UP Budget 2026-27: Major Boost for Noida International Airport with Rs 750 Crore Allocation
Finance Minister Suresh Khanna presented the Uttar Pradesh state budget for the fiscal year 2026-27 on Wednesday, unveiling a significant allocation of Rs 750 crore for the ambitious Noida International Airport project at Jewar. This substantial funding underscores the government's commitment to transforming Jewar into a premier aviation destination.
Strategic Vision for Jewar: Beyond an Airport
Minister Khanna emphasized that the government's vision extends far beyond constructing a standard international airport. The objective is to develop Jewar as a comprehensive aviation innovation and research centre, alongside establishing it as a major maintenance, repair, and operations (MRO) hub. This holistic approach aims to position Uttar Pradesh at the forefront of India's aviation sector.
Breakdown of the Rs 750 Crore Capital Outlay
The budget documents provide a detailed breakdown of the allocated funds. The Rs 750 crore capital outlay is specifically designated to support the third and fourth phases of the airport's development:
- Rs 700 crore is earmarked for land acquisition activities.
- Rs 50 crore is allocated for construction-related works.
This financial injection is crucial for advancing the project's later stages, ensuring seamless progress.
Project Structure and Current Status
The Noida International Airport is being developed under a public-private partnership (PPP) model. Yamuna International Airport Private Limited, a subsidiary of Zurich Airport International AG, is the executing entity. The project is structured into four distinct phases:
- Phase 1: Construction is complete, and the airport is currently awaiting its aerodrome licence from the Directorate General of Civil Aviation (DGCA).
- Phase 2: Land acquisition for this phase is finalized, with compensation already distributed to affected farmers. This phase will include an additional runway and the MRO facilities.
- Phases 3 & 4: These subsequent phases are the focus of the new budget allocation, requiring further land acquisition and construction to enable future expansion.
Land Acquisition: A Phased Approach
Land acquisition for the Jewar airport has been executed in a meticulous, phased manner:
- Phase 1: Acquired 1,334 hectares at a cost of Rs 4,588 crore.
- Phase 2: Covered 1,365 hectares, with farmer compensation completed.
- Phases 3 & 4: Require a total of 2,053 hectares. Of this, 1,889 hectares will be acquired from 14 villages at a rate of Rs 4,300 per square meter. The remaining 165 hectares is already under administrative control.
These later phases are pivotal as they will facilitate the airport's expansion from the initially approved two runways to a total of five runways, significantly enhancing its capacity and operational efficiency.
Projected Capacity and Regional Impact
Upon becoming operational, the Noida International Airport is poised to become a game-changer for the region:
- Phase 1 Capacity: Will handle approximately 1.2 crore (12 million) passengers annually.
- Full Build-Out: Upon completion of all four phases, annual passenger capacity is projected to scale up to a staggering 7 crore (70 million) passengers.
The airport is strategically designed to complement Delhi's existing aviation infrastructure, effectively meeting the soaring passenger and cargo demands across the entire National Capital Region (NCR).
Broader Civil Aviation Allocation in UP Budget
The state's commitment to aviation is further reflected in the broader budget for the civil aviation department, which totals Rs 2,111 crore for 2026-27. This includes a capital outlay of Rs 1,965 crore, with significant portions dedicated to:
- Rs 1,000 crore for land acquisition to expand and strengthen airstrips across Uttar Pradesh.
- Rs 100 crore for construction works related to these airstrip enhancements.
Additional Funding for Ayodhya Airport
In a related development, the budget also addresses infrastructure at other key airports. For the upcoming second terminal at Ayodhya Airport, the government has allocated:
- Rs 5 crore for the construction of an approach road.
- Rs 2 crore for land acquisition to establish a police outpost, ensuring enhanced security.
These allocations demonstrate a comprehensive strategy to bolster air connectivity and infrastructure across multiple regions in Uttar Pradesh, with the Noida International Airport at Jewar serving as its flagship project.
