New Delhi, Aug 4 (UNI) Amid Opposition uproar, the Rajya Sabha on Wednesday passed the Airports Economic Regulatory Authority of India (Amendment) Bill, 2021 which seeks to allow airport regulator to fix aeronautical tariff for a group of airports together other than the major ones.
The proposed legislation will allow private companies to bid for a group of small airports clubbed with a bigger airport.
The Bill amends the definition of 'major airport' under Section 2(i) of the Airports Economic Regulatory Authority Act, 2008 (AERA Act) to include 'a group of airports' in place of 'any other airport'.
As Lok sabha has already passed the Bill, the approval from the Upper House paves way for it to become part of the law.
Poonam Verma, Partner, J Sagar Associates said that the Bill intends to aid Government's plan for privatisation of smaller airports as part of its asset monetisation programme announced during the budget for 2021-22.
"The Bill also promises to help in the faster development of the smaller airports and expediting the regional air connectivity UDAN scheme by expanding the air connectivity to relatively remote areas," said Verma.
The amendment will allow AERA to regulate tariff and other charges for aeronautical services for not just major airport with annual passenger traffic of more than 3.5 million, but also a group of airports together.
The government has lined up almost half a dozen airports for developing on PPP model.
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