Reduce aviation taxes, Praful tells Karnataka govt

BANGALORE'S LOSS: He said Bangalore may lose out to neighboring Hyderabad if no action is taken.

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Bangalore: Civil aviation Minister Praful Patel has warned the Karnataka government to pull up its socks. He says that unless it improves its infrastructures and reduces sales tax on aviation turbine fuel, it will loose out to neighboring state Hyderabad.

“The Government has to be proactive, some minor issues remain about infrastructures, please address that, unless you reduce the sales tax on AFT, I can assure you that Bangalore will be a looser in the competition,” says Aviation Minister, Praful Patel

The Bangalore airport began operations on May 24 after three failed starts in the previous two months. The promoter operator - Bangalore International Airport Ltd (BIAL) -- had to settle for a soft launch because the Election Commission's model code of conduct was in force as assembly elections were on in Karnataka.

Marred by controversies, litigation, protests and cost over-runs, the much-awaited launch was put off thrice (March 28, May 11 and May 23) due to delays in setting up the air traffic control, training operators, government clearances and finally the poll panel's directive.

With the opening of the new airport, the 50-year-old state-run Hindustan Aeronautics Ltd (HAL) airport in the city was shut for civilian traffic despite protests by corporate honchos of the new economy against its closure.