Karnataka government to control and run new minor airports
AVIATION & AIRPORTS

Karnataka government to control and run new minor airports

The Karnataka government plans to control and run all new minor airports in the state rather than turning over all existing airports to Airports Authority of India (AAI), claiming that doing so would be "better business sense".

The government is required to pay for land acquisition and construction as well as to provide "all basic facilities," according to Infrastructure Development Minister MB Patil, but "it neither has a say in operations nor is there any revenue sharing mechanism with AAI."

Karnataka is home to eight operational airports. The Shivamogga airport has yet to start performing paid services. Tenders have been floated for one in Raichur, and two more are being built—one each in Hassan and Vijayapura. There are two more airports being studied for feasibility. Once an airport is turned over to AAI, according to officials, the decision is final and cannot be "reconsidered" at a later time.

The government intends to transfer management of future airports to the department of large and medium industries' Karnataka State Industrial and Infrastructure Development Corporation (KSIIDC).

According to the minister, there are examples of governments running airports in other states and in Karnataka as well. He used the Karnataka State Industrial and Infrastructure Corporation (KSIIDC), a state government organization, as an example. It manages the Shivamogga airport.

“In Maharashtra, the Shirdi airport is run by the state government, and even in Rajasthan, there are airports that are run by the Rajasthan government. We also would like to have a hold over our airports,” Patil said.

Officials claimed that the choice was made after the state government was informed that it would be responsible for all costs and losses. "For instance, consider Mysuru Airport. The state government will be responsible for paying for any future land acquisition for growth, according to a stipulation in the deal with AAI. We are purchasing land today for Rs 3.2 billion, but no money is coming in, according to a top government official.

Patil further emphasized that although the Kalaburagi airport was constructed at a cost of Rs 10 billion, the state has no control over how it is administered.

Officials said owning future airports made better “business sense”. “If the government feels it cannot run the airport, it can either hand it over to AAI at that point or put it up for sale to private parties,” an official said. “The value of capital assets would have increased by then, and the state government can recover whatever had been spent and perhaps even more. ”

The DGCA and the civil aviation ministry will need to provide their consent for the government to own and operate these airports if it decides to do so.

With the Union government, according to Patil, the problem would be discussed. “The directorate of civil aviation has granted approval for commercial operations at Shivamogga airport,” Patil said.

“Likewise, the government intends to operate and maintain Vijayapura and Hassan airports which are under construction. There will be financial benefits to the state and local benefits as well if we run these airports ourselves. ”

See also:
Shivamogga Airport to begin flight operations
Mangaluru airport completes 2.4km runway recarpeting ahead of schedule


"Join industry leaders at RAHSTA Expo, India's premier platform for roads, highways and traffic infrastructure. Register now to explore innovations, network with experts and shape the future of mobility."

The Karnataka government plans to control and run all new minor airports in the state rather than turning over all existing airports to Airports Authority of India (AAI), claiming that doing so would be better business sense. The government is required to pay for land acquisition and construction as well as to provide all basic facilities, according to Infrastructure Development Minister MB Patil, but it neither has a say in operations nor is there any revenue sharing mechanism with AAI. Karnataka is home to eight operational airports. The Shivamogga airport has yet to start performing paid services. Tenders have been floated for one in Raichur, and two more are being built—one each in Hassan and Vijayapura. There are two more airports being studied for feasibility. Once an airport is turned over to AAI, according to officials, the decision is final and cannot be reconsidered at a later time. The government intends to transfer management of future airports to the department of large and medium industries' Karnataka State Industrial and Infrastructure Development Corporation (KSIIDC). According to the minister, there are examples of governments running airports in other states and in Karnataka as well. He used the Karnataka State Industrial and Infrastructure Corporation (KSIIDC), a state government organization, as an example. It manages the Shivamogga airport. “In Maharashtra, the Shirdi airport is run by the state government, and even in Rajasthan, there are airports that are run by the Rajasthan government. We also would like to have a hold over our airports,” Patil said. Officials claimed that the choice was made after the state government was informed that it would be responsible for all costs and losses. For instance, consider Mysuru Airport. The state government will be responsible for paying for any future land acquisition for growth, according to a stipulation in the deal with AAI. We are purchasing land today for Rs 3.2 billion, but no money is coming in, according to a top government official. Patil further emphasized that although the Kalaburagi airport was constructed at a cost of Rs 10 billion, the state has no control over how it is administered. Officials said owning future airports made better “business sense”. “If the government feels it cannot run the airport, it can either hand it over to AAI at that point or put it up for sale to private parties,” an official said. “The value of capital assets would have increased by then, and the state government can recover whatever had been spent and perhaps even more. ” The DGCA and the civil aviation ministry will need to provide their consent for the government to own and operate these airports if it decides to do so. With the Union government, according to Patil, the problem would be discussed. “The directorate of civil aviation has granted approval for commercial operations at Shivamogga airport,” Patil said. “Likewise, the government intends to operate and maintain Vijayapura and Hassan airports which are under construction. There will be financial benefits to the state and local benefits as well if we run these airports ourselves. ” See also: Shivamogga Airport to begin flight operationsMangaluru airport completes 2.4km runway recarpeting ahead of schedule

Next Story
Real Estate

AGM Vijaylaxmi launches Sixty3 W.E. Bizpark

AGM Vijaylaxmi Group has launched Sixty3 W.E. Bizpark, a mixed-use commercial development in Goregaon East, Mumbai. The project includes contemporary office spaces and a high-street retail component designed to support businesses, retailers and professionals.Located along the Western Express Highway, Sixty3 W.E. Bizpark is planned as a G+25-storey commercial tower. It offers office spaces ranging from 545 sq ft to 3,200 sq ft, with a 3.60 metre floor-to-floor height aimed at improving spatial comfort, natural light and operational efficiency.The project features a high-street retail boulevard ..

Next Story
Real Estate

Manglam Group to Develop Sheraton Hotel in Jaipur

Manglam Group has signed an agreement with Marriott International to develop a Sheraton hotel on the Jaipur–Ajmer Highway in Jaipur. The project will feature 220 keys and is being developed with an investment of around Rs 3.5 billion across more than 300,000 sq ft.The hotel marks Manglam Group’s third collaboration with Marriott International and forms part of its Rs 10 billion hospitality investment roadmap. The agreement was signed by Amrita Gupta, Director, Manglam Group and CEO, Manglam Spa and Resorts, and Rajeev Menon, President, Asia Pacific excluding Greater China, Marriott Interna..

Next Story
Infrastructure Urban

India Warehousing Show 2026 opens at YashoBhoomi

India's warehousing, logistics, and supply chain ecosystem came together as the 15th edition of India Warehousing Show (IWS) 2026 opened at YashoBhoomi, India International Convention & Expo Centre (IICC), Dwarka, New Delhi on June 25 (Thursday). Organised by RX India, the three-day event will run from 25-27 June 2026, bringing together policymakers, industry leaders, technology providers, and supply chain professionals under one roof. It also features a two-day knowledge conference that will run alongside the exhibition. Inaugurated by Pankaj Kumar, Joint Secretary - Logistics, DPIIT..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement