Upgraded terminal at Bangalore airport inaugurated, airport renamed, exclusive pictures

by Devesh Agarwal

Bangalore's Bengaluru International Airport (BIA) was renamed to Kempegowda International Airport, Bengaluru (KIAB) at a glittering ceremony on Saturday by Karnataka state chief minister Siddaramaiah and Union civil aviation minister Ajit Singh, along with a battery of ministers, legislators, the Mayor of Bangalore, politicians, bureaucrats, the chairmen of the airport operating company Bengaluru International Airport Limited (BIAL), amongst others.

Upgraded terminal 1A at Kempegowda International Airport. The original portion is visible in the middle.

Along with the renaming, the upgraded passenger terminal, 1A, was inaugurated. The new terminal will be progressively introduced for passenger use starting from January 2014.

T1A, will almost double the floor space of the terminal, and is expected to cater to 20 million passengers. Mr. G.V. Krishna Reddy, the chairman of GVK Power and Infrastructure Ltd., the majority shareholder of BIAL, also indicated that the airport will now commence on planning for a new mega terminal 2, and a second runway that should see the airport build a capacity of up to 40 million passengers.

Upgraded terminal capabilities

The graphic below compares T1 with T1A. Comparisons aside, the new areas have a distinctly superior air. Almost like a five star hotel lobby.

The domestic portion on the west side of the terminal (right side of the picture) will commence operations first. The east side of the existing terminal which serves international traffic at present will remain for international traffic use which the area behind the existing immigration, customs and security will be built for international use.

Luxurious bathrooms await passengers in terminal 1A.

At a future date, not yet disclosed, but expected near March 2014, the new customs, immigration, and baggage reclaim hall will be completed, at which time the east portion of the existing terminal will be converted to domestic use, and the international operations will move to the new east hall (left side of the picture, under the new roof-canopy) and the extended pier will also be used.

In an environment first, the terminal building is LEED Gold certified for green energy use. 

Floor plans of Terminal 1A, Kempegowda international airport, Bangalore

Level 0, terminal 1A, Kempegowda international airport, Bangalore. Bus gates domestic, international baggage claim

Level 1, terminal 1A, domestic international contact stands, departures. Level 2 domestic close-up day hotel, lounges

Level 2, terminal 1A. Domestic lounges, international arrivals, immigration, extreme right Code F departures and lounge.

Lounges, day hotel, and food options

Now, there are reasons to get to the airport early. The domestic portion of the terminal will see a dramatic improvement in the lounges, with two of them opening up. Of significance to Citibank PremierMiles Mastercard holders, and other credit cards, one of the two lounges opening is by Plaza Premium. Overlooking the departure gates, the lounge is very much in the style of Cathay Pacific's The Wing lounge at Hong Kong airport.

Restaurants are upscale, and focussed towards local cuisine.

There is also a day hotel, located on the third level above domestic departures in the far west of the expanded terminal, offering bed-capsules for travellers wanting a quick rest and shower between flights or for passengers from slightly distant cities like Mysore, Tumkur, Salem, etc. The airport authorities are going to have to work out the modalities with the security agencies for international passengers to use the hotel, or early arrivals from close by cities like Mysore, Salem, etc.

Coming back to the lounge front, international premium passengers are doomed to suffer. The new wing while providing for new lounges, will expand lounge capacity by a small fraction over the existing Oberoi group operated lounge, was is forced to continue well past its contract period, supposed to end in October 2013. Oberoi did not get a contract to operate either of the two lounges, and naturally, their interest in operating the existing lounge is low. Despite the best efforts of BIAL staff, the Oberoi lounge provides a very sorry departing experience to the premium passengers.

Security check area shows a distinct five star look and feel of the new terminal.

Lounges are crucial to the passenger experience at hub airports. While the new international lounges are expected to be more luxurious than the existing, it remains to be seen whether these lounges will match up to the likes at Singapore Changi, Dubai, or even New Delhi IGI airports.

One of the two new lounges will be Plaza. Given its relatively small size, it is not clear whether credit card holders will be permitted entry. There is one lounge area being considered at level 2 of the east most gate (right side of floor plan photo) which is a Code F and can be used by an Airbus A380. Will Lufthansa use this area for creating a dedicated lounge? Let's see.

Photography at the terminal

Airplane photo buffs will be able to enjoy great views at the west end of the airport which should allow for a panoramic view of the apron. Head out near the new gate 1 any time before noon and click some photos. The best time of the year to take photos will be from September to April after which the sun will be north of the airport and many photos will be back-lit.

Photography from the terminal is permitted by the DGCA. You can read this article for more details and the relevant notifications which we suggest you keep a print out of.

