Government Approves Additional Rs. 880 Crore Compensation for Noida Airport Phase 2

The state government has given the green light for an additional Rs 880 crore in compensation for the second phase of the Noida International Airport, bringing the total payout to landowners who will be affected to Rs 4,780 crore.

Officials reported that 70% of the land acquisition, covering 1,181 hectares across six villages in Jewar—Ranhera, Kureb, Karauli Bangar, Dayanatpur, Beerampur, and Mudharah—has been completed, and compensation amounting to Rs 2,800 crore has been distributed to farmers thus far. The remaining 184

hectares of land required for the second phase are owned by the government.

This significant land parcel will be handed over to the civil aviation department of the Uttar Pradesh government for the development of a maintenance, repair, and overhauling (MRO) hub.

Noida International Airport Ltd (NIAL), a joint venture of the Uttar Pradesh government and development agencies, envisions attracting international investments for the MRO center to ultimately establish the region as an aviation hub in India.

Officials indicated that NIAL is likely to issue a global tender for the MRO center soon.

In addition to this, phase 2 of the project will involve the construction of a second runway at the airport.

The first phase of the airport, which is similar in size with one runway, an air traffic control tower, and a

terminal building, is set to be commissioned by October 2024. Over 7,000 workers have been employed at the construction site, and the infrastructure needs to be ready a few months in advance for trials to commence. Upon completion, NIA is poised to become the largest airport in the country.

NIA's long-term plan extends until 2070, encompassing a total of five phases, by which time there will be six runways and four terminal buildings, with an annual capacity to handle 225 million passengers, in addition to the MRO and aviation hub.

On October 20, the Uttar Pradesh government released Rs 329 crore to contribute to its 37.5% stake in

NIAL. The Noida Authority, Greater Noida Industrial Development Authority (GNIDA), and the Yamuna Expressway Industrial Development Authority (Yeida) will also release their contributions to the district magistrate's office.

Regarding the approved additional compensation, district officials explained that the initial estimate of Rs 3,900 crore was made in March 2021 for the acquisition of 1,181 hectares of land. However, this estimate did not include landowners' assets such as tube wells and 690 days of interest (at a rate of Rs 3,100 per sqm). "Now, we will commence the compensation distribution for farmers' assets too," said additional district magistrate (land acquisition) Balram Singh.

ET