Oil cos want Delhi, Mumbai ATF model for six airports to be privatised

Fearing that new operators of six soon to-be-privatised airports may take over their ATF refuelling facilities, PSU oil firms have asked the government to follow the Delhi and Mumbai airport model of jointly operating the facilities.

After Delhi and Mumbai airports, the government is privatizing major airports at Chennai, Kolkata, Guwahati, Ahmadabad, Jaipur and Lucknow. Bids were invited in September last year and concession agreements for transfer of rights were to be signed this month but the announcement of general elections has led to postponement of the move.

Oil PSUs have been owners and operators of aviation fuel facilities since the start of these airports. They have built and upgraded ATF infrastructure at these airports, as well as back-end supply chain, to support jet fuel throughput of about one million kilo litres per annum.

Sources said state-owned firms fear there is an imminent threat that new private operators could take over the existing fuel facilities built with public money over the decades.

BS