Chennai Airport May Be Handed Over to Private Operator for World-Class Upgrade

CHENNAI:

The Union Government is considering handing over Chennai and Kolkata airports to private operators under the public-private partnership (PPP) model to upgrade infrastructure and improve passenger facilities to international standards. The move comes amid growing demands to modernise Chennai airport and enhance its operational efficiency to match other major metropolitan airports in the country.

The Airports Authority of India (AAI) currently operates Chennai airport, unlike major airports in Delhi, Mumbai, Bengaluru and Hyderabad, which are managed by private entities. Under the proposed arrangement, private operators could be entrusted with the operation, maintenance and development of the airports, while air traffic control and related navigation services would continue under the AAI.

The proposal gains significance following Chief Minister C. Joseph Vijay’s letter to Prime Minister Narendra Modi in August, seeking a change in the operator of Chennai airport. The Chief Minister reportedly highlighted the need to improve passenger facilities, aircraft movements and cargo-handling capacity to support Tamil Nadu’s industrial growth and attract investments.

Chennai airport handled 23.01 million passengers in the 2025–26 financial year. Its existing terminal infrastructure has a capacity of around 30 million passengers annually, which is expected to increase to 35 million following further expansion. The proposed involvement of a private operator is expected to bring additional investment and operational expertise, though the final structure and terms of any transfer remain to be determined.

However, the proposal has triggered political opposition, with several parties raising concerns over handing a major public asset to private interests. Critics have argued that passenger amenities and infrastructure should be improved without compromising public ownership or imposing additional costs on travellers. The Union Government’s approach to the proposal and the safeguards governing any future private participation will be closely watched.