Adani Group on Friday inked agreements with State-owned Airports Authority of India (AAI) for the management, operations and development of Ahmedabad, Mangaluru and Lucknow airports.
The concession period is 50 years from the commercial operation date, Adani Enterprises said in a filing to stock exchanges.
“Today, as we sign the concession agreements for Mangaluru, Lucknow & Ahmedabad with the AAI, it’s the beginning of another historic journey catering to India’s exponential airport infra demands,” Adani Group chairman Gautam Adani said in a tweet.
Three subsidiaries of the group – Adani Ahmedabad International Airport Limited, Adani Lucknow International Airport Limited and Adani Mangaluru International Airport Limited – have signed concession agreements with the AAI.
In 2018, the government decided to privatise airports at Lucknow, Ahmedabad, Jaipur, Mangaluru, Thiruvananthapuram, and Guwahati. It was for operation, management and development of these aerodromes through public-private partnership model.
Adani Enterprises had won the rights to run these six airports after competitive bidding process.
In a tweet, the AAI said the concession fee would be utilised for the maintenance and development of brownfield airports along with RCS-UDAN and other greenfield airports. RCS is Regional Connectivity Scheme (RCS), which is also known as Ude Desh ka Aam Nagrik (UDAN).