Noida International Airport launch delayed again amid Rs 10 lakh daily fine for missed deadline

Jewar International Airport

The Noida International Airport (NIA) in Jewar, Uttar Pradesh, is set to begin commercial operations in mid-May, officials confirmed on Monday.

The airport, which aims to become a major aviation hub in northern India, will start domestic flights in May, followed by international operations in June.

Arun Vir Singh, the Chief Executive Officer (CEO) of the Noida International Airport Limited (NIAL), 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 first phase of the airport was originally scheduled to open by September 29, 2024, but the timeline was later revised to April 17 of this year. However, this deadline is also expected to be missed, as the aerodrome license is now anticipated to be issued in May.

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 airport, a flagship project for the UP government, is being developed by YIAPL, a wholly-owned subsidiary of Zurich Airport International AG. YIAPL is also responsible for operating the airport under a 40-year concession agreement that began on October 1, 2021.

The CEO mentioned that a meeting with all relevant stakeholders, including officials from the Airports Authority of India and the Directorate General of Civil Aviation, was convened to discuss the way 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 informed.