Read more »

India's tallest Air Traffic Control tower, at Mumbai airport, inaugurated

By BA Staff

Mumbai's Chhatrapati Shivaji International Airport (CSIA), inaugurated India’s tallest ATC tower with a height of 83.8 metre and built within an area of 2,800 square metres.

The location and the height of the new ATC tower will enable the tower controllers to have unobstructed view of the entire operational area, which will help in optimizing air traffic separation and increase the traffic handling capacity at the airport.

The tower will be equipped with the latest technology including electronic flight strips which will soften the work load of the tower controllers, enhance safety and overall capacity of the airport.

The airport operating company Mumbai International Airport Limited (MIAL) is upgrading the air-side with new taxiways and rapid-exit taxiways to help reduce the time aircraft occupy the runway to further increase the ability of the airport to handle more flights per hour.

GVK CSIA awarded the iconic design and architecture project to Hong Kong based renowned architectural design firm HOK and international engineering design firm ARUP following a global architectural and engineering design competition. International lighting consultant Spiers and Majors were mandated for the innovatively designed lighting of the tower to bring out the sculptural qualities of the tower.

Read more »

No airport fee relief for Delhi passengers in Supreme Court ruling, only Mumbai impacted

Earlier today passengers cheered hearing that the Supreme Court of India ruled that the charging of Airport Development Fee (ADF) by the private airport operators was incorrect.

The initial cheer of air passengers flying out of Delhi though is short lived. A detailed reading of the record of proceedings of the case (read page 42 onwards) allows the operators of Delhi airport, GMR led Delhi International Airport Ltd. (DIAL) to continue charging the ADF of Rs. 200 and Rs. 1,300 on each domestic and international departing passenger respectively since it has received an interim order from the Airport Economic Regulatory Authority to charge such a levy. Unfortunately for the GVK led Mumbai International Airport Ltd., it has received no such permission and therefore will have to stop charging the Rs. 100 and 600 ADF it levies on departing domestic and international passengers.

Supreme Court of India CA 3611 .2011 ADF MIAL DIALpdf
In lay persons terms, the Supreme Court has said, the levy of the fee was not as per law, but now there is an interim order and so Delhi can continue charging the fee. How about the refund of the fee unlawfully collected? Tough luck. We cannot trace each passenger and refund the fee. Just in case the extremely learned counsels are not aware, each ticket, especially international, contains detailed passenger information, including payment information. Just refund it via the same means the original fee was paid.

Read more »

Supreme Court quashes Airport Development Fee at Delhi and Mumbai airports

The Supreme Court of India has ruled that the private consortia running the Delhi and Mumbai airports will not be allowed to charge an airport development fee (ADF) on passengers.

The stock prices of both the GMR group which leads Delhi International Airport Ltd. (DIAL) and GVK Group which leads Mumbai International Airport Ltd. (MIAL) were hammered on the stock exchanges. The New Indian Express reports

At 12.30 p.m., shares of GVK was down 3.62 per cent to Rs 25.60 and GMR was down 3.29 per cent to Rs 38.25

DIAL charges an ADF of Rs. 200 from domestic and Rs. 1300 from international passengers embarking from its airport, while MIAL charges Rs. 100 and Rs. 600 respectively.

A bench comprising justices R. V. Raveendran and A. K. Patnaik ruled in favour of Consumer Online Foundation, a non-governmental organization which had filed a public interest case against the levy of the fee on passengers.

The court is reasoning that only the Airports Authority of India (AAI), not private companies, has the rights under the law to levy a fee payable in advance of an airport construction.

Under the OMDA agreement with AAI, in order to compensate the private companies for their expenses and investments in the development of the airports, the AAI allotted them land in the vicinity of the airport.

However, passengers should not expect this as a relaxation of the User Development Fee or UDF which is currently charged at the Bangalore and Hyderabad airports. UDF is levied after an airport has been constructed and is based on the paid project cost and incomes.

Since the airport project at Delhi is completed, DIAL will be able to move from an ADF to a UDF regime very quickly. However, GVK will be impacted since the project at Mumbai is expected to complete only in 2012.

GVK has also gained control of Bengaluru International Airport Ltd., and has announced an expansion of Terminal 1. While this expansion is not expected to be impacted, today's ruling of the Supreme Court is bound to impact the financial flows and planning of the GVK group and this raises the question -- will the long term expansion of the airport i.e. Terminal 2 and the second runway (27L/09R) be impacted?

What is your view? Post a comment.

Read more »

GVK effects an intelligent re-jig of BIAL management

While analysts are expressing apprehension on the high price GVK has paid to acquire its 29% stake in Bengaluru International Airport Ltd. (BIAL), the recent re-jig of the BIAL management structure shows insights in to how the GVK Group intends to re-coup its investment.

