City
Epaper

Bids invited for services to 30 airports in Northeast

By IANS | Updated: December 6, 2019 22:45 IST

To boost connectivity in the northeastern states, the Centre has invited bids from companies to provide air services to 6 underserved and 24 unserved airports under the fourth round of the regional air connectivity Udan scheme.

Open in App

"The ministry has also recognised one water aerodrome location that is up for bidding in the region," the Ministry of Civil Aviation said in a statement on Friday.

"The move will not only boost tourism but will also transform economic situation of the region."

Besides, the ministry under Udan 4 scheme is providing additional Viability Gap Funding (VGF) of around 25 per cent extra to airlines.

As per the statement, the Centre will bear 90 per cent of VGF and remaining 10 per cent will be borne by state governments.

"MoCA aims to operationalise 1,000 routes and more than 100 airports in the next five years. This would be achieved by focusing on operationalising routes in priority areas," the ministry said.

"AAI would focus on developing the no-frills airports in the future and routes connecting such airports would be prioritised for the award of VGF. The market would be incentivised to develop short-haul routes only, providing connectivity to nearby airports."

On Tuesday, the Centre invited bids for the fourth round of the RCS-Udan scheme with focus on priority areas like the northeastern and hill states, the Union Territories of Ladakh and Jammu and Kashmir and islands.

The scheme provides various concessions to the selected airline operators to operate routes under the RCS-Udan from Centre and state governments. Accordingly, the fourth round of the scheme features revision of the VGF cap.

( With inputs from IANS )

Open in App

Related Stories

EntertainmentRiteish Deshmukh calls wife Genelia's Sitaare Zameen Par 'Best film of the year'

NationalOdisha is a shining star of India's rich heritage: PM Modi

Other SportsYoung Indian archery squad shine with nine medals at Asia Cup Singapore leg

NationalSisodia's questioning: Delhi BJP chief says many AAP leaders will land in jail soon

BusinessInflation eases further in May for India’s farm and rural workers

कारोबार Realted Stories

BusinessFM Sitharaman tells CBIC to simplify GST registration further, crackdown on tax evasion

BusinessMinistry of Finance addresses recent report on Swiss Bank Deposit

BusinessTaiwan's May exports reached a record high level, boosted by new tech

BusinessAfter Ahmedabad crash, Air India faces slew of passenger complaints on social media

BusinessBEL secures fresh orders worth Rs 585 crore since June 5