India’s Ambitious Airport Expansion Plan

Context:

India aims to double its number of operational airports to 300 by 2047, driven by an anticipated eightfold increase in passenger traffic. This ambitious expansion involves both developing existing airstrips and constructing new airports across the country to accommodate the growing demand.

Relevance:

GS III: Infrastructure

Dimensions of the Article:

1. Factors Driving the Expansion of India’s Aviation Sector
2. Challenges for the Expansion of Airports in India
3. Way Forward

Factors Driving the Expansion of India’s Aviation Sector

India’s aviation sector is undergoing significant expansion driven by multiple factors, aiming to meet the rising demand for air travel and enhance connectivity across the country.

Infrastructure Development and Upgradation

• Development of Airstrips: The Airports Authority of India (AAI) plans to upgrade 70 airstrips into airports capable of handling narrow-body aircraft like A320 or B737, enhancing connectivity to underserved regions.
• New Greenfield Airports: Locations such as Kota, Parandur, Kottayam, Puri, Purandar, Car Nicobar, and Minicoy are identified for new greenfield airports to support growing air travel demand where existing infrastructure is inadequate.
• UDAN Scheme: The implementation of the UDAN scheme has significantly improved connectivity to tier-II and -III cities, connecting 68 underserved/unserved destinations across India.

Projected Growth in Passenger Traffic

• Massive Increase in Passenger Traffic: Passenger traffic is expected to increase from 376 million annually to 3-3.5 billion by 2047, driven by economic growth and increasing affordability of air travel.
• International Traffic Growth: International traffic is projected to constitute 10-12% of this growth, reflecting India’s integration into the global aviation network.

Economic Factors

• Economic Growth: India’s robust economic growth is projected to increase per capita income substantially by 2047, making air travel more accessible to a larger segment of the population.
• Disposable Income: Rising disposable incomes are making air travel an affordable option for more people, particularly the growing middle class opting for air travel for business and leisure.

Cargo Sector Expansion

• Growing Air Cargo Demand: Beyond passenger traffic, there is a significant focus on expanding the air cargo sector driven by e-commerce growth and India’s ambition to become a key player in global air freight markets.
• Enhanced Cargo Infrastructure: New and expanded airports will incorporate enhanced cargo-handling capabilities to meet the rising demand for efficient air freight services.

International Hub Development

• Hub Development Strategy: India aims to position its major airports as international hubs, competing with global counterparts in the Middle East and Southeast Asia, to attract more international airlines, increase transit traffic, and boost tourism and business travel.

Under-Penetration of Air Travel

• Low Air Travel Penetration: Despite being one of the largest aviation markets, India’s air travel penetration remains low compared to developed countries. As income levels rise, there is considerable growth potential in air travel adoption.
• Projected Growth Opportunity: With rising incomes and increased affordability, there is expected to be a surge in demand for air travel, positioning the expansion plan to capitalize on this anticipated growth.

Challenges for the Expansion of Airports in India

India’s ambitious plans to expand its airport infrastructure face several challenges that need to be addressed for successful implementation and operation:

Land Acquisition and Urbanization

• Land Shortage: Increasing urbanization has exacerbated the shortage of suitable land for airport expansion, especially in larger towns and cities. The availability and cost of land can significantly impact the feasibility and timeline of airport projects.

Financial Requirements

• High Development Costs: India needs over USD 40 billion in airport development by 2047, with total expenditure potentially reaching USD 70-80 billion when including upgrades to airspace infrastructure and ground transportation. Securing adequate funding poses a significant challenge.

Saturation of Existing Airports

• Saturation of Key Hubs: Many existing airports, including critical hubs like Mumbai, are reaching or have reached saturation levels. The urgent need for new airports or substantial expansions of existing ones in several cities complicates development efforts.

Air Navigation Services (ANS) and Infrastructure

• Investment in ANS: Significant investments, estimated at USD 6-7 billion, are required in air navigation technology, human resources, and training to enhance operational efficiency and safety.
• Ground Transportation: Investments in ground transportation infrastructure to and from airports are essential and could be nearly as substantial as investments in the airports themselves. Lack of adequate surface connectivity can hinder airport viability and convenience.

Environmental Concerns

• Environmental Impact: Airport expansions often face opposition due to potential environmental impacts such as noise pollution and disruption to local habitats. Balancing development with environmental sustainability is crucial.

Way Forward

To overcome these challenges and ensure sustainable growth in the aviation sector, the following strategies can be considered:

• Development of Aerotropolis: Create special economic zones around airports, integrating business, logistics, and residential areas. This approach, similar to the “Aerotropolis” concept, can justify land acquisition and maximize economic benefits.
• Integrated Transportation Hubs: Develop integrated transportation hubs that connect airports directly to national rail networks, similar to Frankfurt Airport’s long-distance train station. This enhances airport accessibility and addresses surface transportation challenges.
• Sustainable Airport Design: Prioritize sustainable and environmentally friendly airport designs, akin to Oslo Airport’s use of biomass heating systems and eco-friendly technologies. Sustainable materials and practices can mitigate environmental impacts.
• Flexibility in Design: Design airports with flexibility for future expansion and adaptability to changing aviation trends. This ensures long-term viability and reduces the need for frequent large-scale expansions.
• Public-Private Partnerships (PPPs): Leverage PPP models, such as build-operate-transfer (BOT), to attract private investment and expertise. A robust PPP framework can help meet significant investment requirements while ensuring efficient operation and maintenance.
• Technological Advancements: Maximize airport capacity through advanced air traffic management systems and operational improvements. Technologies like biometric boarding and automated baggage handling systems enhance operational efficiency and passenger experience.

-Source: The Hindu