Airports Economic Regulatory Authority of India Bill 2021, passed

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.