The state government has sanctioned Rs 22.78 bn to acquire 2,009 acres for the proposed Adilabad airport to be developed as a joint-user facility for civilian operations and the Indian Air Force (IAF). The Special Chief Secretary issued formal orders approving the land acquisition. The sanction aims to enable passenger services, cargo operations and aviation training.

Of the land, 1,609.23 acres will be allocated to the IAF and 400 acres have been set aside for a civil aviation enclave, maintenance, repair and overhaul (MRO) facilities, cargo operations and hangars. The Airports Authority of India (AAI) and the IAF will develop the airfield jointly to support mixed military and civilian use. Officials said the plan includes provision for future expansion.

The project moved forward after the Ministry of Defence submitted a report on a joint survey on 26 May that recommended a 9,000-foot runway. The IAF already owns 369.45 acres at the site and has sought an additional 1,500 acres to create a training facility, asking the state to acquire the land and hand it over free of cost. The state conveyed consent on 30 May.

An IAF team visited Adilabad on 17 June and finalised the coordinates for acquisition, after which the district collector submitted revised land estimates and sought cancellation of an earlier 700-acre order so fresh acquisition could proceed. The government has committed to bearing the cost of acquisition and to removing obstacles such as power lines and river diversions from state funds to speed construction. It also indicated that land value could be adjusted against any defence land required by the state.

The state reiterated its commitment to cooperate with the ministries of Defence and Civil Aviation and asked the Ministry of Civil Aviation to demarcate the 400 acres earmarked for aviation infrastructure. Roads & Buildings Minister Komatireddy Venkat Reddy directed officials to complete land acquisition and shifting of utilities by 31 December. The government credited the Chief Minister's initiative and coordination among agencies for the project's rapid progress.