The airport will have one runway for domestic and international flights. The new terminal building is to be centrally air-conditioned with facilities like passenger boarding bridges, escalators, elevators, in-line baggage conveyor system in arrival as well as departure hall, CCTV and car-parking facilities. The project is likely to cost around Rs 77.97 crore.

A Memorandum of Understanding was signed between Chairman of Airport Authority of India Dr K Ramalingam and Chief Administrator, Greater Mohali Area Development Authority (GMADA). A JV company with a 51 per cent equity stake of AAI and a 49 per cent equity stake of GMADA will be formed with this.

Patel informed that in the coming year, an investment of Rs 2 lakh crore would be made in civil aviation and employment for around 30 lakh youth would be generated. He emphasised that the states of Punjab and Haryana should develop infrastructure keeping in mind the needs in the coming 50 years.

Patel said that this was the first phase of development and that expansion would take place as needed. For economic growth and development it is essential to develop infrastructure.

Chandigarh is among the 35 non-metros whose airports have been selected for upgradation. At present, the airport has a capacity to cater to 200 passengers and park two AB-320 and one ATR-321 aircrafts.

With the expansion, four AB-321 type of planes could be accomodated. The airport would be able to cater to more than 400 passengers.

UT Adminstrator Gen (Retd) S F Rodrigues said that the airport would help in harmonising the region. It would provide a gateway to the north. He added that the next challenge the city faces is developing mass transport system for which there is no absolute answer.

Punjab Chief Minister Prakash Singh Badal demanded that the Centre consider the opening of an aviation university in the state, preferably in Patiala. He sought approval for opening flying clubs across the state. He also asked for upgradation of airports in Ludhiana and Bathinda.