Mumbai airport's Terminal 1 can be demolished in a phased manner: AAI

MIAL wants to demolish entire Terminal 1 in one go

Mumbai Airport
Mumbai airport currently has two terminals—T1 and T2—with an annual passenger handling capacity of 15 million and 40 million passengers, respectively
Deepak Patel New Delhi
3 min read Last Updated : Apr 18 2025 | 9:21 PM IST
Government-run Airports Authority of India (AAI) has opposed Mumbai International Airport Limited’s (MIAL’s) plan to demolish the entire Terminal 1 (T1) in one go and wants the demolition to be carried out in a “phased” manner, Business Standard has learnt.
 
Moreover, the global airlines body, the International Air Transport Association (IATA), has said that MIAL has not consulted airlines or provided sufficient information about T1’s redevelopment so that flight disruptions could be minimised.
 
Major Indian carriers such as IndiGo, Air India, and SpiceJet are members of the IATA.
 
Navi Mumbai International Airport (NMIAL), which is building the Navi Mumbai airport, is slated to begin commercial operations in June. NMIAL is a subsidiary of Adani Group-led MIAL. 
 
Last month, the Airports Economic Regulatory Authority of India (AERA) said the demolition of T1 was “necessary” for public safety. This came after a site visit and an IIT Bombay audit that revealed corrosion, seepage, and cracks in the structure.
 
However, the question remains on whether the demolition should be done in one go or in phases to minimise flight disruption. 
 
MIAL did not respond to Business Standard's request for a statement on this matter.
 
Mumbai airport currently has two terminals — T1 and T2 — with an annual passenger handling capacity of 15 and 40 million, respectively. Mumbai Airport’s T1 comprises three buildings — T1A, T1B, and T1C. 
 
Last month, MIAL said T1 would be demolished in October this year and its reconstruction is expected by September 2028.
 
During the reconstruction phase, about 5 million passengers of T1 would be shifted to T2, while the remaining 10 million would be shifted to Navi Mumbai airport.
 
Airlines are worried as they do not know which of their flights would be shifted to Navi Mumbai.
 
AERA is currently consulting aviation stakeholders to decide the aeronautical charges — including landing fees, parking charges, and user development fees — that MIAL will be permitted to collect from them till 2028-29.
 
Last month, AERA said it has held discussions with MIAL’s design team to explore whether Terminal 1 can be rebuilt in phases — starting with a capacity of 10 million passengers per annum (MPPA) and expanding to 20 MPPA later. This would be based on actual traffic after the Navi Mumbai airport opens.
 
This phased approach could help manage costs and respond to changing demand.
 
However, MIAL said that due to space limitations and the shape of the available land, modular construction is not possible.
 
Earlier this week, the AAI accepted MIAL's reasoning for demolition of T1 infrastructure and its reconstruction.
 
However, the AAI said that it “can be done in a phased manner.”
 
“It is felt that MIAL’s proposal can be redesigned to take up the project of reconstruction of the domestic terminal complex in a phased manner by initially demolishing T1A building,” the AAI stated in a letter dated April 16.
 
In a separate letter dated April 15, the IATA told AERA that MIAL has not consulted “the airline community or shared sufficient details regarding efforts to phase T1 redevelopment to minimise service level and capacity impacts.”
 
“The airport operator has been unwilling to provide details regarding infrastructure capacity and demand dependencies between Mumbai and Navi Mumbai airports. It could be viewed that T1 closure is a tactic to force airlines to relocate to the new airport with substantial and potentially unnecessary costs for airlines,” IATA noted.
 

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Topics :Mumbai airportAirports in IndiaAirport Authority of India

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