Scrap airport upgrade bid: Left

The Left today slammed the United Progressive Alliance (UPA) government for going ahead with the privatisation of Delhi and Mumbai airports despite the national common minimum programme stating that profit-making entities would not be privatised.

"Privatisation cannot be allowed in the garb of modernisation, which is needed to decongest the two busy airports," CPI(M) leader Sitaram Yechury said after a meeting of the Left-UPA coordination committee.

Reacting to the concerns raised by the Left in a note, Finance Minister P Chidambaram said they would be considered by an empowered group of ministers on the issue. "There is an urgency to complete the modernisation of these two airports. Having regard to the urgency, it was decided that the government may take a suitable decision," Chidambaram said.

In a note to the government, the Left parties said the privatisation plan had not yielded results as the outcome of the process initiated in 1999 till now resulted only in two bids for two airports, causing a single bid situation.

The impropriety, credibility and irregularity of the exercise led to the creation of many committees and controversies, which had the potential of creating a scam-like situation for the government, the Left said.

"The Airports Authority of India (AAI) is a profit-making entity with reserves and surplus of Rs 3,000 crore and zero debt. It can meet the expenditure for developing the airports in the country added with its capacity to raise loans from the market," the Left said in a statement.

The Left said the AAI proposal to modernise the Delhi and Mumbai airports, submitted last month, had been accepted in principle by an alternate plan review committee of the civil aviation ministry, reiterating the AAI's capability.

The Left said the UPA government had remained stuck to the previous government's decision to privatise the airports instead of considering the AAI's proposal. Security and strategic considerations were also cited by the Left as a reason against the privatisation.