DIAL challenges new aviation policy in high court

The policy restricts existing airports operating under PPPs, from using additional land for non-aeronautical purposes

Delhi International Airport Limited (DIAL) challenged the new civil aviation policy in Delhi high court on Monday.

The policy, which came into force on June 15, restricts existing airports operating under private-public partnerships (PPPs), from using additional land for non-aeronautical purposes. 

The restriction, however, does not apply to future airports run under the PPP model or upcoming airfields that will be run by the Airports Authority of India (AAI), the petition by DIAL says. 

DIAL said it had written to civil aviation ministry to remove the restriction, but government declined its request on the ground that such post-bid benefits could not be extended to existing PPP airports, which had already executed agreements.

The petition says that DIAL is entitled to use up to five per cent of the total airport land for non-aeronautical services, going by a pact with government. The operator has also challenged rejection of its representation to the ministry, which DIAL says has ignored the Airport Infrastructure Policy, 1997, as well as other provisions of the AAI Act, 1994.

After considering DIAL's filings, judge V Kameshwar Rao has sought responses from AAI and civil aviation ministry and has listed the matter for hearing on January 9, 2017.