Lok Sabha Question No. 383 (STARRED), answered on 2026-03-19
Subject: Strengthening of Regional Air Connectivity
Ministry: CIVIL AVIATION
Asked by: Shri Kanwar Singh Tanwar

## GOVERNMENT OF INDIA MINISTRY OF CIVIL AVIATION

## LOK SABHA

## STARRED QUESTION NO. : 383

( TO BE ANSWERED ON THE  19th March 2026 )

## STRENGTHENING OF REGIONAL AIR CONNECTIVITY

383.    SHRI KANWAR SINGH TANWAR Will the Minister of CIVIL AVIATION

be pleased to state:-

(a)  whether  any  provisions  have  been  made  in  the  Union  Budget  2026-27  to strengthen regional air connectivity and airport infrastructure development with the objective of promoting tourism, facilitating trade and investment, improving last-mile  and  inter-regional  connectivity  and  supporting  balanced  regional economic growth in the country;

(b)  if  so,  the  details  of  the  Government's  strategy  regarding  expansion  and upgradation of airports, strengthening of air traffic management and navigation services,  modernization  of  passenger  and  cargo  handling  facilities  and  policy and financial support for regional airline operations under regional connectivity initiatives; and

(c)  the  measures  taken/proposed  to  be  taken  by  the  Government  to  ensure affordability of regional air travel, maintain high safety and security standards, enhance the operational viability of regional routes and encourage sustainable growth of regional aviation services?

## ANSWER

Minister of CIVIL AVIATION                      (Shri Kinjarapu Rammohan Naidu) (a) to (c): A statement is laid on the Table of the House.

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## STATEMENT REFERRED TO IN REPLY TO PARTS (A) TO (C) IN RESPECT  OF  LOK  SABHA  STARRED  QUESTION  NO.  383  FOR REPLY ON 19.03.2026 REGARDING 'STRENGTHENING OF REGIONAL  AIR  CONNECTIVITY'  ASKED  BY  SHRI  KANWAR SINGH TANWAR

(a) to (c): The Government has announced the introduction of a Seaplane VGF Scheme to provide support for Seaplane operations in the Union Budget 202627  to  strengthen  regional  connectivity  and  promote  tourism.  The  scheme  is currently at formulation stage.

The Government  has taken various steps for expansion of the airport infrastructure  in  the  country,  which,  inter-alia,  include  grant  of  In-Principle' approval for construction of new Greenfield airports, upgradation and modernisation  of  existing  airports  by  Airport  Operators  including  Airports Authority of India, development/revival of unserved/underserved airports under Regional Connectivity Scheme (RCS) - UDAN (Ude Desh Ka Aam Nagrik) and promoting private investments in existing and new airports through the Public Private Partnership (PPP).

Expansion, Modernisation and development of airport infrastructure including strengthening  air  traffic  management,  modernisation  of  passenger  and  cargo handling facilities, is a continuous process, which is undertaken by the Airports Authority of India (AAI) and the other Airport Operators/Developers concerned depending upon traffic demand, commercial feasibility, operational requirements  for  safety  of  aircraft  operation  and  demand  from  airlines  etc. Development  works  are  taken  up  in  a  phased  manner  depending  upon availability  of  land  and  viability,  as  well  as  other  facilities  with  reference  to intended aircraft operations.

To ensure the affordability of regional air travel, the UDAN scheme provides financial incentives to airline operators on regional routes that include: Concessions by the Central Government, State Governments/ Union Territories and airport operators to reduce airline operation costs and also the Viability Gap Funding  (VGF)  to  bridge  the  gap  between  operational  costs  and  expected revenues  on  such  routes.  The  airfare  on  the  RCS  seats  on  which  VGF  is provided  to  the  Selected  Airline  Operators  (SAOs)  is  capped  at  a  subsidized rate.  The  above  measures  aim  to  strengthen  affordability,  accessibility  and overall passenger convenience  in the aviation sector,  thereby  promoting regional development and economic growth.

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