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GOVERNMENT OF INDIA
MINISTRY OF CIVIL AVIATION
LOK SABHA
UNSTARRED QUESTION NO: 1266
ANSWERED ON:  09.02.2017
Status of UDAN Scheme
POONAMBEN HEMATBHAI MAADAM
BHARAT SINGH
SURESH KODIKUNNIL
MANSHANKAR NINAMA
V. SATHYABAMA
T.G. VENKATESH BABU
UDIT RAJ
SAUGATA ROY
MAULANA BADRUDDIN AJMAL
SULTAN AHMED
ELUMALAI VELLAIGOUNDER
C. MAHENDRAN
S. RAJENDRAN
JAYSHREEBEN PATEL
(ADV.) JOICE GEORGE
SANJAY(KAKA) RAMCHANDRA PATIL
MUTHAMSETTI SRINIVASA RAO (AVNTHI)
KOTHA PRABHAKAR REDDY
Will the Minister of



CIVIL AVIATION be pleased to state:-


(a) the current status of implementation of Ude Desh Ka Aam Nagrik (UDAN) Scheme to provide regional air connectivity in the country including the subsidy and concessions/provided under the scheme and funds allocated, released and spent so far in this regard;

(b) whether the Government has assessed issues like funding pattern, slot availability under the scheme, if so, the details thereof including list of places identified for air operations;

(c) whether the Government proposes to develop small airports and operate smaller aircraft, helicopter services under the scheme, if so, the details thereof;

(d) whether most of the domestic airlines have refused to charge a levy on air tickets that would finance the regional connectivity fund even as the Centre wants to start services under the Regional Connectivity Scheme by March, 2017 and if so, the details thereof and the ways explored by the Government for funding the scheme;

(e) whether the Government has received several bids
to fly on routes under the Regional Connectivity Scheme and if so, the details thereof;

(f) whether fares have been capped at Rs. 1200/- for half-an-hour flight and Rs. 2500/- for an hour long flight under the new aviation policy and if so, the details thereof; and

(g) the steps taken by the Government to expand aviation sector and strengthen aviation infrastructure to implement the scheme successfully?


ANSWER
Minister of State in the Ministry of CIVIL AVIATION

(Shri Jayant Sinha)

(a) & (b): Ministry of Civil Aviation (MoCA), Government of India launched the Regional Connectivity Scheme (RCS)-UDAN on 21st October, 2016. The e-bidding process has already been started to select airline operator for mounting RCS operations. A Regional Connectivity Fund (RCF) has been created to provide Viability Gap Funding (VGF) by the Government of India. The Central Government has imposed levy on some category of the scheduled domestic flights being operated in India to fund the RCF. No funds have been released to airline operator under the Scheme. Slot allocation is done as per Slot Allocation Policy.;

(c): The construction of airport is demand driven, depending on firm demand from the airline operators and where the State Government agrees to provide various concession envisaged in the Policy.;

(d): Federation of Indian Airlines has filed a case in the Hon''ble Delhi High Court and as such the matter is sub-judice at present. However, Hon''ble court has not granted any stay on levy.;

(e): Yes madam. List of unserved/ underserved airports is at Annexure- I. ;

(f): Airfare cap under RCS-UDAN for fixed wing aircraft ranges from Rs. 1420/- for 151 kilometers to Rs. 3500/- for >800 kilometers. Airfare caps specified for various stage lengths for fixed wing aircraft / flight duration for helicopters is at Annexure-2. The applicable VGF caps for operations through Category-1, Category-2 and Category-3 fixed wing aircraft for a particular stage length or for operations through helicopters for a particular flight duration is at Annexure-3.;

(g): MoCA has signed Memorandum of Understanding (MoU) on RCS-UDAN with 16 State Governments / UTs to provide concessions as mentioned in the Scheme. The bidding process has already been started to select airline operators for RCS operations. Directorate General of Civil Aviation (DGCA) has issued Civil Aviation Requirement (CAR) for Scheduled Commuter Operations. A statement indicating State Governments who signed MoU on RCS-UDAN is attached as Annexure-4.



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