Mumbai.

Eight entities have offered bids for the modernisation of the two airports. Speaking to newspersons on the sidelines of an aviation and tourism investor summit, Patel cautioned LCCs on the low fare structure and said "there is a need to take care on the fares being introduced by some of them as aviation has not matured enough in India".

He said there was too much concentration on Delhi and Mumbai airports and there was need for them to go to other airports.

"We will provide incentives like non-peak and peak hour tariffs and also disperse them to other airports", he added.

Patel said the aviation policy has been circulated to other ministries and "We expect to hear their comments after which it would be announced soon".

On the fleet acquisition plan of Indian Airlines and Air-India, he said the cabinet committee on economic affairs will consider the 43 aircraft proposal of IA next month.

The A-I proposal for 50 aircraft would go before the public investment board next month, he said.