To boost connectivity in the northeastern states, the Union Government 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 (RCS) UDAN scheme.
"The ministry has also recognised one water aerodrome location that is up for bidding in the region," the Ministry of Civil Aviation (MoCA) said in a statement on Friday (6 December).
Besides, the ministry under UDAN 4.0 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," read the statement.
(The story has been published via a syndicated feed, only the headline has been changed.)
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