Airport Infrastructure-cept Presentation-sept 08

AVIATION INFRASTRUCTURE PRESENTATION BY TULSI KESHARWANI DIRECTOR (AVIATION) ASIAN INSTITUTE OF TRANSPORT DEVELOPMENT NEW DELHI & ICAO CONSULTANT

SCOPE OF PRESENTATION 

MODULE 1. SECTOR PROFILE



MODULE 2. MAJOR DEVELOPMENTS



MODULE 3. ISSUES AND OPTIONS



MODULE 4. PLANNING PRINCIPLES AND PRACTICES



MODULE 5. FINANCING AND COST RECOVERY



MODULE 6. INTERNATIONAL CIVIL AVIATION ORGANIZATION

MODULE 1- SECTOR PROFILE - CONTENTS 

SECTOR’S SPECIAL FEATURES



IMPORTANCE OF CIVIL AVIATION



AIRLINES



AIRPORTS



AIR TRAFFIC SERVICES



REGULATION AND POLICIES



GOVERNMENT OF INDIA INSTITUTIONS



INTERNATIONAL INSTITUTIONS



MAGNITUDE OF AVIATION ACTIVITIES IN THE WORLD



MAGNITUDE OF AVIATION ACTIVITIES IN INDIA



INTERNATIONAL LEGAL INSTRUMENTS



NATIONAL LEGAL INSTRUMENTS

SECTOR’S SPECIAL FEATURES 

SECTOR REPRESENTS CIVIL AVIATION SECTOR AND NOT AIRPORT INFRASTRUCTURE ALONE



TO UNDERSTAND AIRPORT INFRASTRUCTURE IT IS NECESSARY TO UNDERSTAND THE SECTOR AS A WHOLE



PRESENTLY AIR TRANSPORT IS THE MOST MODERN MODE OF TRANSPORT IN RESPECT OF SPEED AND CONVENIENCE, ESPECIALLY FOR LONG DISTANCE TRAVEL



AIR TRANSPORT IS THE NEWEST MODE OF TRANSPORT



IT IS ONLY ABOUT A CENTURY OLD



UNLIKE OTHER MODES OF TRANSPORT IT HAS AN INTERNATIONAL DIMENSION. INTERNATIONAL PASSENGER TRAFFIC IS INCREASING FAST. AIRCRAFT IS IMPORTED. MANY AIRPORT EQUIPMENT ARE IMPORTED



ITS DEVELOPMENT REALLY STARTED AFTER SECOND WORLD WAR

IMPORTANCE OF CIVIL AVIATION 

INTERNATIONAL GATEWAY AIRPORTS ARE DRIVING AND SHAPING BUSINESS LOCATIONS AND URBAN DEVELOPMENT IN THE 21ST CENTURY, AS MUCH AS HIGHWAYS DID IN THE 20TH , RAILROADS IN THE 19TH AND SEAPORTS AND INLAND WATERWAYS IN THE 18TH CENTURY



THE ROLE OF AIR TRANSPORT IN ECONOMIC DEVELOPMENT OF COUNTRIES IS CONTINOUSLY INCREASING



AIR TRANSPORT IS MAJOR CONTRIBUTING FACTOR IN ECONOMIC, SOCIAL AND POLITICAL GLOBALIZATION



IT HAS BEEN HELPING IN FASTER MOVEMENT OF INTERNATIONAL BUSINESS COMMUNITY LEADING TO INCREASE IN INTERNATIONAL TRADE AND BUSINESS



TOURISM WHICH CONTRIBUTES ABOUT 10 PERCENT WORLD GDP IS HIGHLY DEPENDENT ON AIR TRANSPORT



ABOUT 40 PERCENT OF INTERNATIONAL TRADE IN VALUE TERMS MOVES BY AIR



AIR TRANSPORT HAS A SPECIAL ROLE IN EMERGENCIES AND CIVIL STRIFE

MAJOR GROUPS OF ACTIVITIES 

AIRLINES



AIRPORTS



AIR TRAFFIC SERVICES



REGULATION



OTHER INDIRECT ACTIVITIES INCLUDE AIRCRAFT MANUFACTURE, ITS MAINTENANCE AND REPAIR AND HUMAN RESOURCES DEVELOPMENT

AIRLINES 

AIRLINES INCLUDE SCHEDULED AIRLINES AND NON-SCHEDULED AIRLINES



AIRLINES CAN BE DOMESTIC, INTERNATIONAL OR FOREIGN



AIRLINES CAN BE PASSENGER CARRIERS, FREIGHT CARRIERS OR BOTH PASSENGER AND FRIGHT CARRIERS



MOST AIRLINES CARRY BOTH PASSENGERS AND FREIGHT



AIRLINES CAN BE OWNED BY GOVERNMENT, GOVERNMENT OWNED COMPANIES, PRIVATE COMPANIES OR COMPANIES JOINTLY OWNED BY GOVERNMENT AND PRIVATE ENTITIES



AIRLINES CAN BE OWNED BY ONE AGENCY BUT CAN BE MANAGED BY ANOTHER ENTITY

AIRPORTS 

AIRPORTS CAN BE INTERNATIONAL OR DOMESTIC



MOST INTERNATIONAL AIRPORTS HANDLE DOMESTIC PASSENGERS



AIRPORTS CAN BE CENTRAL GOVERNMENT OWNED, STATE GOVERNMENT OWNED, PRIVATELY OWNED, JOINTLY OWNED BY GOVERNMENT AND PRIVATE ENTITY, ON LEASEHOLD



OWNERSHIP AND MANAGEMENT CAN BE WITH DIFFERENT ORGANIZATIONS



AIRPORTS ARE ALSO BE OWNED BY DEFENCE



SOME AIRPORTS OWNED BY DEFENCE HAVE CIVIL ENCLAVES WHICH ARE MANAGED BY THE AIRPORTS AUTHORITY OF INDIA

AIR TRAFFIC SERVICES 

AIR TRAFFIC SERVICES HELP IN NAVIGATING AIRCRAFT WHILE LANDING, TAKING OFF, FLYING IN THE AIR, OVER-FLYING ANY COUNTRY, TAXING ON THE GROUND AND PARKING



THEY PROVIDE A DISCIPLINE IN THE AIR AND ALSO ON THE GROUND AND MAINTAIN SAFETY



THE SERVICES ARE PROVIDED BY USING MODERN EQUIPMENT INCLUDING RADARS

REGULATION AND POLICIES 

POLICY ISSUES - MINISTRY OF CIVIL AVIATION, PLANNING COMMISSION



SAFETY – MAIN RESPONSIBILITY IS WITH DGCA



SECURITY- MAIN RESPONSIBILITY IS WITH THE BUREAU OF CIVIL AVIATION SECURITY



ECONOMIC – MAIN RESPONSIBILITY IS WITH MOCA AND PROPOSED AIRPORTS ECONOMIC REGULATORY AUTHORITY

GOVERNMENT INSTITUTIONS IN CIVIL AVIATION 

MINISTRY OF CIVIL AVIATION-THIS IS THE NODAL AGENCY FOR POLICY FORMULATION, DEVELOPMENT, COORDINATION AND ADMINISTRATION



DIRECTOR GENERAL CIVIL AVIATION – IT IS PRIMARILY RESPONSIBLE FOR SAFETY OF AIRCRAFT AND LICENSING OF AIRLINES, AIRPORTS, PERSONNEL AND TRAINING AND OTHER INSTITUTIONS IN THE SECTOR



BUREAU OF CIVIL AVIATION SECURITY-IT IS RESPONSIBLE FOR SECURITY AT THE AIRPORTS



INDIRA GANDHI RASHTRIYA URAN ACADEMY- IT IS FOR TRAINING OF PILOTS



AIRPORTS AUTHORITY OF INDIA – IT IS FOR MANAGING AIRPORTS AND AIR TRAFFIC SERVICES



AIR INDIA AND ITS SUBSIDIARIES – IT IS A FULLY GOVERNMENT OWNED AIRLINE



HELICOPTER CORPORATION OF INDIA- IT IS A FULLY OWNED HELICOPTER COMPANY

MAJOR INTERNATIONAL INSTITUTIONS 

INTERNATIONAL CIVIL AVIATION ORGANIZATION



INTERNATIONAL AIR TRANSPORT ASSOCIATION



AIRPORTS COUNCIL INTERNATIONAL



CIVIL AIR NAVIGATION SERVICES COMMISSION



INTERNATIONAL COUNCIL OF AIRCRAFT OWNERS AND PILOTS ASSOCIATION

MAGNITUDE OF AVIATION ACTIVITIES IN THE WORLD 

AIRPORTS OPEN TO INTERNATIONAL USE -1194 (2005)



DOMESTIC AIRPORTS–NUMEROUS : EXACT NUMBER NOT AVAILABLE.



