DoP not to vacate land for Mumbai airport

The private developer of Mumbai airport is at loggerheads with the Department of Posts (DoP) over a piece of land that the airport wants for expansion.

The DoP, which owns 25 acres adjacent to the airport area, has refused to part with the land, saying it is a residential colony of over 800 families of its employees.

"MIAL (Mumbai International Airport Ltd) approached us for the land saying that the 800 families would be redensified (relocated) to another colony in the city. They said they wanted the land to build a cargo complex. However, such a situation is not acceptable to us and we have made that very clear," said a DoP official.

The department has also refused to share with MIAL the land that it owns within the airport area, saying it wants the land to expand its own cargo operations, which would include an expanded aircraft fleet and tie-ups with scheduled carriers. The land within the airport has been leased to the DoP till 2017.

Meanwhile, the civil aviation ministry has advised the DoP to shift its cargo operations to the upcoming airport at Navi Mumbai, according to sources in the ministry.

"But most of our consignments come in the belly-hold cargo of scheduled airlines, which are expected to operate from the existing Mumbai airport even after the one in Navi Mumbai is built. So it makes more sense for us to operate from the old airport," said a DoP official.

Also, Air India has refused to share with MIAL around 219 acres that it has taken on lease. "We have our own hangars and offices there and cannot part with all of it. However, we have sent an MoU to MIAL enumerating the terms and conditions under which we are ready to share a part of the land," said an Air India executive.

Land issues have repeatedly delayed the airport development project. Around 276 acres have been encroached upon by 80,000 slum families.

"While the new terminal will come in place of the existing one, we need extra land to expand our cargo facilities and to have more parking bays, among other things. However, if we exclude the land that has been leased to parties like Air India and the DoP, we are left with merely 50 acres for expansion," said an MIAL executive.

The slum rehabilitation project has also run into major hurdles, according to sources in the civil aviation ministry.

"Land worth Rs 19,000 crore has been acquired to rehabilitate the slum dwellers. However, this falls short of the requirement and is enough to support only 60,000-odd families," said a ministry official.