Airports Economic Regulatory Authority of India Bill 2021, passed

Airports Economic Regulatory Authority of India (Amendment) Bill, 2021 got the approval of both houses of Parliament.

Context

Airports Economic Regulatory Authority of India (Amendment) Bill, 2021 got the approval of both houses of Parliament.

• It amends the Airports Economic Regulatory Authority of India Act, 2008.  

Key features of the Bill

• This short Bill proposes only one amendment to Section 2(i) of the Airports Economic Regulatory Authority of India Act, 2008.
• Major Airport: The provision defines "major airport".
  • A major airport is one which has, or is designated to have, annual passenger throughput in excess of 3.5 million.
• The central government may also designate an airport as a major airport by notification. 
• The Act further provides that the tariffs of aeronautical charges at major airports shall be determined by the Airports Economic Regulatory Authority of India.

Reason behind the bill

• The government intends to develop the low traffic volume of non-profitable airports also.
• This will prove as a catalyst in the development of small airports and to enhance air connectivity in far-flung areas.

Significance

• The revenue earned from these airports will be utilized for the development of airports in the Tier-II and Tier-III cities.
• This would help in the development of more airports by the PPP route by expanding the air connectivity to relatively remote and far-flung areas.