An infrastructure consortium made up of India’s GMR Airports Limited (GAL) and Greek GEK Terna has won the tender for the construction of the new Kastelli airport in Heraklion, Crete, and expects to receive Greek parliament’s approval by the end of the year.
The joint infrastructure consortium has placed its bid at 480 million euros and the Greek state will contribute 180 million euros, much less from the initial 220 million euros or 46 percent set earlier in the tender. Airport use fees have also dropped below 20 euros per passenger, while expected time of completion has been set for 5 years.
The project involves the design, construction, financing, operation and maintenance of the airport for a concession period of 35 years and is expected to bring multiple benefits to many sectors of the island’s economy, besides tourism.
The Kastelli airport will replace the current Nikos Kazantzakis airport in Heraklion which is Greece’s second busiest airport with more than 7 million passenger traffic per year.