The registration of joint venture company (JVC) under the name of Chandigarh International Airport Ltd is likely to be carried out soon, which will set the ball rolling for construction of the much-awaited airport.

A memorandum of understanding (MoU) for construction of the airport was signed between Greater Mohali Area Development Authority (GMADA), the Airports Authority of India (AAI) and the Haryana government on January 4, 2008. It took more than 21 months for the trio to form a JVC for the ambitious project. Officials say the delay was caused by differences over the nomenclature of the proposed JVC. Punjab had proposed that the JVC be named as Shaheed-e-Azam Sardar Bhagat Singh International Airport Ltd, Mohali. On the other hand, the Haryana government demanded that the joint venture company must be named after Chandigarh.

Sources in the civil aviation department, Punjab say finally, the formalities for the formation of the JVC have been completed.

The board of JVC will have nine members. AAI can nominate five members, while GMADA and Haryana Urban Development Authority (Huda) will have the right to nominate two members each. It will initially have an authorised share capital of Rs 20 crore, sources revealed.

The first meeting of the board will be held soon, which will add pace to the construction of the airport.

?We are waiting for registration of the JVC, after which the board meeting will be held. The first phase of the airport construction began on Wednesday. We have a budget of Rs 3 crore for the first phase,? an official in the civil aviation department told FE.

A boundary wall is being constructed around the entire area. The work is likely to take six to eight months, say officials. In September 2008, GMADA had handed over 305 acre to the AAI for the purpose.

The Centre holds 51% equity in the airport project. The Punjab and Haryana governments hold a stake of 24.5% each. AAI has set 2012 as deadline for developing the airport over 305 acre at Jheourheri village in Mohali.

AAI will bear all capital expenditure on development and upgrading of civil air terminal complex.