CEL338

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CEL 338

BANGALORE INTERNATIONAL AIRPORT LTD.


(BIAL)

Presented by:
Jiten Rao (2006CH50106)
Supervisor: Prof. K.C.Iyer Abhishek Soni(2006CH50101)
Date: 27th April, 2010 Prakhar Jain(2007CE10279)
INTRODUCTION
 During the Past two years, Air traffic has risen by 25%
annually, aviation Industry to grow by 16% every year

 Major Airports – Mumbai & New Delhi, accounts for


45% of total traffic; heavy congestion

 Urgent need to upgrade airports at other urban cities


and bring up new ones

 Numerous initiatives taken up by Government of India


to ensure healthy growth of Aviation sector
POLICY INITIATIVES
 Investment of Rs 41,000 Crore (approx) has been
planned in the airport infrastructure for the next 4-5
years.
 Innovative instruments such as PPP (Public Private
Partnership), BOT (Built Operate Transfer), BOOT
(Built Own Operate Transfer)
 Modernisation of 39 Non-metro airports

 Greenfield airports – Bangalore and Hyderabad.

 100% FDI is permissible in existing airports;

 FIPB approval required for FDI beyond 74%;

 100% FDI is permissible under automatic route for


Greenfield airports
NEED FOR NEW AIRPORT??

 Silicon Valley and largest biotechnology hub in


India – handles around 10 million passengers
from across the globe

 3rd busiest airport in India

 Nearly 65% population are from other parts of


India and foreign nationals

 New airport designed to handle 12 million


passengers yearly
BIAL- AN OVERVIEW

 Constructed at Devanhalli, 40kms from Bengaluru

 Conceived in 1993, Construction began in July, 2005 and


the new airport opened in May, 2008
 Revised expected passenger traffic lead to expansion in
infrastructure during construction – increased
terminals, aircraft stands, passenger boarding bridges,
taxiways
 Originally designed to accommodate 3.5 milliion
passengers p.a.; redesigned to handle 12 million p.a
 Currently handles around 9.3 million passengers

 Air traffic movement of 280/ day


FINANCIALS OF THE PROJECT – STAKEHOLDING
PATTERN
FINANCIALS OF THE PROJECT- FUNDING PATTERN

 Rs 355 crore from Karnataka Govt (26%)

 Rs 379.5 crore from Indian financial institutions as


debt (28%)

 Rs 51.42 crore from the three member international


consortium of Siemens Project Ventures, Larsen &
Turbo and Unique Zurich Airport

 The remaining funding was provided by ICICI Bank


(42%)
CONSTRUCTION OF BIAL
 Construction Model and Contractors

 Being built on BOOT basis with PPP

 Designed by Kaufmann and Van der Meer Planer AG


of Switzerland

 Construction Contract – L&T, Duration – 36 months

 Siemens Industrial Solutions and Services Group


(I&S) and Siemens Ltd India bagged contract for IT,
power supply, automation system for around Rs 340
crore .
CONSTRUCTION DETAILS
 Phase 1
 Passenger Terminal - a single, fully four-level building
capable of accommodating international and domestic
operations
 Total floor area is approximately 171,000m²
 Can Accommodate 3000 passengers
 117 Common-use terminal equipment (CUTE) enabled
check-in counters and 66 self check-in counters
 40gates and 18 air bridges, including nine double arm
and 19 remote bus bays.
 a total of 82 aircraft stands, all of which have a fuelling
pit
 Arrival and departure areas are separated vertically with
a modern, simple, straight-ahead flow system.
CONSTRUCTION DETAILS
 Runway –
 One runway
 Can accommodate all aircrafts including A380

 Cargo Village –
 Built over 11 acres of land
 120 Freight forwarders & 80 Custom house agents

 Other facilities –
 Rapid exits(3), taxiways, aircraft stands(42), Passenger
Boarding Bridges(8), access roads, Parking facilities and many
other.
 Car parks, A fuel farm, Two major cargo warehouses, Flight
kitchens, Various other auxiliary buildings
PTB Oberoi Lounge PTB Check-in Counter