INTERNATIONAL PASSENGERS- 752 MILLIONS (2006)



DOMESTIC PASSENGERS – 1353 MILLION (2006)



INTERNATIONAL CARGO – 22.6 MILLION TONNES (2005)



DOMESTIC CARGO – 15.1 MILLION TONNES (2005)



EMPLOYED BY AIRPORT OPERATORS – 374,000



TOTAL EMPLOYED AT WORLD AIRPORTS - 4,500,000



LARGEST AIRPORT-ATLANTA, USA (OVER 80 MILLION PASSENGERS PER ANNUM)



AIRCRAFT FLEET – ABOUT 25,000



MAJOR AIRLINES – OVER 1000

MAGNITUDE OF AVIATION ACTIVITIES IN INDIA (1) 

INTERNATIONAL AIRPORTS OWNED BY AIRPORTS AUTHORITY OF INDIA (12): CHENNAI, KOLKATA, PORT BLAIR, AHMEDABAD, GOA, TRIVANDRUM, CALICUT, GUWAHATI, JAIPUR, SRINAGAR, NAGPUR, AMRITSAR



INTERNATIONAL AIRPORTS IN JOINT SECTOR(5): MUMBAI, DELHI, BANGALORE, HYDERABAD, COCHIN



8 CUSTOM AIRPORTS : PUNE, COIMBTORE, LUCKNOW, MANGALORE, VARANASI, TRICHY, PATNA AND GAYA,



24 CIVIL ENCLAVES



80 DOMESTIC AIRPORTS



AT 5 PRIVATE AIRPORTS, AIRPORTS AUTHORITY OF INDIA PROVIDES CNS/ATM FACILITY



AIRPORTS AUTHORITY OF INDIA MANAGES AIR SPACE MEASURING 2.8 MILLION SQUARE NAUTICAL MILES



THE MISSION OF AIRPORTS AUTHORITY IS “TO ACHIEVE HIGHEST STANDARDS OF SAFETY AND QUALITY IN AIR TRAFFIC SERVICES AND AIRPORT MANAGEMENT BY PROVIDING STATE OF-THE-ART INFRASTRUCTURE FOR TOTAL CUSTOMER SATISFACTION, CONTRIBUTING TO ECONOMIC GROWTH AND PROSPERITY OF THE NATION”

MAGNITUDE OF AVIATION ACTIVITIES IN INDIA (2) 

AIRPORT TRAFFIC SUMMARY (2007-08)

Aircraft movements (In Nos.)  International 248,644  Domestic 1,058,935  Total 1,307,579 

Passengers (In nos.)  International 29,813,513  Domestic 87,059,083  Total 116,872,596 

Freight (In Tonnes)  International  Domestic  Total 

1,146,641 567,319 1,713,960

MAGNITUDE OF AVIATION ACTIVITIES IN INDIA (3) 

INTERNATIONAL AIRLINE OPERATORS: AIR INDIA, JET AIR, JET LITE, KING FISCHER



DOMESTIC FULL COST SCHEDULED OPERATORS: AIR INDIA, JET AIR, JET LITE, KING FISCHER, MDLR AIRLINES, JAGSON AIRLINES



DOMESTIC SCHEDULED LOW COST CARIERS: SPICE JET, PARAMOUNT AIRWAYS, GO AIR, INDIGO



DOMESTIC NON-SCHEDULED OPERATORS: BLUE DART FOR CARGO, HELICOPTER CORPORATION FOR HELICOPTERS AND SEVERAL OTHERS



FOREIGN AIRLINES OPERATING IN INDIA - 76

INTERNATIONAL LEGAL INSTRUMENTS



CONVENTION ON INTERNATIONAL CIVIL AVIATION



ANNEXES TO CONVENTION



SEVERAL CONVENTIONS ADOPTED BY STATES



BILATERAL AGREEMENTS

INDIAN LEGAL INSTRUMENTS 

AIRCRAFT ACT 1939



AIRCRAFT RULES 1939



AIRPORTS AUTHORITY OF INDIA ACT



AIRPORTS ECONOMIC REGULATORY AUTHORITY ACT (PROPOSED)

MODULE 2 - MAJOR DEVELOPMENTS CONTENTS 

HIGH TRAFFIC GROWTH



TECHNOLOGICAL ADVANCES IN AIRCRAFT MANUFACTURE



EXPANSION AND MODERNIZATION OF AIRPORT AND AIR NAVIGATION SERVICES



LIBERALIZATION IN OPERATION OF AIRLINES



MERGERS AND CONSOLIDATION OF AIRLINES



POLICY CHANGES FOR AIRLINES IN INDIA



POLICY CHANGES FOR AIRPORTS IN INDIA



POLICY CHANGES FOR REGULATION IN INDIA

GLOBAL-TRAFFIC GROWTH (1) 

Year



Passengers (Million) 1975 2006 CAGR

      

Freight (Million tonnes) 1975 2006 23.5 CAGR 6.3

International

Domestic

108 752 6.5

3.5 15.4

425 1353 3.8

5.2 38.9 3.3

Total

533 2105 4.5

8.7 4.9

GLOBAL TRAFFIC GROWTH (2) 

FOLLOWING MAJOR CONCLUSIONS EMERGE FROM THE PRECEDING TABLE



INTERNATIONAL TRAFFIC IS GROWING FASTER THAN DOMESTIC TRAFFIC



CARGO TRAFFIC GROWTH IS FASTER THAN PASSENGER TRAFFIC



DOMESTIC PASSENGER TRAFFIC EXCEEDS INTERNATIONAL PASSENGER TRAFFIC. BUT THIS MAY CHANGE IN FUTURE



INITIALLY, DOMESTIC CARGO TRAFFIC EXCEEDED INTERNATIONAL TRAFFIC



BUT THIS HAS CHANGED. PRESENTLY INTERNATIONAL CARGO TRAFFIC EXCEEDS DOMESTIC CARGO TRAFFIC

TRAFFIC GROWTH IN INDIA (1) 

Year

International

Domestic



Passengers (Million) 1995-96

11.45

25.56

37.01

2007-08 CAGR

29.81 8.30

87.06 10.75

116.87 10.06



Freight (Million tonnes) 1995-96 2007-08

0.45 1.47

0.20 0.57

0.65 1.72



CAGR

8.05

9.23

8.42

    

Total

TRAFFIC GROWTH IN INDIA (2) 

ALTHOUGH THE PERIOD SELECTED FOR GLOBAL TRAFFIC GROWTH IS DIFFERENT THAN THAT FOR INDIA, THE TREND IN INDIA IS DIFFERENT THAN THE WORLD TRENDS



GROWTH RATES OF BOTH PASSENGER AND CARGO TRAFFIC IN INDIA IS HIGHER THAN GLOBAL GROWTH RATES. THESE ARE ALMOST DOUBLE OF THE GLOBAL GROWTH RATES



ANOTHER DIFFERENCE IS THAT IN INDIA PASSENGER TRAFFIC IS GROWING FASTER THAN CARGO TRAFFIC, WHEREAS GLOBALLY CARGO TRAFFIC IS GROWING FASTER THAN PASSENGER TRAFFIC



WHEREAS GLOBAL GROWTH RATE FOR INTERNATIONAL PASSENGER TRAFFIC IS HIGHER THAN DOMESTIC PASSENGER TRAFFIC, IN INDIA DOMESTIC PASSENGER TRAFFIC IS GROWING FASTER. THIS CAN BE A TEMPORARY PHENOMENON

AAI’S FORECAST FOR INDIAN AIRPORTS AVERAGE ANNUAL GROWTH RATES (%) 2006-07 to 2011-12            

Aircraft movements Total 13.5 International 12.0 Domestic 14.0

10.0 10.0 10.0

Passengers Total 17.1 International Domestic

13.5 10.0 20.0

8.0 13.5

Cargo Total 13.0 International Domestic

9.5 14.0 8.0

10.0 6.0

2011- 12 to 2016-17

TECHNOLOGICAL ADVANCES IN AIRCRAFT MANUFACTURE 

INCREASE IN THE SIZE OF AIRCRAFT



HIGHER SPEED



CONSUME LESS FUEL



PRESENT DAY AIRCRAFT CAN TRAVEL LONGER DISTANCES WITHOUT STOPPING



CAN TRAVEL FROM ANY AIRPORT IN THE WORLD TO ANY OTHER AIRPORT IN THE WORLD WITHOUT REFUELING



MODERN AIRCRAFT ARE MORE ENVIRONMENT FRIENDLY



THEY HAVE MUCH LARGER CARGO CAPACITY



THEY ARE SAFER AND MORE CONVENIENT



NUMBER OF ACCIDENTS HAVE BEEN DECREASING



THEY ARE CHEAPER TO OPERATE IN REAL TERMS PER UNIT OF CAPACITY

CONSOLIDATIONS AND MERGERS 

DUE TO FINANCIAL PROBLEMS, AIRLINES ARE GETTING MERGED



FOR EXAMPLE, NORTHWEST AND KLM ROYAL DUTCH GOT MERGED



SEVERAL OTHER INTERNATIONAL AIRLINES HAVE MERGED OR PROPOSE TO BE MERGED



IN INDIA, AIR INDIA AND INDIAN AIRLINES MERGED



SIMILARLY, JET AIR & AIR SAHARA AND KING FISCHER & AIR DECCAN GOT MERGED



POSSIBLY, THERE MAY BE MORE MERGERS IN FUTURE



SHORT OF MERGERS GROUPINGS ARE ALSO TAKING PLACE



IN SEVERAL CASES CODE SHARING IS TAKING PLACE

INFRASTRUCTURE DEVELOPMENT 

WORLDWIDE AIRPORTS HAVE EXPANDED AND MODERNIZED



TERMINAL BUILDINGS HAVE MORE SPACE AND PROVIDE IMPROVED FACILITIES TO PASSENGERS



LARGER CARGO COMPLEXES HAVE DEVELOPED



COMMERCIAL ACTIVITIES AT AIRPORTS HAVE EXPANDED



SURROUNDING AREAS OF AIRPORTS HAVE CONSIDERABLY DEVELOPED



PROPERTY VALUES NEAR THE AIRPORT HAVE INCREASED



ACCORDINGLY PROPORTION OF REVENUES FROM NON-AERONAUTICAL SOURCES HAVE BEEN INCREASING



RUNWAY CAPACITIES HAVE INCREASED



MANY AIRPORTS HAVE MORE THAN ONE RUNWAY



THE ROLE OF PRIVATE SECTOR IS INCREASINGLY IN AIRPORT OWNERSHIP AND MANAGEMENT



SATELLITE BASED COMMUNICATION FACILITIES ARE BEING DEVELOPED



HORIZONTAL SEPARATION IN AIRCRAFT MOVEMENT HAS BEEN REDUCED TO 500 FEET FROM 1000 FT

LIBERALIZATION IN OPERATION OF AIRLINES 

GENERAL GLOBALIZATION AND LIBERALIZATION HAS AFFECTED CIVIL AVIATION THROUGHOUT THE WORLD



LIBERALIZATION IN OWNERSHIP OF NATIONAL CARRIERS AND PRIVATIZATION OF AIRLINES



LIBERALIZATION IN CAPACITY SHARING



PRICE CONTROLS ON FARES AN FREIGHT RATES HAVE DISAPPEARED



MARKET ACCESS IS EASIER



OPEN SKY POLICY IS INCREASINGLY FOLLOWED



LOW COST CARRIERS HAVE MADE A REVOLUTION IN AIR TRAVEL



THESE DEVELOPMENTS HAVE RESULTED IN GREATER COMPETITION AMONG AIRLINES, DECREASE IN FARES AND IMPROVEMENT IN SERVICES TO THE USERS AND HIGHER GROWTH IN TRAFFIC



