Stumped by second Covid wave, KIA Terminal-2 work on slow mode

Continuing uncertainty in air travel and a delayed return to pre-pandemic normalcy are likely to push the completion of the Kempegowda International Airport Terminal-2 beyond 2022. The terminal is designed to add 25 million passengers per annum (MPPA) to the airport’s capacity.

Anticipating the aviation industry’s revival in 2021, KIA operator Bangalore International Airport Limited (BIAL) had hoped the terminal project could be operationalised by March 2022. But the second wave and the lockdowns that followed meant the deadline would be pushed further.

Only 60% of work on the project has been completed so far, top BIAL officials told DH. Travel disruptions and delayed return of the labour force have severely slowed down the pace. The completion timelines are expected to be reviewed based on the revenue and passenger traffic.

Growing at a brisk pace, the country’s third busiest airport’s annual passenger numbers had crossed the 33-million mark before the pandemic dramatically disrupted air travel in 2020. “This year, we will be lucky if we hit the 15-million mark,” the official pointed out.

In the wake of the Covid-19 disruptions, BIAL has proposed to revisit its master plan for the future.

On the airport’s agenda is a Terminal-3, completing a C-shaped structure with T1 and T2. But T3, to be built near the existing Airport Hotel, will now have to wait for years to get on to the drawing board.

As the official put it, “Air traffic recovery is hazy right now. A third wave might hit us.”

When the airport was commissioned in 2008, plans for a third terminal were on the agenda. Land was earmarked for an expanded facility once the passenger traffic exceeded the 60-million mark. However, aviation analysts estimate that KIA will get to its pre-pandemic traffic levels only by the middle or end of 2023.

Besides, the shift in commercial/business travel trends will ensure that future growth will be muted.

As an analyst explained, businesses have found ways to work without travel. “Even if the unlock process gathers pace, there will be an initial rise in traffic before settling down in two-three months and then the decline will begin.”

BIAL had reported a drastic 75% fall in revenue in the third quarter of 2020. It will be a tough road ahead. “Airports across India are facing this, Delhi and Navi Mumbai included. Operational costs are up but, the revenue is down. They are all seeking government support,” the analyst noted.

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