GMR Airports Limited (GAL), a subsidiary of GMR Infrastructure Ltd, has emerged as the highest bidder for development, operations and management of greenfield international airport at Bhogapuram, Andhra Pradesh (AP) on a PPP basis.
Andhra Pradesh Airports Development Corporation Limited (APADCL) had initiated the RFP process for the new airport at Bhogapuram in November 2018. The project involves design, build, finance, construction, development, up-gradation, modernisation, operation and maintenance of the airport for a period of 40 years.
As part of the qualification process, APADCL had shortlisted seven applicants viz GMR Group, GVK, DoIt Infra, I-Investment, NIIF, Essel and Reliance Infra. However, only GMR Group, GVK and DoIt Infra submitted their financial bids, a press release said.
Last year, the existing civil enclave at Vishakapatnam Naval Airfield handled 2.33 million passengers and 5000 tonnes cargo. Over the past four years the passenger traffic at the Vizag airport has grown at 14% while the Airport ranks fifth amongst the custom airports in India in terms of cargo traffic.
The proposed greenfield airport site lies on the border of Visakhapatnam and Vizianagaram districts, and is approximately 45 km from Visakhapatnam through NH-5 and 25 km from Vizianagaram via NH-43. The site is strategically located on the east coast and stands to get benefited from the vast catchment area surrounding the region.
Moreover, the beach corridor development is underway in proximity to the proposed international airport in Bhogapuram which will provide impetus to retail and hospitality developments in the region. “It is a matter of great pride for us as Bhogapuram Airport win will add to the ever growing portfolio of Airports developed, managed and operated by GMR Airports. We look forward to work on this prestigious airport and will aim to deliver an airport of global standards which would be a matter of pride for the region of Visakhapatnam and provide a further fillip to the economic potential of Andhra Pradesh,” said GBS Raju, Business Chairman, GMR Group.