ALTHOUGH FINANCIAL CONDITION OF AIRPORTS IS GENERALLY IS SATISFACTORY, AIRLINES FINANCIAL CONDITION IS GENERALLY UNSATISFACTORY



GREATER EMPHASIS ON SAFETY AND SECURITY

POLICIES IN INDIA FOR AIRLINES (1) 

BEFORE 1953 INDIA HAD ONLY SMALL PRIVATE AIRLINES



IN 1953 AIRLINES WERE NATIONALIZED



NATIONALIZED AIRLINES WERE GIVEN MONOPOLY TO OPERATE SCHEDULED SERVICES



AIR INDIA WAS TO OPERATE INTERNATIONAL SERVICES



INDIAN AIRLINES WAS TO OPERATE DOMESTIC SERVICES



IN NINETIES STATE MONOPOLY OF THE AIRLINE INDUSTRY REMOVED



AIR CORPORATIONS ACT 1953 WHICH GAVE MONOPOLY TO STATE OWNED AIRLINES REPEALED



PRIVATE AIRLINES FREELY PERMITTED



PRIVATE AIRLINES ARE ALSO OPERATING ON INTERNATIONAL ROUTES

POLICIES IN INDIA FOR AIRLINES (2) 

LIMITED FDI PERMITTED IN PRIVATE AIRLINES



NOW THEY HANDLE MORE TRAFFIC THAN GOVERNMENT OWNED AIRLINE AIR INDIA



JET AIR IS PRESENTLY HANDLING MORE PASSENGER TRAFFIC THAN AIR INDIA



PRICE AND OTHER CONTROLS HAVE BEEN REMOVED



LIBERALIZATION IN BILATERAL AIR SERVICES AGREEMENTS



OPEN SKY POLICY FOR AIR CARGO



INTERNATIONAL CHARTERS FREELY ADMITTED



OPEN SKY AGREEMENT WITH USA

POLICIES IN INDIA FOR AIRPORTS 

BEFORE 1972 ALL THE AIRPORTS WERE MANAGED BY DIRECTOR GENERAL CIVIL AVIATION



IN 1974 INTERNATIONAL AIRPORTS AUTHORITY, A CORPORATE ENTITY WAS CREATED TO MANAGE FOUR INTERNATIONAL AIRPORTS AT MUMBAI, DELHI, KOLKATA AND CHENNAI



IN 1986 ANOTHER CORPORATE ENTITY KNOWN AS NATIONAL AIRPORTS AUTHORITY WAS CONSTITUTED TO MANAGE OTHER AIRPORTS AND AIR TRAFFIC SERVICES



IN 1995 BOTH THE AIRPORTS AUTHORITIES WERE MERGED AND AIRPORTS AUTHORITY OF INDIA WAS CONSTITUTED



AIRPORTS AUTHORITY OF INDIA ACT AMENDED TO PERMIT PRIVATE PARTICIPATION



AIRPORTS AT MUMBAI AND DELHI PRIVATIZED. COCHIN AIRPORT IS ALREADY IN PRIVATE SECTOR



BANGALORE AND HYDERABAD AIRPORTS CONSTRUCTED WITH PRIVATE PARTICIPATION



A NEW INTERNATIONAL AIRPORT AT NAVI MUMBAI IS PLANNED



A NEW GREENFIELD AIRPORT AT NOIDA IS UNDER CONSIDERATION



KOLKATA AND CHENNAI AIRPORTS TO BE DEVELOPED BY AAI



35 NON-METRO AIRPORTS TO BE PARTLY PRIVATIZED



REMAINING AIRPORTS TO REMAIN WITH AAI

POLICIES IN INDIA FOR REGULATION 

ALL AIRPORTS ARE REQUIRED TO BE LICENSED BY DGCA



PROVISIONS OF ANNEX 14 OF CHICAGO CONVENTION ARE TO BE MORE STRINGENTLY APPLIED



FOR ECONOMIC REGULATION A NEW LEGAL ENTITY IS TO BE ESTABLISHED



ENVIRONMENT CLEARANCE IS A MUST FOR NEW GREENFIELD AIRPORTS



A NEW GREENFIELD AIRPORT POLICY HAS BEEN INTRODUCED

MODULE 4 - ISSUES AND OPTIONS -CONTENTS 

FORMULATION OF CIVIL AVIATION POLICY



LIBERALISATION OF INTERNATIONAL AIR SERVICES



OPEN SKY POLICY



EXPANSION OF DOMESTIC AIR TRANSPORT SERVICES. SHOULD THERE BE REGULATION?

 

SHOULD GOVERNMENT STEP IN TO BAIL OUT LOSS MAKING AIRLINES



AIR SERVICES IN REMOTE AREAS OF INDIA



FDI IN DOMESTIC CARRIERS



REGIONAL AIRLINES



PRIVATISATION OF AIR INDIA



ROLE OF PRIVATE SECTOR IN AIRPORT DEVELOPMENT



ECONOMIC REGULATION OF CIVIL AVIATION



GROUND HANDLING OF AIRLINES



SAFETY AND SECURITY

FORMULATION OF CIVIL AVIATION POLICY 

THE GOVERNMENT HAS DECIDED TO FORMULATE A CIVIL AVIATION POLICY



A DRAFT POLICY PREPARED IN APRIL 2000 IS AVAILABLE ON MOCA WEBSITE



SINCE THEN MANY CHANGES HAVE TAKEN PLACE IN THE WORLD AS WELL AS IN INDIA



THIS POLICY IS UNDER CONSIDERATION FOR OVER A DECADE. SEVERAL COMMITTEES HAVE EXAMINED THE ISSUE



REASONS FOR DELAY ARE MANIFOLD



THIS NEEDS TO BE FINALISED EARLY



THE POLICY SHOULD BE REVIEWED PERIODICALLY



AN IMPORTANT ISSUE IS WHETHER THERE SHOULD BE SEPARATE POLICIES FOR DIFFERENT MODES OF TRANSPORT OR AN INTEGRATED NATIONAL TRANSPORT POLICY AND POLICIES FOR DIFFERENT MODES SHOULD BE A PART OF IT



AVIATION IS FAST CHANGING. IT MAY BE DESIRABLE NOT TO HAVE A WRITTEN POLICY. SUCH POLICIES ARE LIKELY TO BECOME RIGID AND DIFFICULT TO CHANGE EASILY

LIBERALISATION OF INTERNATIONAL SERVICES 

INTERNATIONAL AIR TRANSPORT SERVICES HAVE BEEN CONSIDERABLY LIBERALISED



SHOULD THERE BE COMPLETE LIBERALISATION



SHOULD THERE BE GRADUAL LIBERALISATION



SHOULD LIBERALISATION BE LEFT TO THE STATES TO DECIDE



PRESENT CRITERION FOR PERMITTING PRIVATE AIRLINES FOR OPERATING INTERNATIONAL SERVICES, AMONG OTHER THINGS, IS MINIMUM 5 YEARS OF OPERATIONS ON DOMESTIC OPERATIONS



THIS IS OUTDATED AS MANY FOREIGN AIRLINES WITH LESS EXPERIENCE ARE OPERATING IN INDIA



WHAT SHOULD BE THE CRITERIA FOR PERMITTING PRIVATE CARRIERS IN INDIA TO OPERATE ON INTERNATIONAL SERVICES.

OPEN SKY POLICY ? 

OPEN SKY POLICY MEANS PERMISSION TO OPERATE AIR SERVICES IN ANOTHER COUNTRY WITHOUT ANY RESTRICTION



THERE IS NOTHING LIKE 100% OPEN SKY POLICY IN ANY PART OF THE WORLD



ALTHOUGH INDIA HAS SIGNED OPEN SKY POLICY WITH USA CLEARANCE FOR JET AIRWAYS TOOK CONSIDERABLE TIME



IT IS PROPOSED TO HAVE OPEN SKY POLICY FOR SAARC COUNTRIES



THERE IS A PROPOSAL TO ADOPT OPEN SKY POLICY FOR ASEAN COUNTRIES. LIMITED OPEN SKY POLICY HAS BEEN INTRODUCED



THE ISSUE IS SHOULD INDIA ADOPT OPEN SKY POLICY OR AMEND BILATERAL AGREEMENTS AS AND WHEN REQUIRED

EXPANSION OF DOMESTIC AIR SERVICES 

IN INDIA DOMESTIC SERVICES HAVE BEEN CONSIDERABLY EXPANDED



THIS HAS RESULTED INTO TOO MUCH CAPACITY AND INTENSE COMPETITION



FARES HAVE DECLINED



WITH INCREASE IN FUEL PRICES COSTS HAVE INCREASED SIGNIFICANTLY



RECENTLY LOAD FACTOR HAS GONE DOWN



AIRLINES ARE INCURRING LOSSES



INTERNATIONAL AIR TRANSPORT ASSOCIATION SEES AIRLINES GLOBAL LOSS AT $ 5.2 BILLION IN 2008



IN INDIA 2007-08 LOSS IS PROJECTED AT RS. 4000 CRORES. FOR 2008-09 LOSS IS PROJECTED AT RS. 8540 CRORES



INFRASTRUCTURE IS CONGESTED LEADING TO DELAYS



ISSUE IS SHOULD FURTHER EXPANSION OF AIRLINES AND CUT THROAT COMPETITION BE REGULATED

SHOULD GOVERNMENT STEP IN TO BAIL OUT LOSS MAKING AIRLINES 

ESSENTIALLY THERE ARE SEVERAL REASONS FOR THE PRESENT FINANCIAL SITUATION OF INDIAN AIRLINES



INCREASE IN FUEL PRICES



HIGHER TAXES BT CENTRE AND STATES



SLOWING DOWN OF GLOBAL ECONOMY REDUCING DEMAND FOR AIR TRAVEL



REDUCTION IN UPPER CLASS AIR FARES



OVER-AMBITIOUS GROWTH IN CAPACITY BY AIRLINES



GOVERNMENT’S POLICY OF NON-INTERFERENCE



THE GOVERNMENT HAS GIVEN SOME TAX CONCESSIONS



AIRPORTS AUTHORITY HAS GIVEN CONCESSIONS IN CHARGES



THESE ARE NOT ENOUGH. THE MAGNITUDE OF LOSS IS ENORMOUS



IN PRINCIPLE AVIATION SHOULD BE TREATED AT PAR WITH OTHER MODE OF TRANSPORT



SHOULD GOVERNMENT INTERVENE AND FINANCIAL ASSISTANCE

AIR SERVICES IN REMOTE AREAS



PRESENTLY UNDER ROUTE DISPERSAL GUIDELINES AIRLINES OPERATING ON TRUNK ROUTES ARE REQUIRED TO PROVIDE A CERTAIN PROPORTION OF SERVICES IN REMOTE AND BACKWARD AREAS



