Covering the nuances of a landmark deal

Dear Editor,

The article Delhi’s success story in the September issue of India Business Law Journal was immensely thought provoking and educative. Let me place on record my sincere compliments to the author Mr Tripathy and your editorial team. The article truly epitomizes how a business law journal should present facts.

Having played a significant role in evolving public-private partnerships (PPP) in federal ports of India, I can truly appreciate the challenges involved in the airport sector where the public interface and interest are significantly higher. Building a contemporary international airport is a demanding proposition. The capital and maintenance costs are huge and the operator must also share a significant share of revenue with the government. The challenge for the BOT operator then is how to build a world class airport within tight timelines, generate viable returns for shareholders and ensure passenger charges are affordable while also keeping the erstwhile public sector staff happy and productive. The article has explained lucidly how these seemingly contradictory objectives were reconciled by the BOT operator and how innovative means of non-aeronautical revenue generation through ground handling, retail and the redevelopment of land were conceived. In addition, the article outlines how legal tangles and delays, including the resettlement of project affected persons, which are typical in an ultra democratic nation like India, were resolved.