Govt pays Rs 1L rent a day for non-functional MRO unit at airport

Bhubaneswar: No maintenance, repair and overhaul (MRO) unit operates at the Biju Patnaik International Airport (BPIA) though the state govt has been paying a monthly rent of Rs 30 lakh for almost a year to the Airports Authority of India (AAI) for taking a big hangar on rent to develop the MRO. The AAI charges Rs 1 lakh a day for the facility. The state govt has even sought a waiver of rent from June 2025 to Oct 2025. Airport sources revealed the hangar that has been leased out for the MRO spans 4,670 sq metres. "In June last year, state govt signed a pact with AAI for taking the hangar on rent for MRO. In Oct a private company was roped in to operate the MRO, and in Nov, an agreement was signed with it. If the rent is calculated from the month of agreement with AAI, the total cost of the rent till April is Rs 3 crore," said an officer from AAI.Airport sources revealed that since the govt sought waiver from June to Oct, it has paid rent close to Rs 2 crore from Nov 2025 to April this year. "Whether waiver will be entertained or not is a call the AAI board will take," said an officer."The rent issue is between the govt's transport department and the AAI," said an officer in transport department linked to civil aviation infrastructure development.Currently, airlines operating from Bhubaneswar rely on other airports for aircraft maintenance, causing operational delays and additional costs. The new MRO facility, capable of accommodating large aircraft like the Airbus 321, will be operated by a private entity.Officials said operationalisation of MRO facility marks a significant step in improving aviation infrastructure in eastern India and is likely to generate employment opportunities in the aviation sector.Airport sources said the apron in front of MRO and taxiway will also be used for paving the way for the aircraft into the unit. Besides big aircraft, small planes, choppers and helicopters can undergo repair in the MRO that will run solely under the supervision of state govt.