THIS IS MANDATORY AND IS IN VOGUE FOR OVER A DECADE WITHOUT ANY STUDY OF ITS IMPACT



IN THE MEANTIME SURFACE TRANSPORT HAVE EXPANDED SEVERAL FOLD



AIR TRANSPORT HAS ALSO EXPANDED



THE GUIDELINES AFFECTS THE ECONOMICS OF AIRLINES AS SOMETIME THEY HAVE BUY SERVICES IN REMOTE AREAS



SHOULD THIS BE CONTINUED OR REVIEWED OR REGIONAL AIRLINES BE CREATED

FDI IN DOMESTIC CARRIERS 

PRESENTLY FDI IN DOMESTIC SCHEDULED AIRLINES IS LIMITED TO 49%



FOR NRI THERE IS NO LIMIT



HOWEVER FOREIGN AIRLINES CAN NOT HAVE ANY EQUITY IN DOMESTIC SCHEDULED SERVICES



THERE HAS BEN DEMANDS TO INCREASE THE LIMIT OF 49%



THE ISSUE IS SHOULD THE EXISTING LIMIT BE RAISED



PRESENTLY INDIAN DOMESTIC CARRIERS HAVE EXTRA CAPACITY AND THERE IS NO IMMEDIATE NEED FOR EXTRA CAPACITY



SHOULD FDI BE INCREASED ONLY TO GET MORE FDI?

REGIONAL AIRLINES 

THERE HAS BEEN CONSIDERABLE TALK ABOUT DEVELOPMENT OF REGIONAL AIRLINES



GOVERNMENT IS EAGER TO ENCOURAGE IT



SOME PROPOSALS WERE MOOTED BUT THEY DID NOT MATERIALIZE



IS THERE A NEED FOR REGIONAL AIRLINES AT THIS STAGE



REGIONAL AIRLINES MAY REQUIRE A SUBSIDY



SHOULD SUBSIDY BE PROVIDED



SHOULD NORMAL CARRIERS TAKE CARE OF REGIONAL NEEDS



IF REGIONAL AIRLINES ARE TO BE DEVELOPED TO IMPROVE CONNECTIVITY IN THE REGION, WHAT SHOULD BE CRITERIA FOR JUDGING CONNECTIVITY

PRIVATISATION OF AIR INDIA 

A FEW YEARS AGO GOVERNMENT DECIDED TO PRIVATE THE NATIONAL CARRIERS AIR INDIA AND INDIAN AIRLINES



SOMEHOW THIS DID NOT GO THROUGH BECAUSE OF ADMINISTRATIVE REASONS



RECENTLY BOTH AIRLINES HAVE BEEN MERGED



SHOULD THE NEW AIRLINE BE PRIVATIZED



IF SO, FULLY OR PARTIALLY



OPTIONS ARE NO PRIVATISATION, FULL PRIVATISATION, MAJORITY PRIVATISATION, MINORITY PRIVATIZATION, NO PRIVATISATION

ROLE OF PRIVATE SECTOR IN AIRPORTS 

MUMBAI AND DELHI AIRPORTS HAVE BEEN PRIVATISED THROUGH LEASING ROUTE. THE PERIOD OF LEASE IS 30 YEARS WITH PROVISION FOR EXTENSION OF ANOTHER 30 YEARS



THE SHARE OF AIRPORTS AUTHORITY OF INDIA IN THE EQUITY OF LEASING COMPANY IS 26%



GREENFIELD AIRPORTS AT BANGALORE AND HYDERABAD HAVE BEEN BUILT WITH PRIVATE SECTOR PARTICIPATION AND ARE OPERATIONAL. THE CONCESSION PERIOD IS 30 YEARS WITH PROVISION FOR EXTENSION FOR ANOTHER 30 YEARS



GOVERNMENT SHARE IN EQUITY OF LEASING COMPANY IS 26%:13% CENTRE AND 13% STATE



KOLKATA AND CHENNAI ARE TO BE DEVELOPED DIRECTLY BY AAI AS PER THE WISH OF CONCERNED STATE GOVERNMENTS



CITY SIDE OF 35 NON-METRO AIRPORTS ARE TO BE PRIVATISED



THE EMPLOYEES OF THE AIRPORTS AUTHORITY OF INDIA FAVOUR DEVELOPMENT OF AIRPORTS BY THE AUTHORITY



AAI’S TRACK RECORD OF PROJECT MANAGEMENT IS NOT VERY GOOD DUE TO VARIOUS REASONS



THERE IS NO ONE MODEL FOR PRIVATE PARTICIPATION IN AIRPORTS



WHAT MODEL SHOULD BE USED FOR MODERNISATION OF REMAINING AIRPORTS

ECONOMIC REGULATION 

ECONOMIC REGULATION OF AIRPORTS IS CONSIDERED ESSENTIAL AS AIRPORTS ARE IN THE NATURE OF MONOPOLY



MOST COUNTRIES HAVE REGULATORY INSTITUTIONS FOR AIRPORTS BUT THERE IS NO SINGLE MODEL



ICAO ALSO FAVOURS REGULATION



AN AIRPORT ECONOMIC REGULATORY AUTHORITY IS PROPOSED TO BE ESTABLISHED IN INDIA SOON



THIS WILL LOOK INTO MAINLY AERONAUTICAL CHARGES



SHOULD IT LOOK INTO NON-AERONAUTICAL CHARGES



SHOULD THIS REGULATORY AUTHORITY ALSO LOOK INTO REGULATION OF DOMESTIC AIR SERVICES



OR REGULATION OF DOMESTIC AIR SERVICES BE LEFT TO AIRLINES FOR SELF REGULATION AS AT PRESENT OR TO THE COMPETITION COMMISSION

SAFETY AND SECURITY 

FOR SAFETY AND SECURITY STATE IS RESPONSIBLE



AT AIRPORTS THE FACILITIES ARE PROVIDED BY THE OPERATOR WHICH WILL IN FUTURE BE INCREASINGLY BY THE PRIVATE SECTOR



THE AIRPORTS ARE IN THE NATURE OF MONOPOLY



THE PRIVATE MONOPOLY UNLESS PROPERLY REGULATED COULD BE DANGEROUS



THE TENDENCY OF PRIVATE OPERATOR IS TO MAXIMISE PROFIT



ONE OF THE WAYS THE PROFIT CAN BE MAXIMISED IS TO CUT CORNERS ESPECIALLY THOSE WHICH ARE CONNECTED TO SAFETY AND SECURITY



SAFETY AND SECURITY ARE VERY IMPORTANT



ICAO HAS INTRODUCED SAFETY AUDIT



HOWEVER STATE HAS TO PLAY AN EFFECTIVE ROLE

MODULE 4 – PLANNING PRINCIPLES AND PRACTICES - CONTENTS 

ESSENTIAL CHARACTERISTICS OF AIRPORTS



PLANNING PHILOSOPHY



MASTER PLAN



STEPS IN PLANNING PROCESS OF AIRPORTS



TRAFFIC FORECASTS



PLANNING FOR ESSENTIAL SERVICES



OTHER CONSIDERATIONS



ANCILLARY SERVICES



CITY SIDE ACCESS



GUIDELINES FOR SETTING UP GREENFIELD AIRPORT



DUAL AIRPORTS OPERATIONS

ESSENTIAL CHARACTERISTICS OF AIRPORTS - (1) 

AIRPORT IS JOINT PRODUCT



THERE ARE SEVERAL AGENCIES INVOLVED IN AIRPORT OPERATIONS



APART FROM THE AIRPORT OPERATOR THE AGENCIES INCLUDE AIRLINE OPERATORS, REGULATORY BODIES, SECURITY AGENCIES AND CONCESSIONAIRES. THESE AGENCIES ARE PARTNERS IN THE AIRPORT BUSINESS



UNLIKE OTHER BUSINESS, THE PECULIARITY OF AIRPORT PARTNERSHIP IS THE AIRPORT OWNER/OPERATOR HAS NO CHOICE TO SELECT ITS PARTNERS AS THEY ARE ALREADY SPECIFIED EXCEPT THE CONCESSIONAIRES. EVERY PLAN HAS TO TAKE CARE OF ALL THE AGENCIES



AS MENTIONED EARLIER SAFETY AND SECURITY ARE VERY IMPORTANT



MONOPOLY CHARACTER



AIRPORTS ARE CAPITAL INTENSIVE AS THEY REQUIRE LARGE AREA OF LAND, TERMINAL BUILDINGS, RUNWAYS, TAXIWAY, PARKING STANDS



APART FROM HIGH CAPITAL COST OF DEVELOPING THE FACILITIES, THE FIXED COST OF MANAGEMENT IS ALSO HIGH

ESSENTIAL CHARACTERISTICS OF AIRPORTS – (2) 

THE INVESTMENT IS LUMPY



THE INVESTMENTS ARE LARGELY SUNK IN THE GROUND



IF THE FACILITY IS NOT UTILIZED THERE IS DEAD LOSS. IF UNDER-UTILIZED THERE IS STILL A LOSS



AIRPORT FACILITIES CANNOT BE SHIFTED TO ANOTHER LOCATION OR AIRPORT



AS IT IS A SERVICE INDUSTRY, THE CAPACITY CANNOT BE STORED



LONG GESTATION PERIOD. AIRPORT CONSTRUCTION TAKES 3-4 YEARS TO COMPLETE. GREENFIELD AIRPORTS TAKE LONGER TIME



ON THE OTHER HAND AIRLINES ARE MORE FLEXIBLE AS THE AIRCRAFT ARE MOBILE



THE CONCLUSION IS THAT PLANNING FOR AIRPORTS REQUIRES GRATER CARE THAN PLANNING FOR AIRLINES OR FOR SIMILAR OTHER BUSINESS

