Changi Airport Group’s international arm, Changi
Airports International (CAI), has taken a 26% stake in Bengal
Aerotropolis Projects Limited (BAPL). The project signifies CAI’s
first investment in an Indian greenfield airport city project.
The Durgapur Aerotropolis is India’s first
aerotropolis project and its first privately owned merchant
The aerotropolis involves the setting up
of an industrial park, a logistics hub, an information technology
park and a township around the privately owned greenfield airport.
BAPL has already entered into a Joint
Venture Development Agreement with West Bengal Industrial
Development Corporation, the West Bengal State Government nodal
agency, for facilitating the implementation of the project.
Overall, the project aims to attract about US$
2.5 billion of investments.
CAI has in place a Technical
Service Agreement (TSA) to support the planning and development
of Durgapur Airport, and will enter into an Operations and
Management Agreement (OMA) to assist in the management of the
airport once construction is completed.
TSA will involve CAI providing a suite of technical services for
the development of Durgapur Airport. Support from CAI will come in
4 phases spread over a period of 24 months. These include
reviewing the Airport Master Plan, selecting consultants in the
pre-construction phase, review of the detailed engineering design
and drawings of the airport and the related infrastructure and
preparations for operational readiness during the set-up phase
of the airport opening.
The TSA also involves CAI
facilitating the training of BAPL senior management in
Singapore. The comprehensive training programmes aim to provide
senior level managers of BAPL with an in-depth understanding of
the complexities of running an airport.
The OMA will
involve CAI deploying a resident team in Durgapur for the
operations and management of Durgapur Airport. The resident team
is expected to manage the landside, apron, commercial and
operations activities in the airport.
Mr Wong Woon Liong,
CAI’s Chief Executive Officer, said the strategic stake
demonstrates CAI’s commitment in India. “The deal signifies an
important step forward for CAI to participate in the growing
Indian aviation industry. With this definitive milestone, we
will use our expertise to support the expansion of the Durgapur
Aerotropolis into a major industrialised area.”
Arvind Pande, BAPL Chairman added, “CAI has an enviable track
record and stands for the best in terms of experience and
technology in this space and that is reflected in the number of
successful projects they have executed. This alliance will add
momentum to the Durgapur project and enable us to turn this into
one of the most efficient airports in the country.”
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