Noida International Airport Poised to Revolutionize Delhi-NCR Air Travel
The Delhi megapolis is on the brink of a significant aviation transformation with the Noida International Airport (NIA) scheduled to become operational by summer. This development promises more flights, expanded destinations, increased frequency, and enhanced convenience for flyers, initially focusing on domestic routes. Travelers will benefit from choosing airports closer to their residences or based on smoother access, marking a shift in regional air connectivity dynamics.
Addressing Slot Constraints and Congestion at IGI Airport
Currently, Delhi's Indira Gandhi International Airport (IGIA), India's busiest and the world's ninth-busiest hub, handles over 10 crore passengers annually across three terminals. However, slot limitations have long hindered airlines from adding flights, particularly during peak morning and evening hours or with smaller aircraft. To mitigate this, the Hindon IAF base in Ghaziabad introduced a civil terminal in October 2019 for regional connectivity scheme (RCS) flights, later expanding to non-RCS domestic flights post-Covid. Despite its convenience for nearby residents, Hindon remains a temporary solution due to restrictions as a defence airport, capable of only a few commercial movements.
A senior airline official noted, "It's impossible to add flights to or from IGIA, not just in peak periods but throughout the day. The success of scheduled flights at Hindon and Mopa in Goa, where locals prefer proximity, highlights the demand for accessible airports. Noida and Navi Mumbai airports are expected to replicate this trend."
NIA's Strategic Development and Airline Interest
NIA emerges as a crucial long-term solution, with airlines showing keen interest even before operations begin. Originally planned with 25 parking bays in Phase I, nine additional bays have been constructed to accommodate night-parking aircraft for more early-day flights from the National Capital Region (NCR). VP Agrawal, former chairperson of the Airports Authority of India, predicts, "Given the demand, NIA could reach its Phase I peak of 1.2 crore passengers per annum within two years. RCS connectivity alone may surge by 30% to 40%, as existing airports lack slots for UDAN flights."
IndiGo, along with Air India Express and Akasa, is set to launch services at NIA. Abhijit Dasgupta, IndiGo's SVP of planning and revenue management, emphasized, "Delhi-NCR is a densely populated region with high aviation demand. A multi-airport system will reduce congestion, enable growth, and offer flexibility. NIA will serve western Uttar Pradesh, a key growth market, and support future domestic and international connectivity."
Impact on IGI Airport and Competitive Dynamics
A study by ICF International for Delhi International Airport Ltd (DIAL) assesses NIA's impact. It reveals that 58% of the catchment area may prefer IGIA, 31% NIA, and 11% both, based on travel times. Western areas like Haryana favor IGIA, while eastern Uttar Pradesh residents may choose NIA for shorter commutes. Despite some passenger and cargo shifts, IGIA retains a competitive edge due to its urbanized and economically stronger catchment.
DIAL's primary concern is not footfall loss but jet fuel taxation disparities. Uttar Pradesh imposes a 1% VAT on aviation turbine fuel (ATF) at NIA, compared to Delhi's 25% tax at IGIA, where ATF constitutes 45% of airline operating costs. DIAL advocates for a level playing field on fuel taxes to maintain competitiveness.
Looking ahead, DIAL plans to expand IGIA's capacity to 12.5 crore passengers annually by 2029-30, with potential redevelopment of T2 into a larger T4. Unlike Mumbai, where CSMIA operates at peak capacity and doesn't compete with Navi Mumbai, NIA will distinctly influence IGIA's traffic patterns, shaping the future of aviation in the region.
