THIRUVANANTHAPURAM: Decks have been cleared for Adani Group to take over the Thiruvananthapuram international airport, but it may have to wait. The Ahmedabad-based group, which had floated the company Adani Trivandrum International Airport Ltd to run the facility, has to see off a slew of litigation. It also has to secure the state support agreement (SSA) from the Kerala Government, which has been strongly opposing the airport’s privatisation.
The Supreme Court had recently sent back to the High Court (HC) the petitions of the state government and airport employees union (AAEU) challenging the Airport Authority of India’s (AAI) proposal to grant the airport’s management rights to the Adani group for 50 years. The apex court order followed the HC order on December 18, 2019.
The HC had dismissed the pleas filed by the state and AAEU back then saying the question raised in the petition has to be decided by the Supreme Court under Article 131 of the Constitution. After sending the case back to the High Court, the case could not be taken up for hearing due to Covid outbreak. So the airport takeover will be subject to the court’s final verdict.
Secondly, the company has to sign the SSA with the state government. It remains to be seen whether the government will ink the SSA with the company, especially when the local body and assembly polls are around the corner, as the CPM-led government is against the airport’s privatisation. Thirdly, Adani Group, which signed a binding concession agreement for three airports —Ahmedabad, Lucknow and Mangaluru — on February 15 this year after winning the rights to manage six airports in February 2019, is yet to take over them.
The group had to formally take over the assets of the three airports within 180 days by paying around `1,500 crore upfront to the AAI. As per reports, the group has sought six more months to take over the airports awarded in the first tranche due to the uncertainty prevailing in the aviation sector owing to Covid.“Once the airport is awarded to a company, it’ll have to execute an agreement with the AAI in 30 days and take over the airport in 45 days.
Up to three months, the company can use the manpower of the AAI to run the airport and after 90 days, it should run the airport singlehandedly. It can also take the AAI’s employees — upto the rank of assistant general manager — into their muster roll if they are willing to work with the new firm. Those not ready to work under the new company will be transferred to other AAI-controlled airports. In the past, only around five per cent of employees had shown interest to join the new companies which took over Mumbai and Delhi airports,” said a senior officer with the AAI.
Chennithala comes out against privatisation
T’Puram: Opposition leader Ramesh Chennithala has urged the Centre to reconsider its unilateral decision to give the Thiruvananthapuram airport on lease for 50 years to Adani Group. In a statement, he said the airport is an asset of the state. He recalled the earlier decision by the state government expressing its willingness to take over the airport which has since been bypassed. Chennithala alleged that under the guise of Covid, the Centre has been resorting to privatise various companies to Adani Group which is highly deplorable.
Pinarayi writes to PM T’Puram: The state has expressed difficulty in cooperating with the Centre’s decision of awarding the airport’s right to a private player disregarding the protest and promise of the Centre to the state. In a letter to Prime Minister Narendra Modi, Chief Minister Pinarayi Vijayan said, “in view of the unilateral decision taken by the Union Government without giving any credence to the state government’s arguments, it will be difficult for us to offer cooperation to the implementation of the decision, which is against the wishes of people of the state. I request your good self to intervene so that the decision is reconsidered.”
A 1,070 cr
AAI will get as upfront amount from handing over the last set of three airports to Adani Group