The Airports Authority of India Act, 1994
Administered Ministry: Ministry of Civil Aviation
Act details
| Short title | The Airports Authority of India Act, 1994 |
|---|---|
| Long title | An Act to provide for the constitution of the Airports Authority of India and for the transfer and vesting of the undertakings of the International Airports Authority of India and the National Airports Authority to and in the Airports Authority of India so constituted for the better administration and cohesive management of airports and civil enclaves whereat air transport services are operated or are intended to be operated and of all aeronautical communication stations for the purposes of establishing or assisting in the establishment of airports and for matters connected therewith or incidental thereto. |
| Act number | 55 of 1994 |
| Act year | 1994 |
| Enactment date | 12 Sep 1994 |
| Ministry | Ministry of Civil Aviation |
| Jurisdiction | Central (Parliament of India) |
| Sections | 67 |
| Status | Not repealed |
| Last checked on India Code | 29 Oct 2026 |
| Source | India Code, Government of India |
Summary
Summary of the Airports Authority of India Act, 1994
Key Provisions
• Establishment of the Airports Authority of India: The Act provides for the incorporation of the Airports Authority of India as a body corporate with perpetual succession and a common seal.
• Functions of the Authority: The AAI is entrusted with the planning, development, operation, maintenance, and management of airports, civil enclaves, air traffic management services, communication, navigation and surveillance systems, passenger terminals, cargo facilities, and other airport infrastructure.
• Powers of the Authority: The Authority is empowered to acquire, hold, and dispose of property, enter into contracts, levy and collect fees and charges for airport and air navigation services, undertake infrastructure projects, and perform all acts necessary for carrying out its functions.
• Management: The Act provides for the composition of the Authority, including the Chairperson and other members appointed by the Central Government, and lays down their powers, functions, and service conditions.
• Finance and Accounts: The Act provides for the Authority's funds, budget, borrowing powers, maintenance of accounts, audit by the Comptroller and Auditor General of India (CAG), and submission of annual reports to the Central Government.
• Rule-making Power: The Central Government is empowered to make rules, and the Authority may make regulations, consistent with the Act, for carrying out its functions.
Legislative history
Legislative History:
The Airports Authority of India Act,1994
Act Title The Airports Authority of India Act, 1994
Act Number 55 of 1994
Act ID (India Code) 199455
Presidential Assent Date September 12, 1994
Enforcement Date April 1, 1995
Nodal Ministry Ministry of Civil Aviation
Precedent & Historical Rationale
1. Fragmentation of Airport Management:
o Prior to 1994, civil aviation infrastructure in India was managed separately by two distinct statutory bodies: the International Airports Authority of India (IAAI), which handled major international hubs, and the National Airports Authority (NAA), which managed domestic airports and civil aviation communication systems.
2. Need for Administrative Synergy and Modernization:
o To streamline operations, eliminate administrative overlap, pool financial and technical resources, and create a single unified agency capable of accelerating airport development to meet the demands of economic liberalization, the merger of NAA and IAAI into a single overarching body became essential.
Parliamentary Trajectory & Enactment
• Formulation: Drafted by the Ministry of Civil Aviation to dissolve the NAA and IAAI and establish a consolidated corporate statutory entity—the Airports Authority of India (AAI).
• Parliamentary Passage: Introduced as a comprehensive legislative bill, debated, and passed by both Houses of Parliament (Lok Sabha and Rajya Sabha) during the Monsoon Session of 1994.
• Presidential Assent: Received Presidential Assent on September 12, 1994.
• Enforcement: Enforced on April 1, 1995,
• Source: Official Records of Parliament, India Code, and Ministry of Civil Aviation.