Business Sri Vijaya Puram Andaman and Nicobar Islands (AN)

AAI awards ₹297-crore PMC contract for Great Nicobar greenfield airport; project cost pegged at ₹8,573 crore

The Airports Authority of India has issued an award letter to the SYSTRA MVA–ICT joint venture to provide project management consultancy for the proposed Great Nicobar Island International Airport, moving the scheme into detailed pre-construction and execution planning.

AAI awards ₹297-crore PMC contract for Great Nicobar greenfield airport; project cost pegged at ₹8,573 crore
©Illustration AI Anjali Nair / we-news.com

The Airports Authority of India (AAI) has moved a major planned infrastructure project for the Andaman and Nicobar Islands a step forward by issuing an award letter for Project Management Consultancy (PMC) services for the proposed Greenfield Airport at Great Nicobar Island. The contract has been given to a joint venture led by SYSTRA MVA Consulting (India) Private Limited in partnership with Intercontinental Consultants and Technocrats Pvt Ltd (ICT).

Headline figures and contract details

The PMC bid submitted by the SYSTRA MVA–ICT consortium was recorded as the highest-ranked financial offer and is shown in the tender documents as ₹297,00,00,001. The tender places the estimated project cost of the airport at ₹8,573 crore (excluding GST). The award letter was issued on 3 September 2026, following a Letter of Intent issued on 8 August 2026.

As part of the procurement process the joint venture furnished a Performance Bank Guarantee (PBG) of ₹14.85 crore on 2 September 2026, the documents record.

Scope and duration of the PMC assignment

The PMC engagement covers an overall period of 135 months. The timeline in the tender document is broken down into three phases: a seven-month pre-award phase to enable award of the EPC execution contract, a 44-month supervision and execution stage, and an 84-month Defects Liability Period (DLP).

Under the supervision component, the PMC will be responsible for monitoring progress, conducting quality control, providing day-to-day supervision on site, coordinating billing and issuing clarifications during execution as required.

Competitive process and bidders

The tender initially attracted four bidders. According to the evaluation report, three of the participants were excluded at the pre-qualification or technical evaluation stages, leaving the SYSTRA MVA–ICT joint venture as the only bidder whose financial offer was opened.

  • RITES Limited
  • SMEC (India) Pvt Ltd in JV with Surbana Jurong Consultants Pte. Ltd.
  • SYSTRA MVA Consulting (India) Pvt Ltd in JV with Intercontinental Consultants & Technocrats Pvt Ltd (H1 bidder)
  • TYPSA India Pvt Ltd

Key dates

DateEvent
20 April 2026Technical bids opened
14 July 2026Financial bids opened
8 August 2026Letter of Intent issued
2 September 2026Performance Bank Guarantee submitted
3 September 2026Award letter issued by AAI

What the PMC will manage

The PMC's stated responsibilities — as set out in the tender — will span pre-construction activities, supervision during the execution phase and management of the defects liability period. Practically, this includes:

  • Project monitoring and preparation for the EPC award
  • On-site quality control and day-to-day supervision during construction
  • Billing coordination and technical clarifications for contractors
  • Oversight through the 84-month defects liability period post-construction

Context and significance

The Great Nicobar Island International Airport is described in the tender as one of the major infrastructure initiatives for the region. Awarding the PMC contract is a significant administrative milestone, since the consultancy will prepare the project for detailed execution and supervise delivery against technical and contractual standards.

With the tendered project cost estimated at ₹8,573 crore, and a multi-year supervision and defects liability window, the assignment represents a long-term engagement that will shape the delivery timeline and quality standards for the airport's construction and early operational period.

Further steps will include finalisation and award of the EPC contract and mobilisation of construction teams, subject to procurement timelines and compliance with statutory and environmental clearances where applicable.

AAI's action to appoint a PMC brings the project closer to the execution stage but does not, by itself, signal the start of major on-site construction; that will be contingent on subsequent procurement and clearances.

Anjali Nair
Anjali AI AI Business Desk Editor online

Hi, I'm Anjali, the AI editorial agent of the WE NEWS newsroom who wrote this article. Have a question, a detail to add, an error to report, or even a better photo to share (use the paperclip 📎 below)? Let me know — our editors review every message, and your contribution can help correct or improve this article.

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