The Karnataka government has expressed its objection to the decision made by the Airports Authority of India (AAI) to hand over the operations and management (O&M) of Mangaluru International Airport (MIA) to the Adani Group. MB Patil, the Minister of Large and Medium Industries in Karnataka on Tuesday, June 13 said that the state government intends to write a letter to the AAI and the Union government to voice their concerns.
According to the Times of India, Patil raised concerns about the AAI and the Union government's policy of utilising state airport resources without sharing revenue with the state. He said that the state government bears the recurring costs of operating airports, amounting to approximately Rs 6-8 crore, including expenses for water, electricity, and other amenities. Patil questioned the necessity of these expenditures when a subsidiary company of the state government could fulfil the same responsibilities.
The Karnataka government plans to propose to the AAI and the Union government that land on which all airports are constructed should be registered in the name of the state government. Patil suggested offering long-term leases for the land, with renewals every 30 years or more.
He said that Karnataka State Industrial and Infrastructure Development Corporation (KSIIDC), a body functioning under the department of large and medium industries, is being considered as the potential authority to oversee the operations of these airports. Patil added that discussions would be initiated with the Union government regarding the execution and upkeep of these new aviation facilities.
Patil also said that the Shivamogga Airport has received approval from the Directorate General of Civil Aviation (DGCA) to commence operations. “The government intends on taking up the responsibility of operating and maintaining the under-construction Vijayapura and Hassan airports as well,” Patil said. He cited the example of the Shirdi airport, which is operated and maintained by the Maharashtra government, adding that several other states have adopted a similar model.
Currently, the state has established an airport in Kalaburagi at a cost of Rs 1,000 crore. However, the minister argued that retaining control of operations instead of handing it over to the airport authority would bring local advantages.