WELCOME to Presentation on Multi-Modal International Hub Airport at Nagpur (MIHAN)

Multi-Modal International Hub Airport at Nagpur The prospect of using Nagpur as an intermediate fuelling station for the air crafts over-flying is to be studied. This will act as a catalyst to the development of the hub in the beginning. This option may be attractive to the airlines as the payload of the crafts can be increased due to the less fuel weight the craft has to carry in such case.

Does India need a Hub Airport????

How India compares with other neighbouring hub airport countries?

Comparative Movement of Passengers in the Region

Growth of Freight Traffic in the Region

India definitely needs a hub Airport 5 hours Flying zone

What are the stakes involved for India? More than 70% of the world air travel is accounted by hub Airports in which 55% share is that of transit traffic Share of hub airports in total air traffic is increasing Much smaller Countries in our neighborhood have stolen a march over us Considerable future market might be lost if steps are not taken right now A major opportunity for creating a hub is opening up in view of growing instability in Middle East. Traffic Shift from Dubai/ Sharjah on cards Even at the current growth rates India needs at least 4 new large international airports of 20 million passenger capacity each in next 30 years , not to talk about additional potential on account of the transit traffic that may go a-begging

Why Nagpur as a hub Airport?? Probably the best location from the point of view of setting a Multi modal Hub Airport in the country -Domestic and International. All existing Airports are constrained by various problems Will require minimum gestation period due to existing operational Airport. Logistically well connected – Maximum rail connections, Major National Highway crossing – Figures in future express highway projects Almost 300 international flights over-flying City daily Most conducive weather dynamics for air transportation Wide catchment area spreading almost 500 kms.- accounting for 15% of country GDP and population. Large land availability near the existing Operational Airport. No constraints to growth

Existing Air routes - Nagpur

Existing Rail Routes - Nagpur

Existing Road Network - Nagpur

Nagpur as potential International Hub Airport Located on important international air routes Rich hinterland and centrally located in India Availability of land, Govt. backing, other resources Attractive & impressive facilities to be developed Moscow London Beijing Tokyo Los Angeles Miami Singapore Surabaya Johannesburg Buenos Aires

Influence Area – MIHAN as a Hub Moscow London Beijing Tokyo Cairo Dubai MIHAN Abu dhabi Hong kong Colombo Singapore Johannesburg Canberra

International Hubbing Concept

Domestic Hubbing Concept

MIHAN

LOCATION OF EXISTING NAGPUR AIRPORT MIHAN

What are the current Air traffic numbers at Nagpur?? All India Market Market Domestic International Total Air Passengers (Millions) 27 13 40 Cargo (Tons) 2,70,000 5,30,000 8,00,000 Nagpur 0.2 NA 830 80 910

Growth of Air traffic at Nagpur Locational Advantages of Nagpur Multi-modal Airport infrastructure and facility mix Nagpur’s competitive advantage vis-à-vis other airports Air Transportation Liberalization trends Intensification of International Trade Economic Activity in the catchment area Tourism Growth prospects in the region

Future Air Traffic All India vs Nagpur Source: TEFS conducted by Consortia of Consultants led by L&T Ramboll Consulting Engineers (MSRDC,2001)

Appreciation of Model Hub Airports abroad for preparing the Master Plan

Dubai Copenhagen Zurich Amsterdam Luxembourg Hong Kong Singapore Anchorage Frankfurt Cologne/Bonn Sharjah

DUBAI INTERNATIONAL AIRPORT - VIEW WHILE PROCEDING TO THE ARRIVALS AREA

DUBAI INTERNATIONAL AIRPORT - LARGE & AESTHETICALLY DESIGNED PASSPOST CONTROL AREA

DUBAI INTERNATIONAL AIRPORT - VIEW OF THE DUTY FREE SHOPPING AREA

DUBAI INTERNATIONAL AIRPORT - HOTEL ABOVE THE PASSENGER TERMINAL BUILDING

DUBAI INTERNATIONAL AIRPORT - VIEW OF ONE OF THE CAFETARIA AS SEEN FROM THE DUBAI INTERNATIONAL HOTEL

Copenhagen International Airport

COPENHAGEN INTERNATIONAL AIRPORT - SECURITY CONTROL

COPENHAGEN INTERNATIONAL AIRPORT - AIRCRAFTS CONNECTED TO THE AEROBRIDGES ALONG ONE OF THE PIERS

UNIQUE ZURICH AIRPORT

UNIQUE ZURICH AIRPORT - VIEW OF AIRSIDE APRON AND MID-FIELD TERMINAL UNDER CONSTRUCTION

UNIQUE ZURICH AIRPORT - RETAIL ACTIVITY & REST PLACES IN TERMINAL ‘A’

