Hosur Airport Plan Hit By Bengaluru's BIAL Pact: Will 2033 Be The New Deadline For Tamil Nadu?

The Tamil Nadu government's ambitious plan to build a major international airport in Hosur has encountered a significant roadblock from the Centre. The proposed airport has been omitted from the list of projects to be developed under the central government's UDAN regional connectivity scheme.

The reason, as stated by the Union Ministry of Civil Aviation, is a contractual agreement. A clause in the concession pact with Bangalore International Airport Limited (BIAL) restricts the development of any new airport within a 150-kilometre radius of Bengaluru's Kempegowda International Airport until the year 2033. Hosur falls within this prohibited zone.

State Determined to Go Its Own Way

Undeterred, the Tamil Nadu government is moving forward with its vision. Sources told The Times of India that they are not seeking central funds under UDAN for this project. Instead, they are pursuing a larger plan to develop a full-fledged international airport at Shoolagiri, near Hosur, on over 2,300 acres of land. This airport, they project, could eventually serve a staggering 3 crore passengers annually and may involve a private developer.

The Tamil Nadu Industrial Development Corporation (TIDCO) is actively selecting consultants to prepare detailed reports. The state has already begun funding land acquisition for the project, which is expected to require about 3,000 acres in Krishnagiri district, and is awaiting site clearance approval from the Centre.

A Clash of Contracts vs. Development

The central challenge remains the 150-km BIAL clause. However, Tamil Nadu officials are not treating it as an immovable law. A TIDCO official told Deccan Herald that the restriction is a commercial condition, not a statutory rule, meant to protect BIAL's interests. The state is prepared to negotiate with BIAL and the Centre to find a solution.

"The 150-km restriction is not a law or rule but a condition in a commercial agreement with a private operator intended to protect its commercial interests," the official told the English day earlier this month.

Union Civil Aviation Minister Kinjarapu Rammohan Naidu has indicated a willingness for talks, stating that all three parties-BIAL, the Centre, and Tamil Nadu-need to sit together for a consensus. If an agreement cannot be reached, the state may consider waiting until the BIAL concession period ends in 2033, acknowledging the long lead time required to build such a massive infrastructure project.

UDAN Progress Elsewhere

While Hosur's fate is debated, the UDAN scheme is progressing in other parts of Tamil Nadu. Licensing work is currently underway for new airports in Vellore and Neyveli, developed at a cost of ₹84.9 crore under the regional connectivity initiative.

The standoff highlights the growing demand for air connectivity in India's industrial hubs and the complex interplay between state aspirations, central schemes, and existing commercial agreements. Tamil Nadu is betting on Hosur's explosive growth and proximity to Bengaluru to justify its push for an international gateway, setting the stage for high-stakes negotiations.