Operational airports to increase from 75 to 118, says MoS for Civil Aviation, Jayant Sinha

The minister said that 16 airports in southern India, 32 in western India, 21 in north, 12 in east and 11 in north-eastern regions are proposed to be connected under the RCS.
Image used for representational purpose only
Image used for representational purpose only

NEW DELHI: At least 43 more airports will get regular flights under the Regional Connectivity Scheme (RCS), which would increase operational airports from currently active 75 airports to 118, Minister of State for Civil Aviation, Jayant Sinha said on Thursday.

Terming the RCS also called UDAN ``Ude Desh Ka Aam Nagrik’’ as a game changer, Sinha said many bidders are companies, who are looking at operating scheduled flights for the first time under the RCS project, said Sinha.

Sinha said the government has received bids from 11 bidders for 43 airports which would offer RCS services to over 190 air routes.

"We hope to have the first regional flight in February as several airports like Jaisalmer and Coochbihar are ready," the minister said adding that 16 airports in southern India, 32 in western India, 21 in north, 12 in east and 11 in north-eastern regions are proposed to be connected under the RCS.

The deadline for submitting initial proposals came to an end on January 17. Counter-bids have now been invited against these initial proposals and the last date of submission for which is February 1, 2017. The bids for routes will be decided by February 3.

The initial proposals under the bidding covered as many as 65 airports, of which there are 52 un-served and 13 under-served airports as per the provisions of the scheme, according to an Airport Authority of India (AAI) official.

The AAI is an implementing agency for RCS, which is aimed at connecting remote areas of the country. The RCS project, which would be in operation for a period of 10 years aims to connect remote un-served and under-served regions of the country through the revival of the existing airstrips and airports.

The routes or networks will be awarded to the bidders who quote the lowest requirement of Viability Gap Funding (VGF) against such routes, the AAI has said.

To give it a push, the government is offering a financial stimulus through concessions like free parking of planes at airports, navigation and airport charges besides offering airlines with Viability Gap Funding (VGF) to kick-off operations from the unserved and underserved airports.

The difference in cost of operations borne by a carrier for covering underserved or unserved airports under RCS will be compensated through the VGF.

The VGF will be available for three years for airlines flying under RCS, followed by a two-year cooling-off period. It will be limited to nine seats for a 12-seater aircraft and a maximum of 40 seats for larger aircraft.

The government had launched the RCS on October 21 last year and was a key component of the National Civil Aviation Policy (NCAP) which was released on June 15 last year.

In the first phase, the government plans to make 60 airports -- 10 owned by AAI and 50 by state governments -- operational over the next three years.

The fare for a one hour journey of approximately 500 km on a fixed wing aircraft or for a 30-minute journey on a helicopter has been capped at Rs. 2,500 under the scheme, with proportionate pricing for routes of different lengths and duration.

Related Stories

No stories found.
The New Indian Express
www.newindianexpress.com