AAI's non-aeronautical revenue currently accounts for around 19 per cent of its annual top line.
New Delhi: Government is in the process of introducing a Bill to amend the Airports Authority of India (AAI) Act that would allow for optimal utilisation of land, the Rajya Sabha was informed today.
The national civil aviation policy envisages unlocking the potential of commercial usage of the airport land by liberalising the end-use restrictions, Minister of State for Civil Aviation Jayant Sinha told the Rajya Sabha.
AAI manages 125 aerodromes, including civil enclaves.
"The Ministry of Civil Aviation is in the process of introducing a Bill in Parliament for amending the relevant provisions of the Airports Authority of India Act, 1994," Sinha said in a written reply.
The national airports operator owns around 55,000 hectares in urban areas across the country. Under the current norms, airport land could be used only for limited purposes.
While presenting the Union Budget for 2017-18 last week, Finance Minister Arun Jaitley said the AAI Act will be amended to provide for effective monetisation of land assets.
"The resources so raised will be utilised for airport upgradation," he had said.
AAI's non-aeronautical revenue currently accounts for around 19 per cent of its annual top line. In 2015-16, the national airport operator saw its profit after tax jump nearly 30 per cent to Rs 2,537.36 crore.