The management re-jig has effective created an "airport operations group" and a "land development group" which recognises and builds on core competencies. Both groups report in to owner Mr. G.V. Sanjay Reddy the Managing Director.

As many readers will be aware, the airport is built under a Public Private Partnership (PPP) model which has provided for over 1,000 acres (about 250 hectares) of land that can be developed by the airport owners for additional income beyond airport operations.

Till date, Unique Zurich, which has strong competencies in airport operations, lacked the political and "local knowledge" strength to push through the"airport city" development, something the GVK group with years of contracting and construction experience, are gurus of.

Mr. Marcel Hungerbuehler who was CEO prior to the take-over is now the President of BIAL and heads the airport operations group.

Reporting to him are:

Mr. Hari Marar who was COO is now Director Operations. He is being groomed as a successor when Mr. Hungerbuehler eventually leaves BIAL somewhere in 2011 or 2012.

Ms. Manisha Grover who was Chief Commercial Officer is now Vice President – Commercial and will be responsible only for the aiport retail areas for now. It is unclear if she will head commercial operations of the "airport city" land development project once completed.

Mr. David Frei previously Chief Infrastructure Officer, is now Vice President – Engineering and Maintenance.

The finance side is all GVK, Ms. Karin Steinemann who was reporting to Mr. Hungerbuehler has been replaced Mr. Bodapati Bhaskar as Director Finance who now reports to Mr. Reddy.

As the airport city development progresses, expect more faces to join that team.

GVK has obtained 12% of BIAL from Unique Zurich for Rs. 4,846 million ($105 million) and 17% from Larsen and Toubro for Rs. 6,860 million ($149 million. By the time GVK acquires the stake of Siemens, the last of the initial private promoters, it is expected to pay over Rs. 4,500 Crore ($1 billion).

The re-jig clearly shows the success strategy of GVK. Recognising it's lack of specialised airport operations expertise, it has cleverly leveraged and compartmentalised the airport operations group, while GVK pushes ahead with the real money spinner of the airport project, the land development; something the Reddy family has both the money and political connections to achieve.

Read more »

Major meeting at BIAL to decide on expansion

Apparently there is a major meeting currently underway at the Bengaluru International Airport Ltd. (BIAL) which will run till tomorrow. This meeting is focus on the expansion plans of the Bengaluru International Airport (BIA).

The new de-facto owners of the airport Mr. G.V. Krishna Reddy and son Mr. G.V. Sanjay Reddy of GVK Power and Infrastructure Ltd. (GVK) will receive and discuss changes to the master plan from various architects and planners.

While analysts are expressing apprehension that GVK on the high price GVK has paid to acquire its 29% stake in BIAL -- 12% from Unique Zurich for Rs. 4,846 million ($105 million) and 17% from Larsen and Toubro for Rs. 6,860 million ($149 million), the long term commitment of GVK cannot be doubted. By the time GVK acquires the stake of Siemens, the last of the initial private promoters, it will pay over Rs. 4,500 Crore ($1 billion). GVK has promised much needed capital to BIAL and has re-invigorated the long needed expansion.

The immediate need of expansion is the much maligned passenger terminal building. Long touted by BIAL's former CEO Mr. Albert Brunner as having a capacity of 14+ million passengers per annum, it will now be expanded by almost 50% to a capacity of 15 million.

Also critically required is the apron expansion. With only 42 bays and a travel pattern which sees almost 50% of total daily traffic travel in just six peak hours (06:00~09:30 and 17:00~19:30), many domestic airlines, are complaining of inadequate space for overnight parking which prevents them from increasing Bangalore flights.

Frequent travellers from Bangalore would have observed the digging on the western side of the apron, in front of the cargo terminal buildings. The cargo operators too are complaining of increased cargo loading/unloading times, since the air-side road is not wide enough to handle two way traffic of full width pallet trucks.

Apron expansion had been stopped soon after the airport opened since BIAL complained of a lack of adequate funds given the long delays in the government accepting their User Development Fee demands.

GVK has set a target deadline of April 2011 for the completion of both expansions. Plans are also afoot for construction of the second runway (27L/09R).

Changes to the master plan should also be discussed in this two day meeting, and this includes the new terminal T2, but the final vision document is only expected to be presented for approval to the BIAL board of directors at their meeting on April 9th.

Information is that the GVK family is taking a very simple approach to the airport infrastructure -- they will measure customer satisfaction. Not to say the current airport is bad, but there is scope for improvement, customer satisfaction is something all of us airport users can agree with.

Bangalore Aviation also recommends reading this article about GVK's plans for BIAL in The Mint newspaper.

Read more »