CHENNAI: The second phase of expansion works at the Chennai airport, being executed at Rs 1,207 crore, is expected to become operational only in early 2027 following construction delays.
Passenger and flight traffic at the airport has been steadily increasing over the years. According to airport authorities, the annual passenger traffic, which stood at around 2.2 crore in 2015, crossed 3 crore in 2025 and is poised to scale up further.
To handle the growing footfalls, the Airports Authority of India (AAI) proposed a major expansion project in 2017 after obtaining approval and funding from the Centre. The project, estimated at Rs 2,467 crore, was planned over 2.36 lakh square metres in two phases.
Under this, Phase 1 covering 1.49 lakh square metres was taken up at Rs 1,260 crore, while Phase 2 covering 86,135 square metres is being developed at Rs 1,207 crore. Prime Minister Narendra Modi laid the foundation stone for the integrated terminal project through video conferencing in 2018, and subsequently inaugurated the first phase in April 2023.
Following the completion of Phase 1, the old Terminal 3 building, which earlier functioned as the international terminal, was demolished to make way for the second phase of construction.
The new Phase 2 terminal will feature eight entry gates, 60 check-in counters, 10 X-ray baggage scanners, nine remote boarding gates and eight aerobridges. Modern conveyor belt systems for baggage handling and advanced automatic scanning systems for luggage are also being installed. Once the new terminal becomes operational, the airport's annual passenger handling capacity will increase to more than 3.5 crore. Officials said the airport will eventually have four operational terminals and handle over 500 flight movements smoothly.
The Phase 2 work was originally expected to be completed by the end of 2025, with operations scheduled to begin by March 2026. However, the project hit a roadblock, and officials admitted that only around 40% of the work has been completed so far.
Sources said the delay was mainly caused by some contractors withdrawing from the project, citing a sharp rise in the cost of construction materials. The AAI is now roping in new contractors to execute the remaining work.
Meanwhile, a special team of senior officials from Delhi recently inspected the ongoing construction work and instructed the local authorities to speed up the project. Review meetings were also conducted at the airport to assess progress. Officials are now aiming to complete the entire construction by the end of 2026 and make the new Terminal 3 operational by March 2027.
Airport authorities pointed out that carrying out expansion work inside a fully functioning international airport is far more complicated than constructing a greenfield airport, as operations must continue without disrupting passenger or flight services. Despite the challenges, officials said all efforts are being made to meet the revised timeline.