SCHIPHOL INTERNATIONAL AIRPORT (AMSTERDAM) - VIEW OF THE CONTROL TOWER BEHIND ONE OF THE PIERS

LUXEMBOURG –DE– AIRPORT - FULLY COMPUTERIZED CARGO STACKING/ HANDLING SYSTEM

LUXEMBOURG –DE– AIRPORT - ORGANISING STANDARD PELLET LOADS IN CARGO TERMINAL Standard Pellet Flexible platform to facilitate tranfer of pellets onto the fork lift vehicles

LUXEMBOURG –DE– AIRPORT - CARGO BEING UNLOADED FROM THE TRUCK AT ONE OF THE 50+ TRUCKING BAYS AT THE CARGO TERMINAL

LUXEMBOURG –DE– AIRPORT - TRUCKS PARKED OUTSIDE THE CARGO TERMINAL

LUXEMBOURG –DE– AIRPORT - FULLY LOADED CARGOLUX PLANE

LUXEMBOURG –DE– AIRPORT - FULLY LOADED CARGOLUX PLANE IN FRONT OF THE CARGO TERMINAL - READY TO TAKE-OFF

CHEP LEP KOK AIRPORT – HONG KONG

CHEP LEP KOK AIRPORT – AIRPORT EXPRESS TERMINAL STATION

CHEP LEP KOK AIRPORT – HONG KONG AIRPORT EXPRESS STATION BUS TERMINAL

CHEP LEP KOK AIRPORT – People Mover in Arrival Area

CHEP LEP KOK AIRPORT – Departure Lounge

CHEP LEP KOK AIRPORT – Departures Terminal

CHEP LEP KOK AIRPORT

SINGAPORE (Changi International Airport) – Arrival into Terminal 1

SINGAPORE (Changi International Airport)

SINGAPORE (Changi International Airport)

SINGAPORE (Changi International Airport)

MRT Systems connecting Airport

Baggage Handling Systems

Cargo Handling Systems

High Tech signage/Information system

Master Plan of Multi-Modal International Hub Airport at Nagpur

Area statement (Area in Ha)

A passenger will love to miss the first flight GUIDING PRINCIPLES FOR PLANNING International Flights to be able to take-off within 30 minutes of landing A passenger will love to miss the first flight Cargo to be dispatched within 12 hours of arrival

OBJECTIVES An attractive hub Airport Financially viable bankable project Minimum social and environmental impact Develop self-generating traffic

Aerial view of Airport

AERIAL VIEW

AIRSIDE VIEW

Landside View - one module of the Terminal Building

Departure Floor

Pick Up and Set Down Area

SALIENT FEATURES OF THE PROJECT MIHAN project area – 2535 Hectares Runways – Existing runway to be extended to 4000m length and 60m width; Provision made for an additional parallel runway 4000mx60m Terminal facilities: a semi-circular terminal building 3,00,000 sqm area with an outer diameter of 810m. Separate international and domestic cargo terminals. Aircraft Parking - 50 aircrafts in the Terminal & 50 aircrafts remote. Projected Traffic: 14 million passengers a year (70% international) and 8,70,000 tons of cargo (90% international) a year. Type of Airport – International Hub Airport for Passengers & Cargo Type of connectivity - Multi-Modal Airport, Railway Terminal for Passengers & Goods, Truck Terminal, MRTS Terminal all in one Project Special Economic Zone

FACILITIES Easy access from National Highway, Railway routes and network of high capacity roads/ expressway and MRTS connecting Nagpur City and Butibori industrial estate. Special Economic Zone(SEZ) – entire MIHAN Complex to be declared as SEZ Container Terminal with Railway sidings - domestic & international Truck Terminal Freighter Village, warehouses Aircraft Engineering Maintenance Base- Airline managed, Third Party managed

FACILITIES ….contd., Convention & Exhibition Centers Value-Added Commercial Services Complex - Repackaging, Distribution, Finance & banking institutions, Software Park, Insurance Park, etc. Passenger Amenities - Hotels, Restaurants, Duty free shopping Centers Entertainment Facilities- Multiplexes, Theme Park, Golf Course, Flying Club etc. Residential facilities for employees working in MIHAN Complex

