Tuesday, August 19, 2008

BIA deal: Centre looks for breach

BIA deal: Centre looks for breach
BY R. JAYAPRAKASH
BENGALURU








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The controversy over the closure of the HAL airport and the uproar in the Assembly over the BIA issue prompted a Central team to visit Bengaluru on Monday to discuss the ramifications of breaching the concessional agreement.

With the PIL regarding BIA coming up in the High Court on August 22, the Union ministry of civil aviation (MoCA) and state government are looking to work out a middle path to keep everyone happy.

MoCA secretary Ashok Chawla and four of his joint secretaries will discuss key issues that are dogging the new international airport with chief secretary Sudhakar Rao and KSIIDC officials.

“Issues like keeping HAL airport open, the capacity of BIA and the airport’s aesthetics and connectivity to the facility are all issues that have been raised earlier. The sharp criticism by political leaders gave teeth to the protests so teams from the state and Centre, who are partners in the project, will deliberate in detail on how to handle each of these issues,” said a highly placed source in MoCA.

The talks are likely to focus on how to breach, with minimal damage, the concessional agreement. The state will have to cough up close to Rs 2,000 crore if it has to keep the HAL airport open or changes or terminate the agreement.

“Any step in this direction will be detrimental to all future projects based on the PPP model. We are in a delicate position and cannot afford to rush into anything,” said a senior state government official.

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