The Centre has said the Tamil Nadu government may enter into an agreement with Taneja Aerospace and Aviation Limited (TAAL), the owner of the airstrip in Hosur and Bangalore International Airport Limited (BIAL), for operationalisation of the Hosur airport for Regional Connectivity Scheme (RCS) flights.
Responding to DMK member P. Wilson, who raised the issue in the Rajya Sabha, V.K. Singh, Union Minister of State for Civil Aviation, said TAAL, the private operator of the airstrip, was not able to bear an investment of ₹30 crore that was needed to operate flights under RCS.
The Minister said the private airport in Hosur was located within 150 km from BIAL, and the concession agreement between the Indian government and BIAL restricted the opening of a new or existing domestic airport within an aerial distance of 150 km for a period of 25 years.
“BIAL has informed that it may consider a one-time concession for the purpose of RCS, subject to parties entering into an agreement with specific conditions,” Mr. Singh said.