PLANNING PHILOSOPHY 

THE MOST EFFICIENT PLAN FOR THE AIRPORT IS WHICH PROVIDES THE REQUIRED CAPACITY AND FACILITIES IN A BALANCED MANNER FOR AIRCRAFT, PASSENGERS, CARGO AND VEHICLE MOVEMENTS, WITH MAXIMUM CONVENIENCE TO PASSENGERS, OPERATORS, STAFF AND OTHER USERS AT LOWEST CAPITAL AND OPERATING COSTS



BEST PLAN IS THAT WHICH PROVIDES OPTIMUM CAPACITY TO BE DEVELOPED IN PHASES BUT IN ADVANCE



A LITTLE HIGHER CAPACITY IS BETTER THAN LESS CAPACITY



PLANNING OF AIRPORTS IS COMPLICATED BY THE DIVERSITY OF FACILITIES AND SERVICES, WHICH ARE NECESSARY FOR THE MOVEMENT OF AIRCRAFT, PASSENGER AND CARGO AND THE GROUND VEHICLES ASSOCIATED THEM



THE REQUIREMENT IS INTEGRATION



MODERN DAY AIRPORTS ARE BECOMING COMMERCIAL COMPLEXES. THESE ARE ALSO REQUIRED TO BE TAKEN CARE OFF



ADEQUATE SPACE SHOULD BE EARMARKED FOR COMMERCIAL ACTIVITIES BUT NOT AT THE COST OF ESSENTIAL FACILITIES OR SAFETY

MASTER PLAN OF AIRPORTS 

GENERALLY AIRPORT PLAN IS CALLED A MASTER PLAN



GENERALLY ACCEPTED DEFINITION OF MASTER PLAN IS THAT IT PRESENTS THE PLANNER’S CONCEPTION OF THE ULTIMATE DEVELOPMENT OF A SPECIFIC AIRPORT



NORMALLY, A MASTER PLAN COVERS A PERIOD OF 20-25 YEARS BUT CAN BE LESS



MASTER PLAN IS TAKEN AS A GUIDE FOR DEVELOPMENT OF PHYSICAL FACILITIES OF AN AIRPORT



ALSO IT IS A GUIDE FOR DEVELOPMENT OF LAND AREA AROUND THE AIRPORT AND DETERMINATION OF ACCESS REQUIREMENT

STEPS IN PLANNING PROCESS 

PREPARE INVENTORY OF EXISTING FACILITIES AND SERVICES



MAKE TRAFFIC DEMAND FORECAST



DETERMINE GROSS FACILITY REQUIREMENTS AND PRELIMINARY TIME-PHASED DEVELOPMENT OF THE SAME



EVALUATE EXISTING AND POTENTIAL CONSTRAINTS



DEVELOP ALTERNATIVE PROPOSALS



TEST DIFFERENT ALTERNATIVES



PREPARE COST OF FACILITIES



DETERMINE PRIORITY OF VARIOUS ELEMENTS



DIVIDE MASTER PLAN DEVELOPMENT INTO SUITABLE PHASES



MAKE ECONOMIC AND FINANCIAL ANALYSIS



SELECT MOST APPROPRIATE AND SUITABLE ALTERNATIVE



CONSULT USERS OR THEIR REPRESENTATIVES

TRAFFIC FORECASTS 

TRAFFIC FORECAST IS THE HEART OF AIRPORT PLANNING



THREE BASIC METHODS

TREND ANALYSIS  ECONOMETRIC ANALYSIS  INDUSTRY SURVEY AND JUDGMENTAL 



TRAFFIC FORECAST IS ANNUAL OR SEASONAL



FOR AIRPORT PLANNING, ANNUAL OR SEASONAL TRAFFIC IS LESS IMPORTANT



WHAT IS IMPORTANT IS PEAK HOUR TRAFFIC, WHICH IS CALCULATED THROUGH A SURVEY, OR EMPIRICAL METHOD-3 TO 5% OF THE ANNUAL TRAFFIC



FOR AIRPORT PLANNING IT IS NOT THE HIGHEST PEAK BUT 30TH OR 40TH PEAK

OTHER CONSIDERATIONS 

ALTERNATE AIRPORTS IN THE REGION: EXISTING AND PROPOSED



ALTERNATE MODES OF TRANSPORT: EXISTING AND PROPOSED



SELECTION OF SITE



BROAD DETERMINATION OF LAND AREA REQUIRED



FACTORS ARE: RUNWAY LENGTH, RUNWAY ORIENTATION, NUMBER OF RUNWAYS, SUFFICIENT LAND FOR FUTURE, LEAST CROSS WIND, NO OBSTRUCTION, WEATHER, ENVIRONMENTAL CONSIDERATIONS, COST CONSIDERATION, SLOPE, NOT VERY HIGH ALTITUDE, WAY FROM BUILT UP AREAS, BUT NOT VERY FAR FROM THE TOWN OR DEMAND CENTRES



THERE SHOULD BE SUFFICIENT SCOPE FOR FURTHER EXPANSION



SUFFICIENT LAND SHOULD BE AVAILABLE FOR COMMERCIAL ACTIVITIES



FOR LOCATION ALSO CONSULT USERS

PLANNING FOR ESSENTIAL SERVICES 

RUNWAY, APRON AND TAXIWAY PLANNING



FIRE EXTINGUISHER AND OTHER BUILDINGS ON THE AIRSIDE



PLANNING FOR GATES AND AEROBRIDGES



PLANNING FOR PASSENGER TERMINAL AND CARGO TERMINAL BUILDING



PLANNING FOR UTILITIES AND ANCILLARY SERVICES



PLANNING FOR COMMERCIAL SERVICES



LEVEL OF ANTICIPATED TRAFFIC DETERMINES THE LEVEL OF SERVICES

ANCILLARY SERVICES 

INTERNAL ROADS



WATER SUPPLY



ELECTRIC SUPPLY



SEWERAGE



STORM WATER DRAINS



CONSERVANCY SERVICES



FACILITIES FOR AIR TRAFFIC SERVICES, CUSTOMS, IMMIGRATION, SECURITY AND OTHER REGULATORY AGENCIES

CITY SIDE ACCESS 

NORMALLY FACILITIES OUTSIDE THE AIRPORT BOUNDARY IS THE RESPONSIBILITY OF LOCAL AUTHORITIES



BUT PROPER ACCESS IS VERY IMPORTANT FOR THE AIRPORT



CLOSE COORDINATION WITH LOCAL AUTHORITIES REQUIRED.



THESE DAYS RAIL CONNECTION IS BEING DISCUSSED. THIS OPTION SHOULD BE CONSIDERED FOR LARGER AIRPORTS



GOOD ROADS REQUIRED



IT COULD BE EXPRESSWAY OR A DEDICATED ROAD



ADEQUATE CAR PARKING SPACE



THESE DAYS AIRPORTS ARE ALSO MAKING CONTRIBUTION FOR PROVIDING GOOD ACCESS



DIAL IS MEETING A PART OF THE COST OF METRO CONNECTION

POLICY GUIDELINES FOR SETTING UP GREENFIELD AIRPORTS (1997) (1) 

A GREENFIELD AIRPORT MAY BE PERMITTED WHERE AN EXISTING AIRPORT IS UNABLE TO MEET THE PROJECTED REQUIREMENTS OF TRAFFIC OR A NEW FOCAL POINT OF TRAFFIC EMERGES WITH SUFFICIENT VIABILITY



IT CAN BE ALLOWED BOTH AS A REPLACEMENT FOR AN EXISTING AIRPORT OR FOR SIMULTANEOUS OPERATION



THIS ASPECT WILL HAVE TO BE CLEARLY SPELT OUT IN THE NOTICE INVITING BIDS



NO GREENFIELD AIRPORT WILL NORMALLY BE ALLOWED WITHIN AN AERIAL DISTANCE OF 150 KILOMETERS OF AN EXISTING AIRPORT.



WHERE IT IS ALLOWED AS A SECOND AIRPORT IN THE SAME CITY OR CLOSE VICINITY, THE PARAMETERS FOR DISTRIBUTION OF TRAFFIC BETWEEN THE TWO AIRPORTS WILL BE CLEARLY SPELT OUT



THE GOVERNMENT MAY, WHILE PERMITTING A GREENFIELD AIRPORT, DECIDE WHETHER IT WILL BE IN THE PUBLIC OR PRIVATE SECTORS OR BE TAKEN UP AS A JOINT VENTURE

POLICY GUIDELINES FOR SETTING UP GREENFIELD AIRPORT (2) 

RECENTLY GOVERNMENT OF INDIA HAS NOTIFIED POLICY FOR DEVELOPMENT OF GREENFIELD AIRPORTS



ANY ONE CAN BE THE PROMOTER OF A GREENFIELD AIRPORT



THE PROMOTER AFTER PRELIMINARY CLEARANCE OF MINISTRY OF CIVIL AVIATION WILL COMMISSION A PRE-FEASIBILITY STUDY TO ASSESS THE OVERALL POTENTIAL OF THE PROJECT



THE PROMOTER SHALL SUBMIT THE PRE-FEASIBILITY REPORT TO THE MINISTRY FOR FURTHER APPROVAL



THE COST OF THE STUDY WILL BE BORNE BY THE PROMOTER



BASED ON PRE-FEASIBILITY STUDY THE PROMOTER SHALL AGAIN APPROACH THE CENTRAL GOVERNMENT FOR PRELIMINARY CLEARANCE FOR UNDERTAKING A DETAILED FEASIBILITY STUDY



AFTER APPROVAL DETAILED TECHNO-ECONOMIC FEASIBILITY STUDY WILL BE UNDERTAKEN



THE TECHNO-ECONOMIC FEASIBILITY REPORT WILL BE SUBMITTED TO THE MINISTRY FOR APPROVAL

POLICY GUIDELINES FOR SETTING UP GREENFIELD AIRPORT (3) 

