Major financial consultants including Lazard India, KPMG, Pricewaterhouse Coopers, ANZ Grindlays have submitted expressions of interest to advise the government on the privatisation of the Mumbai and Delhi airports. About 12 consultants submitted EoIs today, official sources said.

Sources added that after the shortlisting of three consultants an inter-ministerial group will be set up for the financial and technical evaluation. The group will be represented by the ministries of civil aviation, divestment, finance and law.

The entire process of shortlisting and evaluation will be completed within a fortnight, officials said. The last date for submission of EoIs expired on Friday.

With the appointment of the consultant, the groundwork for the privatisation process will begin.

The consultant will have to initially prepare a report pertaining to the traffic, financial, commercial and operational status of the two airports in three months.

The ministry has set itself a target of eight months for the completion of the entire privatisation process.

The bidders will be evaluated on various criteria including past global experience in airport privatisation and experience in infrastructure privatisation assignments in India in sectors like power, roads and telecom. AAI will shortlist three consultants on the basis of a technical and financial evaluation.

The consultant will assist the ministry in preparation of a draft concession and a joint venture agreement. It will also evaluate the expressions of interest and the technical and financial proposals submitted by the private players.

The ministry had appointed KPMG as consultants in 2000 to advise the AAI on airports privatisation. The AAI is in the process of settling the consultation fee of the company and terminating the contract, sources said.

The details worked out by the ministry in consultation with the advisor would finally be presented to the empowered committee of ministers set up by the Cabinet to supervise the process.

The Cabinet had cleared a proposal for the creation of joint venture companies for Mumbai and New Delhi airports wherein the AAI would hold a minority stake of 26 per cent.