Lok Sabha Question No. 2675 (UNSTARRED), answered on 2022-03-17
Subject: Airports under UDAN Scheme
Ministry: CIVIL AVIATION
Asked by: Sisir Kumar Adhikari

## GOVERNMENT OF INDIA MINISTRY OF CIVIL A

(To be answered on the 17th March 2022)

## VIATION LOK SABHA UNSTARRED QUESTION NO. : 2675

## AIRPORTS UNDER UDAN SCHEME

## 2675. SHRI SISIR KUMAR ADHIKARI

## Will the Minister of CIVIL AVIATION

be pleased to state:-

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- (a) whether: the Government has started UDAN scheme under Regional Connectivity Scheme (RCS) and if s0, the details thereof;
- the details of flights operating from UDAN airports to other airports with benefits given to airlines and other companies since the year 2018 to October, 2022; and along
- (b) the details of airports which are presently developed under UDAN scheme and new airports therein;, if any;
- (d) the details of comparative fare chart;, distance-wise?

## ANSWER

Minister of State in the Ministry of CIVIL AVIATION

(GEN: (DR) V. K. SINGH (RETD))

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(a) to (C): Ministry %f Civil Aviation has launched Regional Connectivity Scheme (RCS)-UDAN (Ude Desh ka Aam Nagrik) on 21-10-2016 to enhance regional air connectivity from unserved and underserved airports in the country and making air travel affordable to the masses. UDAN is a;market driven scheme. Interested airlines based on their assessment of demand on particular routes; submit their proposals at the time of bidding under the UDAN scheme:

An airport which is included in the awarded routes of UDAN and requires upgradation development for commencement of RCS operations, is developed under "Revival of unserved and underserved airports" scheme: Airports Authority of India(AAD); the Implementing Agency has identified 154 RCS airports including 14 water aerodromes and 36 helipads under UDAN for operation of RCS flights and 66 airports have been operationalized so far: Airports Authority of India(AAD); the Implementing Agency, has awarded 948 routes; out of which, 409 routes have been operationalized under UDAN scheme as on 14.03.2022.

Financial incentives in terms of concessions from Central; State Governments and airport operators are extended to Selected Airline Operators to encourage operations from unserved/underserved airports/heliportshwater aerodromes and to keep the air fare affordable: These include:

## Concession offered by the airport operators are as follows:

- ii) Airports Authority\_of India (AAI) shall not levy any Terminal Navigation Landing Charges (TNLC) on RCS Flights.
- 0) Airport operators shall not levy Landing and Parking Charges on RCS Flights:
- iii) Route Navigation and Facilitation Charges (RNFC) will be levied by AAI on a discounted basis 42.50% of Normal Rates on RCS Flights.
- iv) Selected Airline operators shall be allowed self-ground handling for operations under the Scheme at all airports:

## Concession offered by Central Government are as follows:

- ii) Selected Airline Operators will have the freedom to enter into code sharing arrangements with both domestic-as well as international airlines:
- i) Excise Duty at the rate of 2% shall be levied on Aviation Turbine Fuel (ATF) purchased by selected Airlines Operators from RCS Airports for initial period of thee (3) years from the date of notification of this scheme
- (abatement of 90%) of tickets for RCS Seats on RCS Flight for an initial period of ] year from notification of the Scheme:

as follows:

- 1) Reduce Value Added Tax (VAT) to 1% or less on ATF at RCS Airports located within the states for a period of 10 years
2. development of RCS Airports and provide multi-model hinterland connectivity as' required
3. iv) Providing, or cause to be provided, electricity, water and other utility services at substantially concession rates at RCS Airports
4. iii) Provide security and fire services free of cost at RCS Airports
5. Provide a certain share (20% for States other; than North-Eastern States where the ratio will be 10%) of Viability Gap Funding (VGF) determined.

The Viability Funding (VGF) disbursed to the Selected Airline Operator (SAOs) under UDAN from F.Y. 2018-19 to F.Y. 2021-22 is as under:Gap

FY 2019-2020:- Rs. 681.28 crore

FY 2018-2019:- Rs. 145.73 crore

FY 2020-2021:-Rs. 339.52 crore

FY 2021-22 (as on 28 Feb 2022): Rs. 515.13 crore

- (d): While launching the UDAN Scheme in 2016, the Government had targeted the indicative Airfare at Rs. 2500 for 4 distance of 500 km to 600 km per RCS seat under Regional Connectivity routes (equivalent to one-hour flight): This airfare is subject to indexation as per the formula specified in the UDAN Scheme document. Latest airfare chart included in UDAN 4.1 Scheme document is attached as Annexure.

## Statement referred to in reply to Lok Sabha Unstarred Q. No. 2675 dated 17.03.2022 regarding Airports under UDAN Scheme"

Fixed UDAN 4.1 Wing

| Stage Length (km)   | Airfare Caps* (INR)   |
|---------------------|-----------------------|
| 1-50                | 1884                  |
| 51-75               | 1884                  |
| 76-100              | 1884                  |
| 101-125             | 1884                  |
| 126-150             | 1884                  |
| 151-175             | 1884                  |
| 176-200             | 1991                  |
| 201-225             | 2097                  |
| 226-250             | 2216                  |
| 251-275             | 2324                  |
| 276-300             | 2429                  |
| 301-325             |                       |
| 326-350             | 2655                  |
| 351-375             | 2761                  |
| 376-400             | 2880                  |
| 401-425             | 2987                  |
| 426-450             | 3092                  |
| 451-475             | 3212                  |
| 476-500             | 3319                  |
| 501-525             | 3319                  |
| 526-550             | 3438                  |
| 551-575             | 3558                  |
| 576-600             | 3677                  |
| 600-625             | 3711                  |
| 625-650             | 3829                  |
| 650-675             | 3959                  |
| 675-700             | 4075                  |
| 700-725             | 4192                  |
| 725-750             | 4309                  |
| 750-775             | 4426                  |
| 775-800             | 4543                  |
| >800                | 4543                  |

Subject to indexation:

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