SITE SELECTION WILL BE UNDERTAKEN BY THE PROMOTER AT PRE-FEASIBILITY STAGE IN CONSULTATION WITH DGCA, AIRPORTS AUTHORITY OF INDIA, MINISTRY OF ENVIRONMENT & FORESTS AND MINISTRY OF DEFENCE



BASED ON TEFS AND STATE GOVERNMENT/PROMOTERS’ RECOMMENDATION CENTRAL GOVERNMENT WILL CONSIDER GIVING APPROVAL AS PER EXTANT POLICY



THE APPROVAL WILL BE GIVEN BY THE UNION CABINET



THE CENTRAL GOVERNMENT WILL THEN GO AHEAD TO DEVELOP DETAILED DESIGN OF THE PROJECT



A STEERING COMMITTEE IS SET UP BY STATE GOVT/PROMOTER COMPRISING OF OFFICIALS OF THE STATE GOVT AND THE MINISTRY OF CIVIL AVIATION AS THIS STAGE INVOLVES COORDINATION AND ALLOCATION OF RESOURCES



THE STATE GOVERNMENT/PROMOTER SHALL SET UP SPECIAL PURPOSE VEHICLE WHOLLY OWNED BY IT



AFTER THE SELECTION OF SUCCESSFUL BIDDERS, THE PRIVATE INVESTOR WILL BE INDUCTED IN THE SPV WITH 74 PERCENT EQUITY SHARES

POLICY GUIDELINES FOR SETTING UP GREENFIELD AIRPORT (4) 

THE STATE GOVERNMENT AS A PRIMARY PROMOTER MAY CONSIDER JOINT VENTURE WITH PRIVATE INVESTORS THROUGH PPP MODEL



IN CASE IT PROPOSES TO HAVE JOINT VENTURE, IT SHALL EE THE RESPONSIBILITY OF THE STATE GOVERNMENT TO CHOOSE PRIVATE SECTOR PARTNERS THROUGH A TRANSPARENT COMPETITIVE BIDDING PROCESS



STATE GOVERNMENT/AAI MAY ALSO PARTICIPATE IN THE JV WITH EQUITY WHICH WILL BE LIMITED TO 13 PERCENT EACH



SELECTION WILL BE MADE ON TECHNICAL AND FINANCIAL CRITERIA



CENTRAL GOVERNMENT IS DEVELOPING VARIOUS MODEL AGREEMENTS



THE SEQUENCE OF SIGNING AGREEMENTS HAS BEEN OUTLINED IN THE GUIDELINES



IN THE CASE OF NAVI MUMBAI AIRPORT THESE PROCEDURES ARE BEING FOLLOWED

TRAFFIC FORECAST FOR GREENFIELD AIRPORT 

THE TRAFFIC FOR A NEW GREENFIELD AIRPORT WITH THE EXISTING AIRPORT CONTINUING TO OPERATE WILL BE DETERMINED BY



DIVERTED TRAFFIC



NEW TRAFFIC GENERATED



OTHER AIRPORTS IN THE REGION



EXTENT AND QUALITY OF SURFACE CONNECTION



FUTURE GROWTH WHICH MAY NOT NECESSARILY BE THE SAME AS FOR THE EXISTING AIRPORT



GOVERNMENT POLICY MAY ALSO AFFECT THE TRAFFIC AT THE NEW GREENFIELD AIRPORT SUCH AS BILATERAL AGREEMENTS, ETC

PLANNING FOR DUAL AIRPORT SYSTEM 

IN INDIA WE HAVE ONLY ONE AIRPORT IN A CITY



THIS ISSUE AROSE WHEN NEW GREENFIELD AIRPORTS WERE BEING PLANNED AT BANGALORE AND HYDERABAD. IT WAS DECIDED TO CLOSE THE OLD EXISTING AIRPORT WHEN THE NEW AIRPORT COMMENCED OPERATIONS



THE RATIONALE BEHIND THIS DECISION WAS THAT BOTH AIRPORTS WILL NOT BE FINANCIALLY VIABLE



THIS DECISION HAS BEEN QUESTIONED IN VARIOUS FORUMS, ESPECIALLY AT THE TIME OF THE OPENING F NEW AIRPORTS



TIME IS COMING WHEN WE WILL HAVE MORE THAN ONE AIRPORT IN A CITY



MUMBAI MAY BE THE FIRST METROPOLITAN CITY TO HAVE TWO AIRPORTS



HAVING MORE THAN ONE AIRPORT WILL RAISE SEVERAL ISSUES WHICH WILL NEED TO BE TACKLED

GLOBAL PRACTICES FOR DUAL, MULTIPLE AIRPORTS 

MOST OF THE CITIES IN THE WORLD HAVE SINGLE AIRPORTS



HOWEVER, MANY CITIES HAVE MORE THAN ONE AIRPORT



SOME EXAMPLES ARE:



LONDON: HEATHROW, GATWICK, STANSTED, LUTON AND LONDON CITY



PARIS: CHARLES DE GAULLE AND ORLY



BERLIN: TEGEL, SCHONEFELD AND TEMPELHOF



NEW YORK: JFK AND NEWARK



WASHINGTON DC: WASHINGTON-NATIONAL, DULLES AND BALTIMORE



CHINA PEARL DELTA REGION: GUANGZHOU, HONG KONG, BAIYUN, SHENZHEN, MACAU AND ZHUHAI



TOKYO: NARITA AND HANEDA

NEW AIRPORT BUT EXISTING AIRPORT GETS CLOSED 

IN RECENT YEARS MANY NEW GREENFIELD AIRPORTS HAVE BEEN BUILT BUT EXISTING AIRPORT CLOSED



SAFDARJUNG AIRPORT IN DELHI WAS CLOSED WHEN PALAM AIRPORT COMMENCED OPEATIONS



JUHU AIRPORT IN MUMBAI WAS CLOSED FOR SCHEDULED OPERATIONS WHEN SANTA CRUZ WAS DEVELOPED



OLD HONG KONG AIRPORT WAS CLOSED WHEN NEW AIRPORT WAS CLOSED



OLD DON MUANG BANGKOK AIRPORT WAS CLOSED WHEN NEW AIRPORT SUBARNABHUMI WAS COMMISSIONED ALTHOUGH OPENING OF THE OLD AIRPORT IS BEING RECONSIDERED



OLD SINGAPORE AIRPORT WAS CLOSED WHEN NEW AIRPORT WAS COMMISSIONED



OLD AIRPORT IN SEOUL WAS CLOSED WHEN NEW AIRPORT WAS COMMISSIONED



EXISTING HYDERABAD AND BANGALORE AIRPORTS WILL HAVE BEEN CLOSED AFTER NEW AIRPORTS OPENED

RATIONALE BEHIND DUAL OR MULTIPLE AIRPORTS 

HISTORICAL. NOT WELL PLANNED



LIMITS TO EXPANSION OF EXISTING AIRPORT



POLITICAL AND SOCIAL



NARITA AIRPORT WAS DEVELOPED BECAUSE HANEDA HAD LIMITED CAPACITY



MACAU WAS DEVELOPED BECAUSE OF POLITICAL AND SOCIAL CONSIDERATIONS



EVEN IN GOA ANOTHER AIRPORT IS BEING CONSIDERED ON POLITICAL CONSIDERATIONS

ADVANTAGES AND DISADVANTAGES OF DUAL AIRPORT SYSTEM 

LEVEL OF TRAFFIC AND LOCAL CONDITIONS MAIN DETERMINANTS



GENERALLY SINGLE AIRPORT IS PREFERABLE TO DUAL AIRPORT BECAUSE COST OF TWO AIRPORTS IS HIGH AND OPERATIONAL COST IS ALSO HIGH. MAJOR AIRLINES HAVE TO DEVELOP FACILITIES AT TWO AIRPORTS. MANY PASSENGERS ARE INCONVENIENCED WHO HAVE TO CHANGE FLIGHT



HOWEVER, IF THE EXISTING AIRPORT CAN NOT BE EXPANDED BECAUSE OF ANY REASON SECOND AIRPORT IS UNAVOIDABLE



A SECOND AIRPORT CAN BE ADVANTAGEOUS IF A NEW AREA IS DEVELOPED



A SECOND AIRPORT MAY BE DESIRABLE IF THE TRAFFIC REACHES A PARTICULAR LEVEL



TWO AIRPORTS CAN BE FINANCIALLY VIABLE AFTER CERTAIN LEVEL OF TRAFFIC IS REACHED

AIR TRAFFIC FORECASTS – SPECIAL CONSIDERATIONS 

FORECASTING TRAFFIC AT THE NEW GREENFIELD AIRPORT IN DUAL AIRPORT SYSTEM IS MORE DIFFICULT THAN FOR AN EXISTING AIRPORT OR A NEW AIRPORT WHEN EXISTING AIRPORT IS CLOSED



PART OF THE TRAFFIC IS DIVERTED TRAFFIC



AIRLINES MAY BE RELUCTANT TO MOVE TO THE NEW AIRPORT. THIS NEEDS TO BE TAKEN INTO ACCOUNT



NEW TRAFFIC GENERATED



GROWTH IN TRAFFIC



GOVERNMENT POLICY SUCH AS BILATERAL AGREEMENTS



EXISTENCE OF OTHER AIRPORTS IN THE REGION



DETAILED SURVEY OF THE HINTERLAND OF THE NEW AIRPORT AND ORIGIN DESTINATION SURVEY OF THE TRAFFIC AT EXISTING AIRPORT WILL HELP



A GOOD BALANCED JUDGMENT WILL BE REQUIRED

MODULE 5 - FINANCING AND COST RECOVERY - CONTENTS 

GLOBAL FINANCIAL SITUATION OF THE AIRPORTS



IMPORTANCE OF FINANCIAL ANALYSIS AND COST RECOVERY



SOURCES OF CAPITAL COST FINANCING



NEED FOR COST RECOVERY



SOURCES OF AIRPORT REVENUE: AERONAUTICAL AND NONAERONAUTICAL



PRINCIPLES FOR FIXATION OF AIRPORT CHARGES



ICAO PRINCIPLES OF COST RECOVERY

GLOBAL FINANCIAL SITUATION OF AIRPORTS 

ICAO MADE A STUDY OF FINANCIAL SITUATION OF AIRPORTS IN 72 CONTRACTING STATES FOR 2005



OVERALL AIRPORTS WERE FOUND PROFITABLE JUDGING FROM THE INCOME/EXPENSES RATIO OF 121 PERCENT



INCOME FROM NON-AERONAUTICAL ACTIVITIES ACCOUNTED, ON AN AVERAGE, FOR 40 PERCENT OF THE TOTAL INCOME



AIRPORTS WITH LARGE TRAFFIC VOLUME THE NON-AERONAUTICAL SHARE AVERAGED 46 PERCENT



CAPITAL INVESTMENTS WERE REPORTED FOR 383 AIRPORTS IN 63 STATES AND AMOUNTED TO US$ 18.3 BILLION OR US$ 390 PER TRAFFIC UNIT