PTB Kingfisher Sports Bar


PTB Baggage Handling Area
ADDITIONAL PHASES
 4000 acres of additional land allocated for future expansion

 New Terminal, T2 – will be built and then expanded in due


course of time to handle around 36 million passengers
annually, expected cost is Rs.4000 crore

 Existing Terminal, T1 will also be expanded to handle 15


million passengers annually

 Landscaping Master Plan: Bengaluru – The Garden City

 New 5 Star Hotel in the airport complex by Trident Group

 To remain a ‘Project-In-Progress’ for the next 10 -15 years


AIRPORT CITY: BIAL’S NOVEL INITIATIVE

 Airport City: An Aerotropolis


 Aviation intensive business and related enterprises
extending up to 25 km around airport.

 215 acres of land allocated for commercial development

 Well balanced mix of office parks, retail and


entertainment and hospitality
BIAL’S AIRPORT SERVICES PARTNERS

Service Provider
Fuel IOCL, Oiltanking & Skytanking
Ground Facilities Globe Ground India, Air
India/SATS
Cargo SATS/Air India & Menzies Group
Medical Columbia Asia
Food & Beverage HMS Host Corporation
Sky Catering LSG Sky Chef, Taj/SATS
Retail & Duty Free Nuance
Advertising JC Decaux
Parking Central Parking System
REVENUES FOR BIAL: USER
DEVELOPMENT FEE (UDF)
 UDF
 Domestic outbound passengers – Rs 260

 International Passengers – Rs 1070

 To generate aeronautical revenue for the sustenance,


maintenance, operation, management and development
of the airports

 Monitored and determined by independent regulatory


authority
CONNECTIVITY TO MAIN CITY
 Rail Connectivity

 New high speed rail link – Namma Metro, expected to


open from July, 2010

 New railway terminal at the airport

 Road Connectivity
 BMTC runs around 46 Volvo buses, atleast 1 bus
expected every 30 minutes

 Private cabs and luxury buses also available


BIAL: AN ECO FRIENDLY PROJECT
 No development will be allowed to destroy the natural
river valley network (BIAAPA)

 Rain water harvesting


 Covering 3 towns and 347 villages – will ensure the entire
course of water resources and catchment areas are
maintained.

 Future projects
 Projecting land-use zoning in next 15 years, proposed
separate sewerage treatment plants for each of the
surrounding major towns
BIAL: ACHIEVEMENTS
 AirportService Quality (ASQ) – 4.17 on scale of 5,
one of the best in the world

 Cost effective airport


Airport Annual Capacity Cost
Changi Airport (Singapore), 74 million $1.3 billion
built in 1981
Kuala Lumpur, 1998 35 million $3.5 billion
BIAL, 2008 11.5 million $0.5billion

 Punctuality – 85% within 15 min of scheduled time


 Availability of key resources – 99%
 Fast baggage delivery
 Wait time at check in – Domestic: 2.5 min
International: 4 min
ADVANTAGES OF BIAL: A CITIZENS
PERSPECTIVE
 Location – away from city, ensures safety and
environmental health benefits

 Infrastructure – Bigger passenger terminals and better


amenities, connectivity, parking and other facilities

 Energy efficient Design – well lit with day light, greenery


in holding area

 Very less baggage time

 Security and immigration

 Connectivity – road and rail transport


CRITICISMS OF BIAL
 Closing Down of HAL
 New rule that no international airport would be allowed
within a radius of 150 km.
 Skyrocketing of the valuation of the BIAL
 Unique Zurich off-loaded 12 of the 17% gaining1,050%
 Monopoly of Promoters
 Siemens and A&T - Awarded engineering, procurement and
construction contracts
 Unique Zurich - Operation and management services
contracts, without calling for global tenders
 Delays in the Opening
 DGCA identified 59 safety irregularities
 Issues like electricity supply, house keeping, air-conditioning
of the tower.
 Delays in constructing of ATC facilities including control
tower, technical block, office accommodation of AAI
personnel
THANK YOU

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