The Kerala government has recently raised INR 400 crore against the Adani Ports under the Vizhinjam agreement, opposing the operation of Adani airport. The government has made it clear that it is against the privatization of the airport, which is located in Kannur.
Background of the Controversy
Adani Group has been operating airports in various states in India. The Kerala government, however, has been against the privatization of airports, stating that it is a move to benefit private entities while neglecting the interests of the public.
In the case of Kannur airport, the Kerala government has made it clear that they do not agree with the idea of handing over the airport's operations to Adani. The government has been very vocal about the concerns related to the operation of the airport, and has even written to the Ministry of Civil Aviation to halt the privatization process.
The Vizhinjam Agreement
The Vizhinjam agreement was signed in 2015 between the Adani Group and the Kerala government. As per the agreement, Adani Group was granted the right to operate the Vizhinjam port for 40 years. However, the agreement also had a clause that stated that the group would also operate the airport in Kannur, which was not approved by the state government.
The Kerala government has cited various reasons for its opposition to the Adani airport's operation. The government has stated that the airport's privatization would lead to a significant rise in airfare prices, and the public would suffer due to the lack of control over the airport's functioning.
The Standoff Continues
The Kerala government's opposition to the Adani airport's operation has led to a standoff between the state and the Adani Group. The government's move to raise INR 400 crore against the Adani Ports has further escalated the issue.
The government has stated that the funds raised against Adani Ports would be utilized for the development of public infrastructure. The Adani Group, on the other hand, has called the move an act of injustice, and the company's officials have stated that they would seek legal recourse to resolve the matter.
Conclusion
The standoff between the Kerala government and the Adani Group over the operation of the Kannur airport is a matter of concern. While the Kerala government has made its stance clear, it remains to be seen how the issue will be resolved. The privatization of airports has been a contentious issue in India, and this standoff is just one example of the conflict of interests between the state and private entities.
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