Cabinet Approves Nagpur Airport Modernisation Push The Union Cabinet has given its approval for the modernisation of Nagpur airport, marking a significant step in the city’s infrastructure development. The decision, which extends the Airports Authority of India (AAI) land lease for the airport, enables a 30-year public-private partnership (PPP) concession to the Nagpur International Airport Limited (GNIAL). This approval follows a prolonged legal and administrative process that spanned over a decade, culminating in the signing of a concession agreement between MIHAN India Limited and GMR Nagpur International Airport Limited on October 8, 2024. The modernisation project, part of the MIHAN aviation and cargo hub initiative, aims to transform Nagpur into a logistics and aviation hub in Central India. Under the plan, GMR Airports Limited will renovate the existing airport and construct a new international-standard terminal, including a second runway. The second runway is expected to enhance Nagpur’s connectivity and solidify its position as a key logistics center. The project also includes state-of-the-art facilities for cargo handling and passenger services, with a target annual passenger capacity of 30 million. The journey to this approval was marked by several challenges. MIHAN India Limited, a joint venture between the AAI and the Maharashtra Airport Development Company (MADC), was established in 2009 with a 49:51 equity structure. Despite the transfer of airport assets to the joint venture in 2009, the execution of the land lease deed faced delays due to land demarcation issues. In 2016, MIHAN floated a global tender for a private operator under the PPP model, with GMR Airports Limited emerging as the highest bidder. The initial revenue-sharing offer of 5.#airports_authority_of_india #union_cabinet #nagpur_airport #mihan_india_limited #gmr_nagpur_international_airport
