Senior district administration officials on Thursday stated that the land acquisition process for the proposed Purandar airport is expected to miss the state government's May-end deadline. Two primary reasons were cited for the delay. First, the compensation package for landowners has yet to be finalized. Second, the Maharashtra Industrial Development Corporation (MIDC) is disbursing funds at a slow pace.
Fund Disbursement Status
The MIDC has released Rs 400 crore so far, with an additional Rs 100 crore expected shortly. However, a district administration official noted that funds are arriving in phases, and the acquisition process cannot commence until the compensation rates are approved.
Land Acquisition Timeline
The Pune district administration had initially planned to begin acquiring land across seven villages—Vanpuri, Kumbharvalan, Udhachiwadi, Ekhatpur, Munjavadi, Khanvadi, and Pargaon—from March. Even if acquisition starts soon, officials estimate it will take at least three months to complete the process. Thus, meeting Chief Minister Devendra Fadnavis' May-end deadline is extremely difficult.
The greenfield airport project requires approximately 1,285 hectares (nearly 3,000 acres) of land. Officials warned that delays in fund flow could further stall compensation payouts to landowners.
Landowners' Concerns
Beneficiaries of the project have grown weary of the delays. A landowner expressed frustration, stating that they were initially told compensation would be provided in March, then April, but there is still no sign of payment. With over 90% of landowners agreeing to part with their land for the proposed airport, they urged for speedy compensation disbursement.
Financial Arrangements
In February, the state approved a Rs 6,000 crore loan and authorized the MIDC to raise funds from financial institutions such as the Housing and Urban Development Corporation (Hudco). A Government Resolution (GR) issued on February 27 laid down strict financial conditions, including adherence to fiscal responsibility and budget management norms, and defined repayment mechanisms. According to the GR, the loan amount must be used strictly for land acquisition, with mandatory reporting on utilization and repayment.
The project will be executed through a special purpose vehicle comprising MIDC (15%), Pune Metropolitan Region Development Authority (15%), Maharashtra Airport Development Company (19%), and City and Industrial Development Corporation (51%).