SPECIAL ECONOMIC ZONE (SEZ) Specifically delineated duty free enclave Deemed foreign territory for the purpose of trade operations Enable international flights to land and take-off without any bilateral agreements Not subject to any pre-determined value addition, export obligation, input output/wastage norms Can be set up in the private/ public/ joint sector or by the State Government Eligible for a number of fiscal concessions related to customs, excise and taxes No licensing requirements and ceiling on domestic sales

MAJOR BENEFITS Various types of tax and duty concessions within SEZ Efficient operating norms for the Airport-Aircraft turn-around time, Passenger walk-through time, cargo clearance time etc. All infrastructure facilities available - power , water, telecommunications, computer connectivity etc. Economic benefits to the Vidarbha Region and Nagpur City and the overall Country through the International and Domestic Hub. Development of Hinterland through multi-modal connectivity to the other parts of the Country.

Economic Benefits Increase in Exports Wealth Creation Employment creation Increase in revenues from tourists Value addition Fiscal benefits to the Central and State Government

Economic & Fiscal Benefits

FINANCIAL & ECONOMIC HIGHLIGHTS The total project cost is Rs.25810 million over 30 years The total investment required in various facilities in the MIHAN Project area by other agencies is approximately Rs.26000 million till 2035 The project is viable with an IRR of 15.8% The Net Economic Value added to the region till 2035 will be Rs.522,254 million, apart from the creation of thousands of jobs Employment generated in airport, allied activities and tourism

Capital Cost of the Project (2002 prices in Rs. Millions) Classification 2002 - 06 2007 -15 2016 - 25 2026 - 35 Total Movement Area (Runways) 769 787 484 452 2492 Terminal Complex 3208 2210 3443 2743 11604 Flight Control 562 60 742 Utilities 275 125 135 144 679 Pre-operational, temp. works & tests 590 - Contingencies 303 385 432 348 1468 Design & project supervision 146 92 84 414 MIHAN roads & infrastructure 800 735 400 64 1999 Other MIHAN costs(rail, cargo, green belt, SEZ fence etc) 788 2 222 1013 Contribution towards off site infrastructure 1200 Reconstruction of shifted airforce building 150 Contribution to MRTS 1000 Land acquisition & resettlement 2460 11251 5396 5268 3894 25810

IMPORTANT KEY DRIVERS Formation of a dedicated SPV for implementation Declaration of entire Airport complex as SEZ Aviation policy issues- favourable decision at an early date Taxes & other concessions, early approvals from GOM, GOI Operations by a strong O & M agency GOM drive for development of Vidarbha Region and Nagpur City for improvement of O-D traffic Drive to improve tourism potential Transfer of land and Airport assets to SPV at an early date Development of a strong Home Carrier for the development of Hub Traffic

ORGANISATION STRUCTURE PROPOSED & NIT

Financing Structure Entirely through Bonds raised by the JV as in the case of other projects successfully implemented by MSRDC Public-Private Partnership (PPP) with equity from govt. agencies Sources for Raising funds: Privately placed bonds with institutions Long-term debt from domestic Financial Institutions such as HUDCO, IDBI, ICICI, etc. Assistance from Multilateral Agencies

Status of the Project Techno-Economic Feasibility Report submitted, presented in various forums and approved by State Cabinet Project approved by the Govt. of Maharashtra Field work – completed Topographic Surveys, Soil investi-gation, collection of land records, environ & social surveys Approvals of Govt. of India requested Declaring Nagpur Airport as a International Gateway Airport Declaring MIHAN area as SEZ Transferring of existing Airport to MADC Formation of Special Purpose Company, Maharashtra Airport Development Company (MADC) taken up

IMPLEMENTATION PLAN MSRDC to be declared as Special Planning Authority for MIHAN notified area. Government of Maharashtra to set up a Special Purpose Company - Maharashtra Airport Development Company with MSRDC in lead for speedier implementation of the MIHAN project. Equity participation in the SPV from govt. agencies – MSRDC, CIDCO, NIT, MIDC, CONCOR, AAI, etc. & FIs. MADC to implement the project with private participation (Developers/Operators, Airlines, Logistics Providers etc.) by forming project specific SPV (NAC - Nagpur Airport Company). First phase of the Project to be commissioned by 2005

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