DIAL withdraws case against Hindon airport’s commercial flight operations | Company Business News

Delhi International Airport Ltd (DIAL) on Tuesday withdrew its legal challenge against the Centre’s decision to allow the Airports Authority of India (AAI) to operate scheduled commercial flights from the Indian Air Force Station in Hindon, Ghaziabad. 

DIAL informed the Delhi High Court that it would address its concerns directly to the AAI and the civil aviation ministry. The court disposed of the case after DIAL informed the bench about its decision to withdraw the petition.

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The operator, which runs Indira Gandhi International Airport (IGIA) through a joint venture with the GMR-led consortium and AAI, had filed the plea in January 2024, arguing that the Centre’s October 2023 decision to expand Hindon’s operations was “unfair, arbitrary, and commercially unfeasible.”

DIAL’s original petition raised concerns about the commercial impact of introducing expanded operations at Hindon. The company had noted that a new greenfield airport at Jewar, located within 150 km of IGIA, was under construction and argued that commencing operations at Hindon before all three airports reach full capacity would undermine IGIA’s viability and lead to the underutilization of resources.

The plea also pointed out that DIAL had invested heavily in expanding IGIA’s infrastructure and claimed that the decision to scale up Hindon’s operations was made without consulting the operator, violating the terms of earlier agreements. 

Under a previous understanding, Hindon was allowed to host limited operations under the Regional Air Connectivity Scheme while IGIA underwent expansion. DIAL contended that the government’s decision to expand Hindon violated these terms.

The operator also flagged procedural lapses, arguing that the government’s move to develop Hindon further disregarded the guidelines outlined in the Airport Infrastructure and Greenfield Airport Policies. DIAL maintained that the introduction of another airport in the National Capital Region (NCR) should have followed a competitive bidding process to ensure transparency and compliance with policy norms.

Currently, Hindon serves regional routes through carriers such as Star Air and Flybig, connecting smaller cities like Bhatinda, Ludhiana, Adampur, Nanded, and Kishangarh. 

In August last year, Air India Express announced plans to commence operations from Hindon, becoming the first carrier to operate from two airports in NCR. The airline plans to launch 28 direct flights from Hindon to Bengaluru, Goa, and Kolkata, marking a significant development in the airport’s commercial trajectory.