Rediff Logo Business IDBI Find/Feedback/Site Index
HOME | BUSINESS | REPORT
November 25, 1998

COMMENTARY
INTERVIEWS
SPECIALS
CHAT
ARCHIVES

Centre, Kerala clash over Kannur airport project

Email this report to a friend

Kerala Chief Minister E K Nayanar today termed as "misleading" the reported statement of Union Civil Aviation Secretary P V Jayakrishnan that the Centre had not yet cleared the Kannur airport project.

He said that the then civil aviation minister, C M Ibrahim, had in a letter to him stated that the project had been sanctioned.

Stating that the Kerala government had gone ahead with land acquisition for the purpose on the basis of that, he said the secretary's statement at this juncture was misleading.

Jayakrishnan had stated at Kannur yesterday that civil aviation being a central subject, it was for the Union Cabinet to give clearance for the project. The Union Cabinet had not so far sanctioned the project.

The viability and other technical aspects of the entire project had to be studied before giving clearance, he added.

Yesterday, Jayakrishnan said the ministry was planning to be more commercially oriented as part of its strategy to re-regulate the entire civil aviation industry in the country.

Inaugurating the new Air-India office in Kannur, he said 70 per cent of the income in civil aviation came from the aeronautical charges, while only 30 per cent was met from non-aeronautical charges. The situation had to be reversed as in the West, he added.

He said the ultimate objective was to extend various facilities at minimum cost. Privatisation and divestment would help a lot in this regard.

Stating that the ministry would explore the possibilities of extending various concessions to smaller airlines, he asked the state governments to come forward with similar concessions.

''They should also start local airlines,'' he suggested. "We are encouraging every airline to come forward with below 64-seater smaller aircraft."

Referring to the proposed airport at Kannur, he said the ministry would study to what extent the project was viable. Civil aviation was a central subject and any project required Cabinet approval, he added.

Meanwhile, the search is on for a suitable site for Arunachal Pradesh's first ever airport in Itanagar.

State transport minister Nabum Tuki made an aerial survey in and around the capital yesterday to select the site. He was accompanied by high-level officials from the North Eastern Council, the Airports Authority of India and the state government during the survey.

Tuki said they had tentatively selected a site at Gumte, about 20 km from Itanagar, for the purpose. Another site a few kilometres south of Itanagar township had also been surveyed.

A feasibility report was being prepared by the NEC after which soil testing would be done, he said.

The airport was sanctioned under the economic package for the northeast, announced by former prime minister H D Deve Gowda.

UNI

Business news

Kerala

Tell us what you think of this report
HOME | NEWS | BUSINESS | SPORTS | MOVIES | CHAT | INFOTECH | TRAVEL
SHOPPING HOME | BOOK SHOP | MUSIC SHOP | HOTEL RESERVATIONS
PERSONAL HOMEPAGES | FREE EMAIL | FEEDBACK