Phase 3 Of UDAN Scheme Likely To Begin Next Month: Report


The Ministry of Civil Aviation said that it would possibly announce the third phase of the UDAN scheme extending the Modi government’s regional air connectivity scheme to temple towns like Hampi in Karnataka, Mahabodhi temple in Bihar, Ajanta and Ellora in Aurangabad, according to a report in the The Financial Express.

Minister of state for civil aviation Jayant Sinha said that the bids for these routes would be invited from September and the winners will be announced in October. The scheme allows airlines to sell tickets to destinations on special rates.

For routes that can be covered under one hour of flight time, fares are capped at Rs 2,500 for 50 percent of the seats. These seats are subsidized with the help of the viability gap funding (VGF) provided by the Ministry of Civil Aviation.

For routes that are popular tourist attractions, the VGF is provided by the Ministry of Tourism. The government has auctioned 630 routes under Udan, which include routes for helicopters.  Read More

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