New Delhi: The Airports Authority of India (AAI) has asked the Adani Enterprise to take over the management of Ahmedabad, Mangaluru and Lucknow airports by November 12, 2020, the Ministry of Civil Aviation said on Thursday. Airports of Guwahati, Jaipur and Trivandrum have also been approved for leasing out on Public Private Partnership (PPP).
"Out of the six airports for which bits were invited in the first round, the Concessionaire Agreement has already been signed in February 2020 for three - Ahemdabad, Lucknow and Mangaluru. Due to Covid-19, M/s Adani Enterprises Ltd (AEL) has cited Force majeure and filed for an extension on March 2020 and sought time till 15th February 2021. AAI has given time till 12 November 2020," the Ministry said in a presentation.
A force majeure is a common clause in contracts that essentially frees both parties from liability or obligation when an extraordinary event or circumstance beyond the control of the parties, such as war, riots, epidemics or an event described by the legal term act of God (hurricane, flood or earthquake etc.) prevents one or both parties from fulfilling their obligations under the contract.
Take over three airports by Nov 12: AAI to Adani
Adani Enterprises have been asked to take over the airports of Ahmedabad, Mangaluru and Lucknow by the Airports Authority of India. A total of 13,000 crores will be made by private players for leasing out 12 airports through PPP.
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"The other three - Guwahati, Jaipur and Trivandrum have also been approved for leasing out on PPP and the Letter of Award issued to M/s Adani Enterprises Ltd (AEL)," it further added.
Notably, Adani Enterprises Ltd (AEL) has won the operations and development rights over a 50-year lease from the Ahmedabad, Lucknow, Bengaluru Thiruvananthapuram, Jaipur and Guwahati airports, the first round of privatization that was held by the Centre in February 2019. The Board of AAI on September 5, 2019, recommended the Centre for undertaking the Operations, Management and Development of another service six airports through PPP. These airports are Varanasi, Amritsar, Bhubaneswar, Raipur, Indore and Trichy.
"Modalities for this proposal are being worked out and it is expected that additional investment of around Rs 13,000 crore will be made by private players in the 12 airports," the Ministry of Civil Aviation said.
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