Hyderabad-based GVK may be holding the right of first refusal (RoFR) in the upcoming bids for the Navi Mumbai International Airport (NMIAL), but the aviation ministry must first agree that its management of the Mumbai International Airport (MIAL) is satisfactory. Sanjay Bhatia, vice-chairman and MD of Cidco, the nodal agency in charge of the project, told FE on Wednesday that until GVK produces a certificate to this effect from the ministry, it won?t be allowed to invoke its RoFR or bid for the R14,574-crore project.
Last week, Cidco invited glo-bal tenders to select a developer for NMIAL, re-igniting interest in the much-delayed project.
GVK, which operates the Mumbai airport, drew criticism in a parliamentary panel report on Monday for making ?highly irregular withdra-wals? from the escrow account meant for fees collected from passengers to provide security. The report pulled up the ministry for letting this happen.
However, Bhatia said he had not been communicated anything in this regard. ?But, according to the rules, only after they (GVK) give me the certificate will they be allowed to bid or invoke first right of refusal.?
The NMIAL project has attracted attention from international agencies and consortia, apart from Indian firms like GVK, GMR and L&T. Zurich Airport Authority, which holds 5% stake in the Bengaluru International Airport (BIAL), is one of the overseas contenders. ?They are keen to bid for the NMIAL,? said Bhatia, who met Zurich Airport Authority representatives at Davos, as a part of a delegation led by Maharashtra CM Prithviraj Chavan. ?I am meeting the British Airport Authority delegation. So, I presume they are also interested,? Bhatia added.
He, however, said that since only a few companies have experience in running airports by themselves, most foreign parties are likely to form consortia to make their bids.
?What we are specifying is that they (bidders) have to have three things in place ? financial capabilities, at least R2,375 crore net worth and experience handling an airport project worth R9,500 crore in the last few years. Apart from this, they should also have a significant experience of running an airport,? Bhatia added.
Cidco will hold at least 25% stake in the project, while project-affected people will hold 1% after the PPP is in place or the construction bid is handed out to a party by early next year. ?It is not yet finalised what will AAI’s share in the project be or whether AAI will have a share at all,? Bhatia said.
Cidco has acquired all clearances required. Bidding for India’s largest airport project is expected to be aggressive. However, 250 hectares, comprising 4-5 villages, are yet to be acquired. ?We are sure of completing the remaining land acquisition in four months before approaching the qualified bidders for RFP,? Bhatia added.
