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'AAI can build better airports than private firms'

Last updated on: February 01, 2006 16:49 IST

The modernisation of Delhi and Mumbai airports has finally taken off, but not amid major drama and protest.

Hyderabad-based GMR, in association with Frankfurt-based Fraport AG, has won the bids for modernising the Delhi airport, while GVK, along with South Africa Airport, has won the bid for Mumbai. This led to protests from Reliance and Sterlite who cried foul over the bidding process.

Then the government's bid to bring in reform in the airport sector met with more -- and stronger -- protests, leading to nationwide protests from trade unions and the Left parties.

Employees of the Airports Authority of India on Wednesday launched a nationwide indefinite strike against the privatisation of these airports.

So why are the employees and the Left parties protesting against the privatisation of the airport modernisation process?

M K Pandhe, president of the Centre of Indian Trade Unions which is leading the protest, in an interview with Managing Editor George Iype lists out the reasons for the agitation.

Why are the Left parties and AAI employees protesting against the modernisation of Mumbai and Delhi airports?

We are not protesting against the modernisation of these airports. We believe that all the airports in the country, especially the biggest ones like the Mumbai and Delhi airports, should be modernised and made world-class.

But in the name of modernisation, what the government has done is virtually sell the airports to a couple of consortia. We are all for modernisation of airports; but we are dead against their privatisation.

But the government says the two companies that have won the bids have been chosen out of bidders and they have been selected based on their technical prowess. And only technically competent companies can build world-class airports.

Who said only private companies can build world-class airports? That is a false notion that the Manmohan Singh government is spreading.

Look at the major world-class airports in Asia. Look at the airports at Singapore, Kuala Lumpur, Hong Kong and elsewhere. All of them are most modern, world-class airports built by either the government or government-owned public sector companies. The world over, all the good, great

airports are managed by governments fully or partially.

Do you think Indian government or public sector companies in India have the technical competence and finances to build such airports?

Why not? Look at the Cochin International Airport. It is the finest and successful example of how the private and public sectors joined hands to execute a beautiful airport. It is a small airport compared to Delhi or Mumbai airports; but it is much cleaner and greatly organised.

It has been built by the government of Kerala with financial help from thousands of NRI (Non-Resident Indian) shareholders and public sector companies and banking institutions.

Why can't the India government take this as an example and go for the airport modernisation of Delhi and Mumbai on a similar line?

But do you think it is the business of the government to build airports?

Why not? The government has the duty to build infrastructure in the country. If the government can build roads and bridges, why can't it build airports. In fact, the AAI employees have been demanding the modernisation of airports in the country in the last eight years.

The AAI Employees Joint Forum even had submitted a plan to the government. Why did not the government allow the Airport Authority of India to bid for airport modernisation? We feel if allowed, AAI can build much better and more transparent world-class airports than private companies.

If MTNL (Mahanagar Telecom Nigam Ltd) can become a public sector giant in telecom, why can't AAI become a world-class airport-builder?

What are the demands from the Left parties and the striking employees?

The main reason for the strike is that employees will lose jobs because of this privatisation. There are 20,000 employees in the Airport Authority of India. No assurance has been given to whether they will continue to be in their jobs after the private parties take over these airports.

Secondly, Mumbai and Delhi airports are the biggest profit-making airports in the country. Why should you privatise a profit-making enterprise in the country? Also there have been irregularities in the bidding process.

Do you think the government will pay heed to your demands?

We will continue and intensify the protests and the strike till the government listens to us. We want the government to abandon the privatisation process of airports immediately.