Sunday, March 17, 2013

CAAN allocates Rs 821m for airport upgradation

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The Civil Aviation Authority of Nepal (CAAN) has allocated Rs 821 million budget for the upgradation of runways and other infrastructure, including installation of modern equipment in different domestic airport s.
This is the first time in several years that CAAN is injecting such a big amount to upgrade domestic airport s, most of  which lie in remote areas. Black-topping of runways has been started in Dolpa, Bajura, Khani Danda, Chaurjhari and Salle of Rukum, Faplu, Dang, Talchha at Mugu and Rumjhatar, according to the authority. Black-topping at airport s in Ramechhap, Bhojpur and Taplejung will begin soon.
“Although investment in remote airport s will not make an adequate return, it is the part of social responsibility,” said Suman Shrestha, deputy director general of CAAN.
Meanwhile, CAAN said upgradation works at the Tribhuvan International Airport (TIA) will begin soon. The country’s sole international airport is being upgraded under the Asian Development Bank’s assistance of $80million—$70 million in loans and $10 million in grants. The project has been lingering since 2010.
Likewise, works at the much-delayed two regional airport s—Gautam Buddha Regional International Airport in Bhairahawa and Pokhara Regional International Airport—are likely to begin soon, CAAN said. The first phase of works at the Gautam Buddha Airport was originally planned to start in 2012.
However, officials said that lack of resource had been a major setback. Works at ADB-funded Gautam Buddha Airport project was halted following claims from a Korea-based consulting firm that the first phase of upgradation will cost $77 million, considerably higher than the CAAN’s initial estimates of $42 million.  
A previous study carried out by ADB four years ago had estimated $ 35 million for the first phase upgradation. “The ADB is positive to release additional fund. As soon as the fund is release, CAAN will revise the project commencement deadline,” Shrestha added.
Likewise, CAAN said that the government has given a go-ahead to continue with the old bidding process for the development of regional international airport in Pokhara and that it has
formally started necessary discussion with the project bidder.
CAAN has received a sum of $ 3.7 million from the aircraft operation fund of the defunct Air Transport Support Centre (ATSC).  A Cabinet meeting on Jan 25 had approved CAAN’s proposal to buy new aircraft for calibration purposes and to conduct inspections.
“We have received the amount and will begin process to procure aircraft for CAAN,” said CAAN Director  General Tri Ratna Manandhar. Meanwhile, the authority is planning to enforce passenger service fee on the air ticket from July 16.
At present, passengers are required to pay the service fee at theairport . “We have also planned to open aviation museum with the abandoned planes at TIA.”