Under Phase-2 of the Chennai airport modernisation programme, a new terminal will be built with parking bays for aircraft and a multi-level car parking. The project cost is estimated to be Rs 25 billion and is expected to be finished within 42-45 months. Passenger traffic has reportedly seen a 20 per cent rise in the past three months, and a new terminal will be required if the trend continues.
The new terminal under Phase-2 will reportedly be able to handle increase in air traffic. Regarding the financing of the project, as reported, 40 per cent will be done through internal resources and the rest 60 per cent will be carried out borrowings.
Regarding borrowings, AAI will reportedly analyse the market before taking a decision on whether to opt for project loans or for an issue through domestic bonds. According to reports, the Centre has sanctioned Rs 94.3 billion to be taken as debt for the coming five years. For this fiscal, the amount is Rs 15 billion.
As reported, Larsen and Toubro has already begun excavation work and the demolition of the existing terminal is almost complete. Site preparation is also in process and acquiring permission from the State Pollution Control Board is in final stages.