Mumbai, Apr 21 (PTI) Union Civil Aviation Minister Jyotiraditya Scindia on Thursday said the Adani Group-controlled city airport's notice to Air India asking it to vacate plots on which 1,600 families reside, is as per agreement.

Maintaining that the government has nothing to do with the notice, Scindia said there was a "holding period" of six months which was mentioned in the agreement.

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"I think it's important to clarify that as far as the residential accommodation of Air India is concerned, for six months there was going to be a holding period for everyone who was living in their premises.

"And post that, then they will have to find other places if the need so arises. And I think that's something that was very much part of the agreement...and I think whatever steps are being taken are according to that,” Scindia said at the Times Network India Economic Conclave.

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The case concerns Mumbai International Airport (MIAL) and Air India, and the government has nothing to do with it, Scindia said.

Tatas won the bid for Air India in October 2021 and took over the assets in January this year.

MIAL has asked Air India to vacate its land that also includes four staff colonies of the airline where around 1,600 families reside. Air India has been using approximately 7,50,000 square metres of area around the Mumbai airport for decades at concessionary rates.

The notice has triggered a controversy, with the impacted residents taking to the streets as well.

Asked about the case of the appointment of a Turkish national as the chief executive of Air India, Scindia said it was a decision taken by the Tatas and not by his ministry.

Acknowledging that there was a "security angle" to the appointment, Scindia said his ministry's role is limited to getting the go-ahead from the Ministry of Home Affairs.

Meanwhile, Scindia urged 12 states charging higher Value Added Tax on aviation turbine fuel (ATF) to get it down to 1-4 per cent range from the current levels of over 20 per cent.

In the longer term, it will be beneficial to get ATF under the ambit of the GST, Scindia said, acknowledging that efforts towards the same are already on.

The minister also said he hopes the spike in fuel prices is transient as it is fuelled by geopolitical events.

He did not give a view on relaxing of fare caps, saying the industry is itself divided on it, but pointed out that there are eight advisory groups working on it and a decision will be taken based on inputs from them.

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