AIR NAVIGATION SERVICES INCOME/EXPENSES RATIO WAS 105 PERCENT

FINANCIAL ANALYSIS ESSENTIAL FOR COST RECOVERY 

FULL COST RECOVERY OF AIRPORTS FACILITIES IS ALWAYS FAVOURED



THESE DAYS STATES ARE RELUCTANT TO PROVIDE ANY FINANCIAL ASSISTANCE TO THE AIRPORTS



NEVERTHELESS IT MUST BE RECOGNISED THAT AIRPORTS WITH SMALLER TRAFFIC MAY NOT BE VIABLE AND NEED TO BE SUBSIDISED



A PROPER FINANCIAL ANALYSIS BEFORE TAKING ANY MAJOR AIRPORT PROJECT WILL BE OF CONSIDERABLE HELP

SOURCES OF CAPITAL COST FINANCING 

GOVERNMENT FUNDING



INTERNAL RESOURCES GENERATED BY AIRPORTS



LOAN FROM INTERNATIONAL INSTITUTIONS



LOAN/GRANT FROM FRIENDLY GOVERNMENTS



LOAN FROM BANKS/FINANCIAL INSTITUTIONS



EQUITY FROM PRIVATE SECTOR PARTICIPANTS



COMBINATION OF ABOVE SOURCES

NEED FOR COST RECOVERY 

AIRPORTS HAVE TO INCUR EXPENDITURE



THESE INCLUDE CAPITAL EXPENDITURE AND RECURRING EXPENDITURE



SOMEONE HAS TO PAY



USERS ARE THE MOST APPROPRIATE BODIES TO PAY



IF HE DOES NOT PAY THE FACILITIES AND SERVICES CANNOT BE MAINTAINED



THE PRESENT CONCEPT IS “USER PAYS”.



EVEN IN REGARD TO ROADS WHICH WERE CONSIDERED PUBLIC UTILITIES AT A TIME TOLLS ARE BEING LEVIED AND USERS ARE PAYING

SOURCES OF AIRPORT REVENUE AERONAUTICAL



THE SOURCES OF AIRPORT REVENUES ARE ESSENTIALLY DIVIDED INTO: (A) AERONAUTICAL AND (B) NON-AERONAUTICAL



AERONAUTICAL REVENUE INCLUDES:



LANDING CHARGES



PARKING CHARGES



PASSENGER SERVICE CHARGES



CARGO CHARGES



SECURITY CHARGES



NOISE ABETMENT CHARGES

 

SOURCES OF AIRPORT REVENUESNON-AERONAUTICAL 

CHARGES OTHER THAN AERONAUTICAL CHARGES ARE CONSIDERED NON-AERONAUTICAL



MAJOR NON-AERONAUTICAL CHARGES ARE:



DUTY FREE AND OTHER SHOPS



CAR PARKING



HOTELS AND RESTAURANT



ADVERTISEMENTS IN TERMINAL AND OUTSIDE



FUEL THROUGH PUT CHARGE



GROUND HANDLING CHARGE



FLIGHT CATERING CHARGE



VISITORS ENTRY FEE



OTHER COMMERCIAL ACTIVITIES

ICAO PRINCIPLES OF COST RECOVERY 

EVERY AIRPORT IN A CONTRACTING STATE WHICH IS OPEN TO PUBLIC USE BY ITS NATIONAL AIRCRAFT SHALL LIKEWISE, BE OPEN UNDER UNIFORM CONDITIONS TO THE AIRCRAFT OF ALL THE CONTRACTING STATES.



THE LIKE UNIFORM CONDITIONS SHALL APPLY TO THE USE, BY AIRCRAFT OF EVERY CONTRACTING STATE, OF ALL AIR NAVIGATION FACILITIES, INCLUDING RADIO AND METEOROLOGICAL SERVICES, WHICH MAY BE PROVIDED FOR PUBLIC USE FOR THE SAFETY AND EXPEDITION OF AIR NAVIGATION.



ANY CHARGES THAT MAY BE IMPOSED OR PERMITTED TO BE IMPOSED BY A CONTRACTING STATE FOR THE USE OF SUCH AIRPORTS AND AIR NAVIGATION FACILITIES BY THE AIRCRAFT OF ANY OTHER CONTRACTING STATE SHALL NOT BE HIGHER,



AS TO AIRCRAFT NOT ENGAGED IN SCHEDULED INTERNATIONAL SERVICES, THAN THOSE THAT WOULD BE PAID BY ITS NATIONAL AIRCRAFT OF THE SAME CLASS ENGAGED IN SIMILAR OPERATIONS, AND



AS TO AIRCRAFT ENGAGED IN SCHEDULED INTERNATIONAL AIR SERVICES, THAN THOSE THAT WOULD BE PAID BY ITS NATIONAL AIRCRAFT ENGAGED IN SIMILAR INTERNATIONAL AIR SERVICES.



NO FEES, DUES OR OTHER CHARGES SHALL BE IMPOSED BY ANY CONTRACTING STATE IN RESPECT SOLELY OF THE RIGHT OF TRANSIT OVER OR ENTRY INTO OR EXIT FROM ITS TERRITORY OF ANY AIRCRAFT OF A CONTRACTING STATE OR PERSONS OR PROPERTY THEREON.

ICAO PRINCIPLES FOR FIXATION OF AIRPORT CHARGES 

FOR FIXATION OF AERONAUTICAL CHARGES COST IS THE MAIN BASIS



HOWEVER, PRE-FUNDING MAY BE ACCEPTED IN SPECIFIC CIRCUMSTANCES BUT WITH STRICT SAFEGUARDS



FOR NON-AERONAUTICAL CHARGES REVENUES CAN BE MAXIMISED



THE SURPLUS FROM NON-AERONAUTICAL CHARGES IS GENERALLY USED FOR REDUCING CHARGES FOR AERONAUTICAL SERVICES



THE BASIC PRINCIPLE OF AIRPORT CHARGES IS THE COST OF PROVIDING SERVICES



HOWEVER, USING SURPLUSES FROM NON-AERONAUTICAL SERVICES FOR EXPANSION OF FACILITIES IS POSSIBLE

MODULE 6 - INTERNATIONAL CIVIL AVIATION ORGANIZATION - CONTENTS 

ESTABLISHMENT OF THE ORGANIZATION



AIMS AND OBJECTIVES



LEGAL STATUS



ORGANISATIONAL STRUCTURE



SECRETARIAT



PAST ACHIEVEMENTS AND PRESENT PROGRAMME



INTERNATIONAL MEETINGS



AIR TRAFFIC FORECASTS AND TECHNICAL ASSISTANCE



ICAO PUBLICATIONS

ESTABLISHMENT OF INTERNATIONAL CIVIL AVIATION ORGANIZATION 

INTERNATIONAL CIVIL AVIATION ORGANIZATION, IN SHORT ICAO, IS A WORLDWIDE INTERGOVERNMENTAL ORGANISATION ESTABLISHED IN THE YEAR 1944.



THIS ORGANIZATION WAS ESTABLISHED BY THE CONVENTION ON INTERNATIONAL CIVIL AVIATION OR IN SHORT CHICAGO CONVENTION, SIGNED IN THE CITY OF CHICAGO ON 7 DECEMBER 1944.



THE CONVENTION IN CHICAGO PRODUCED A DOCUMENT KNOWN AS CONVENTION ON INTERNATIONAL CIVIL AVIATION OR CHICAGO CONVENTION.



THE CONVENTION PROVIDES THE FUNDAMENTAL LEGAL FOUNDATION FOR THE REGULATION OF WORLD CIVIL AVIATION, CONSTITUTION OF ICAO AND CONTAINS SEVERAL ARTICLES WHICH HAVE BEARINGS ON THE TECHNICAL AND ECONOMIC REGULATION OF INTERNATIONAL AIR TRANSPORT.

AIMS AND OBJECTIVES 

INSURE THE SAFE AND ORDERLY GROWTH OF INTERNATIONAL CIVIL AVIATION THROUGHOUT THE WORLD;



ENCOURAGE THE DEVELOPMENT OF AIRWAYS, AIRPORTS, AND AIR NAVIGATION FACILITIES FOR INTERNATIONAL CIVIL AVIATION;



MEET THE NEEDS OF THE PEOPLE OF THE WORLD FOR SAFE, REGULAR, EFFICIENT AND ECONOMICAL AIR TRANSPORT;



PREVENT ECONOMIC WASTE CAUSED BY UNREASONABLE COMPETITION;



ENSURE THAT THE RIGHTS OF THE CONTRACTING STATES ARE FULLY RESPECTED AND THAT EVERY CONTRACTING STATE HAS A FAIR OPPORTUNITY TO OPERATE INTERNATIONAL AIRLINES;

ICAO STATUS AND OTHER INTERNATIONAL ORGANIZATIONS



ICAO IS ONE OF THE SEVERAL SPECIALIZED AGENCIES OF THE UNITED NATIONS



SOME OTHER EXAMPLES ARE: UNICEF, WHO, FAO, ETC



ICAO IS AN ASSOCIATION OF STATES



PRESENTLY 190 STATES ARE ITS MEMBERS



ALL THE STATES ARE REQUIRED TO MAKE YEARLY CONTRIBUTION FOR DEFRAYING THE EXPENSES OF THE ORGANIZATION

THE OTHER MAJOR GLOBAL ASSOCIATIONS IN THE AVIATION FIELD ARE:  (1)INTERNATIONAL AIR TRANSPORT ASSOCIATION, AN ASSOCIATION OF AIRLINES MOST OF THE INTERNATIONAL AIRLINES  (2) AIRPORTS COUNCIL INTERNATIONAL, AN ASSOCIATION OF AIRPORTS AND  (3) CIVIL AIR NAVIGATION SERVICES ORGANISATION, AN ASSOCIATION OF AIR NAVIGATION SERVICE PROVIDERS 



