UP Govt Imposes Rs 10 Lakh Daily Fine On Noida Airport Operator Over Construction Delays
The Noida International Airport (NIA) in Jewar is set to begin commercial operations in mid-May, officials confirmed on Monday.
The Uttar Pradesh government has imposed a daily penalty of Rs 10 lakh on Yamuna International Airport Private Limited (YIAPL) the operator of the Noida International Airport in Jewar, due to construction delays.
The Noida International Airport (NIA) in Jewar is set to begin commercial operations in mid-May, officials confirmed on Monday.
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The airport poised to emerge as a key aviation hub in northern India, plans to initiate domestic flight services in May, with international operations set to commence the following month, June.
Chief Executive Officer (CEO) of the NIAL Arun Vir Singh, told The Indian Express that the state government has directed the airport’s concessionaire — Yamuna International Airport Pvt Ltd (YIAPL) — to speed up work so domestic flight operations can begin anytime between May 15 and 31 and international flights between June 15 and 25.
The NIAL had a review meeting, presided over by UP Chief Minister Yogi Aditynanath, on March 10. “During the meeting, the concessionaire was asked to follow the terms of the contract agreement on delay penalties. A decision was taken to impose the stipulated fine of Rs 10 lakh per day on YIAPL," said Singh.
The initial phase of the airport was initially slated for a September 29, 2024, opening, but the timeline was revised to April 17, 2025. However, this deadline is now expected to be pushed back further, with the aerodrome license likely to be issued in May.
The NIA, a prestigious project for the Uttar Pradesh government, is being developed by YIAPL, a subsidiary of Zurich Airport International AG. YIAPL has been entrusted with operating the airport under a 40-year concession agreement, which commenced on October 1, 2021.
Singh revealed that a meeting was held with key stakeholders, including officials from the Airports Authority of India (AAI) and the Directorate General of Civil Aviation (DGCA), to chart a course forward.
“During the meeting, we requested YIAPL to present a ‘catch-up’ plan to ensure that flight operations do not miss the third revised deadline. They met with the Chief Secretary and provided their explanation. The plan will be submitted by April 2," Singh stated.
“The project suffered certain setbacks during the Covid pandemic. In June 2022, the construction contract was given to Tata Projects. We had already allowed a grace period of three months. Now, the daily penalty of Rs 10 lakh has been enforced and will continue till the airport becomes operational," he added.
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