BT Explainer: Why Noida airport can’t have a foreigner CEO?

Noida: Noida International Airport (NIA) inaugurated recently by Prime Minister Narendra Modi may have to look out for an Indian CEO after the Ministry of Home Affairs (MHA) rejected a proposal to amend existing aviation security (Avsec) rules prohibiting non-Indians from serving as CEOs of greenfield airports.   

The security clearance of NIA CEO Christoph Schnellmann, a Swiss national, has been under discussion for the past few months. Two years back, the Bureau of Civil Aviation Security (BCAS) had flagged a violation of aviation security norms as Schnellmann is a Swiss national. However, no action followed.

The airport has missed several deadline due to construction work delays. And it may now have to look out for Indian CEO to make it operational.

The Noida airport at Jewar was inaugurated by PM Modi on March 28. The NIA is being developed by Zurich Airport International AG through its Indian arm under a 40-year PPP with the UP government.

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What rules prevent expat CEOs?

A BCAS order of January 17, 2011 states that the CEO of Indian nationality at each greenfield Indian airport and airport director or in-charge airport management at AAI airports, which are served by civil flights, shall be the security co-ordinator at the respective airports and shall be responsible for coordinating the implementation of security measures in accordance with the legal provisions and instructions issued by the BCAS from time to time.

The BCAS has written to the MHA to amend the rules as Schnellmann has been at the helm of affairs at the Noida airport since 2020. However, it was turned down.  

The security clearance broadly authorises individuals for access to sensitive roles, while BCAS vetting ensures compliance with aviation security and operational norms. 

But airlines have foreign CEOs...

There is no similar order on the CEO of airlines. IndiGo former CEO Peter Elbers, was a Dutch national and Air India outgoing CEO, Campbell Wilson, hails from New Zealand. IndiGo has now named Irish national William Walsh as its new CEO.   

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The NIA has raised the foreign origin credentials of Elbers and Wilson, and is hoping to get the clearance for Schnellmann. 

What next?

The NIA received the aerodrome licence from the Directorate General of Civil Aviation (DGCA) in March this year, but its aerodrome security programme (ASP) is currently under review by the BCAS, said reports. Noida airport authorities said they are working closely with the BCAS to secure approval for ASP.  

"Following this, we will coordinate with all stakeholders to finalise timelines for the commencement of commercial operations. Our efforts are focussed on ensuring that all systems, processes,  and personnel are fully aligned to deliver a safe, efficient and seamless start of operations," said a Zurich airport spokesperson.