THESE ASSOCIATIONS WORK CLOSELY WITH ICAO

ICAO ORGANISATIONAL STRUCTURE 

ICAO IS MADE OF AN ASSEMBLY, A COUNCIL AND SUCH OTHER BODIES AS MAY BE NECESSARY



THE ASSEMBLY, WHICH CONSISTS OF ALL MEMBER STATES, IS REQUIRED TO MEET NOT LESS THAN ONCE IN THREE YEARS AND IS CONVENED BY THE COUNCIL AT A SUITABLE TIME AND A PLACE



AN EXTRAORDINARY MEETING OF ASSEMBLY MAY BE HELD ANY TIME UPON THE CALL OF THE COUNCIL OR AT THE REQUEST OF THE NOT LESS THAN ONE-FIFTH OF THE TOTAL NUMBER OF CONTRACTING STATES ADDRESSED TO THE SECRETARY GENERAL



THE COUNCIL IS A PERMANENT BODY RESPONSIBLE TO THE ASSEMBLY. IT IS COMPOSED OF THIRTY-THREE CONTRACTING STATES ELECTED BY THE ASSEMBLY. INDIA IS ONE OF THE MEMBERS OF THE COUNCIL



THE TENURE OF THE COUNCIL AND ITS PRESIDENT IS THREE YEARS

ICAO SECRETARIAT 

ICAO’S HEADQUARTERS ARE LOCATED AT MONTREAL, CANADA.



IT HAS SEVEN REGIONAL OFFICES LOCATED AT BANGKOK, CAIRO, NAIROBI, DAKAR, PARIS, MEXICO AND LIMA



THE ICAO SECRETARIAT IS HEADED BY THE SECRETARY GENERAL, WHO IS ELECTED BY THE COUNCIL MEMBERS EVERY THREE YEARS



THE SECRETARY GENERAL IS ASSISTED BY FIVE BUREAUS, WHICH ARE HEADED BY DIRECTORS. THE BUREAUS’ DIRECTORS ARE THE REGULAR EMPLOYEES OF ICAO. THE FIVE BUREAUS ARE:





AIR NAVIGATION BUREAU AIR TRANSPORT BUREAU TECHNICAL COOPERATION BUREAU BUREAU OF ADMINISTRATION AND SERVICES LEGAL BUREAU



EACH BUREAU IS SUPPORTED BY SECTIONAL HEADS AND UNIT HEADS

  

PAST ACHIEVEMENTS AND PRESENT PROGRAMME 

IN THE GENERAL ASSEMBLY MAJOR ISSUES AFFECTING INTERNATIONAL CIVIL AVIATION ARE DISCUSSED



IN THE MEETING OF THE ASSEMBLY HIGH RANKING OFFICIALS FROM ALL OVER THE WORLD PARTICIPATE. THE LAST ASSEMBLY WAS IN SEPTEMBER 2007



OVER THE YEARS, THE ICAO COUNCIL HAS DEVELOPED AND ADOPTED 18 TECHNICAL ANNEXES TO THE CHICAGO CONVENTION, DEALING WITH VARIOUS SUBJECTS



THESE ANNEXES CONTAIN STANDARDS AND RECOMMENDED PRACTICES, IN BRIEF CALLED “SARPS” AND ARE APPLIED UNIVERSALLY AND HAVE PRODUCED A DEGREE OF TECHNICAL UNIFORMITY WHICH HAS ENABLED INTERNATIONAL CIVIL AVIATION TO DEVELOP IN SAFE, ORDERLY AND EFFICIENT MANNER



MOST IMPORTANT WORK BEING DONE NOW IS TO IMPROVE SAFETY AND SECURITY



IT HAS ALSO A SEPARATE GROUP ON ENVIRONMENT PROTECTION

INTERNATIONAL MEETINGS AND MANUALS 

A NUMBER OF OTHER INTERNATIONAL MEETINGS ARE PERIODICALLY ORGANISED BY ICAO, SOME AT HEADQUARTERS AND OTHERS IN THE REGIONS TO DISCUSS COMMON TECHNICAL AND OTHER ISSUES



ICAO HAS PRODUCED A NUMBER OF MANUALS AND OTHER DOCUMENTS, WHICH PROVIDE GUIDELINES TO THE STATES. AIRPORT ECONOMICS MANUAL IS ONE OF THEM. THERE IS A MANUAL ON AIR NAVIGATION SERVICES ECONOMICS. THESE MANUALS PROVIDE THE MUCH REQUIRED GUIDELINES FOR DETERMINING AIRPORT AND AIR NAVIGATION CHARGES



A VERY IMPORTANT CONTRIBUTION OF ICAO HAS BEEN DEVELOPMENT OF REGIONAL AIR NAVIGATION PLANS. THESE PLANS PROVIDE A LOGICAL BASIS FOR DEVELOPMENT OF INTERNATIONAL CIVIL AVIATION



ICAO COLLECTS CONSIDERABLE AMOUNT OF FINANCIAL AND TRAFFIC DATA, WHICH IS PUBLISHED REGULARLY. ANALYSIS OF THE DATA IS ALSO PROVIDED IN CERTAIN REPORTS

AIR TRAFFIC FORECASTS 

ICAO PROVIDES AIR TRAFFIC FORECASTS FOR VARIOUS REGIONS AND ALSO GLOBAL FORECASTS



THE LATEST FORECASTS ARE PROVIDED IN THE FOLLOWING SLIDE



THE TECHNICAL COOPERATION BUREAU PROVIDES TECHNICAL ASSISTANCE AND GUIDANCE IN VARIOUS ASPECTS OF AIRPORT AND AIRLINE DEVELOPMENT



TECHNICAL ASSISTANCE IS PRIMARILY FOR THE DEVELOPING COUNTRIES

GLOBAL AIR TRAFFIC FORECASTS Scheduled Services

Actual

Actual

Forecast

Average annual growth

1985

2005

2025

1366

3270

9180

5.1

4.6

39813

142579

510000

6.6

6.6

896

2022

4500

4.2

4.1

13472

37660

145000

5.2

5.5

Aircraft kms (M)

Na

30845

69040

na

4.1

Aircraft Departures (T)

Na

24904

50450

na

3.6

589

2197

6225

6.8

5.3

28384

118482

452120

7.2

6.9

194

704

1950

6.7

5.2

5884

22630

1E+06

7.8

6.5

Passenger-kms (B) Freight tonne-kms (M) Passengers Carried (M) Freight tonnes carried (T)

1985-2005

rate (%)

2005-2005

International Passenger-kms (B) Freight tonne-kms (M) Passengers Carried (M) Freight tonnes carried (T)

TECHNICAL ASSISTANCE 

ICAO HAS A TECHNICAL ASSISTANCE BUREAU



THIS PROVIDES TECHNICAL ASSISTANCE TO STATES/AIRPORTS ON VARIOUS ASPECTS



THESE SERVICES ARE PROVIDED ON THE BASIS OF COST RECOVERY



SOMETIMES UNDP, OTHER GOVERNMENTS, INSTITUTIONS LIKE ASIAN DEVELOPMENT BANK PROVIDE ASSISTANCE



INDIA HAS BENEFITED FROM TECHNICAL ASSISTANCE PROVIDED BY ICAO



CIDCO IS TAKING THE HELP OF ICAO IN DEVELOPING PLANS FOR A NEW AIRPORT IN NAVI MUMBAI

PUBLICATIONS  

ICAO BRINGS OUT A NUMBER OF PUBLICATIONS EVERY YEAR MOST OF THE PUBLICATIONS ARE PERIODICALLY UPDATED



COPIES OF ALMOST ALL THE PUBLICATIONS ARE RECEIVED IN THE OFFICE OF THE DGCA



THE ICAO PUBLICATIONS IN INDIA ARE AVAILABLE IN OXFORD UNIVERSITY PRESS IN CONNAUGHT CIRCUS, NEW DELHI



TO KNOW ABOUT THE ICAO PUBLICATIONS ONE CAN OBTAIN A CATALOGUE FREE OF CHARGE FROM ICAO HEADQUARTERS



A VERY IMPORTANT PUBLICATION OF ICAO IS ITS MONTHLY JOURNAL



ICAO HAS ALSO A WEBSITE WHERE YOU CAN GET CONSIDERABLE AMOUNT OF INFORMATION AND DATA. SOME REPORTS ARE ALSO AVAILABLE ON THE WEBSITE

REFERENCES                 

CONVENTION ON CIVIL AVIATION ICAO’S POLICIES ON CHARGES FOR AIRPORTS AND AIR NAVIGATION SERVICES ICAO AIRPORT ECONOMICS MANUAL ICAO MANUAL ON AIR SERVICES ECONOMICS ICAO TARIFFS FOR AIRPORTS AND AIR NAVIGATION SERVICES FINANCIAL SITUATION OF AIRPORTS AND AIR NAVIGATION SERVICES ICAO AIRPORT PLANNING MANUAL ICAO MANUAL ON AIR TRAFFIC FORECASTING ICAO CIRCULAR ON PRIVATIZATION IN THE PROVISION OF AIRPORT AND AIR NAVIGATION SERVICES ICAO AIRPORT PLANNING MANUAL ICAO OUTLOOK FOR AIR TRANSPORT TO THE YEAR 2025 AIRPORTS COUNCIL INTERNATIONAL POLICY HANDBOOK PRIVATISATION OF AVIATION INFRASTRUCTURE BY TULSI KESHARWANI PRICING AND CHARGES IN CIVIL AVIATION BY TULSI KESHARWANI NARESH CHANDRA COMMITTEE REPORT DOCUMENTS AVAILABLE ON ICAO WEBSITE DOCUMENTS AVAILABLE ON THE WEBSITES OF MINISTRY OF CIVIL AVIATION, DIRECTOR GENERAL CIVIL AVIATION, AIRPORTS AUTHORITY OF INDIA

THANKS