Public private partnership in the airport sector– an analytical study on the legal framework and risks
Student name: Ms Sharika Surendran
Guide: Dr Gaurav
Year of completion: 2017
Host Organisation: TERI University
Abstract: The airport sector has always been a lucrative and one of the most vital mode of transportation. The said
sector began to grow once the sector was de-licensed and private parties could participate. Subsequently,
airports were created based on PPP model. This was one of its kind of initiative undertook by the
Government, private parties and accepted by the public by large as well.
As the experience of Indian economy goes regarding working with the PPPs, it has not been a productive
ride in other sectors. The other sectors have faced plethora of issues during every stage of the project i.e.
be it at pre-construction stage, feasibility study stage, engagement stage, execution stage and after the
completion stage etc. But in the airport sector, this dictum has turned out to be opposite.
The core reason to do research in this field i.e. PPP in the Airport Sector is to analyze the model,
functioning and working of the PPP airports. As noted above, all the PPP airports are running
successfully i.e. they are earning good amount of revenue (even though the early years of their operation
they were in losses) and operating and managing large scale of activities very efficiently and successfully.
It is also essential to note that these PPP airports are not only managing domestic airlines but also
international airlines as well and their related activities as well.
Hence, the research objective of this research shall be as follows:
1. To analyze and assess the legal framework regarding the PPP airports.
2. To identify and ascertain the different kinds of risks faced in a PPP project in the airport
infrastructure.
While pursuing my research in this field, the following research problems shall be the goal to achieve the
research objective:
1. What is the legal and policy framework set by law for the working of PPP especially in the airport
sector?
a) What are the procedural guidelines for setting up of an airport?
b) What are the other challenges faced by the parties involved in the PPP project in the
airport infrastructure?
2. What are the sector specific risks pertaining and involving around the PPP airport?
