Bengal signs pact for airport city

Kolkata: West Bengal Industrial Development Corporation Ltd (WBIDC) today signed a ‘joint venture development agreement’ with Bengal Aerotropolis Projects Ltd (BAPL) for setting up India’s first aerotropolis (airport city) in the Durgapur-Asansol region of Bardhaman district at an estimated investment of Rs 10,000 crore.

BAPL is a special purpose vehicle that has been set up to implement the Durgapur Aerotropolis project. The consortium includes Pragati 47 Development Ltd, Citystar Infrastructures Ltd, Land Lease Company (India) Ltd and Pragati Social Infrastructure & Development Ltd, (a joint venture of Housing & Urban Development Corporation).

Leasing land

The Durgapur Aerotropolis, to be spread over an area of 2,300 acres, will be an “airport city” by itself, and besides having an industrial park, will also house an IT park.

There will be housing facilities for high, middle and low-income groups and social infrastructure such as hospitals, markets, theme parks, schools, community centres, etc. WBIDC will purchase the land from the locals and lease it out to BAPL.

The latter will implement the project in phases, according to Mr Nirupam Sen, West Bengal Minister for Industries & Commerce, who was present at the joint venture signing ceremony.

Mr Sen said WBIDC had initiated a dialogue with the local people from whom land would be bought for setting up the aerotropolis.

Speaking to newspersons, Mr Partha Ghosh, Director of BAPL, said that in the first phase of the project, an airport would be set up. A techno-economic feasibility for this is under progress. The total cost of the airport, to be done in phases, has been pegged at Rs 500-600 crore.

He said the airport would be ready within 30 months of taking possession of land from WBIDC even as the project in its entirety would be implemented within seven years “from the day land is handed over to us”.

The project will be funded by way of equity and institutional debt that would be raised in a phased manner, Mr Ghosh said.