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Business Economy


Round 4 of RCS-UDAN launched; Focus on NE, hilly states, J&K, Ladakh

New Delhi, Dec 3 (UNI) The Civil Aviation Ministry has launched the fourth round of Regional Connectivity Scheme (RCS)- Ude Desh Ka Aam Nagrik (UDAN) to further enhance the connectivity to remote and regional areas of the country.
Focus of this round would be the priority areas like NER, Hilly States, J&K, Ladakh and Islands. Some of the key features of the Scheme are:
The provision of Viability Gap Funding (VGF) for Category 2 / 3 aircraft (more than 20 seater) has been enhanced for operation of RCS flights in priority areas of Ladakh and Jammu and Kashmir; Himachal Pradesh, Uttrakhand, North Eastern state; Lakshadweep and Andaman & Nicobar.
The VGF cap applicable for various stage lengths for operation through category 1 / 1 A aircraft (below 20 seater) has also been revised to further incentivize the operation of small aircraft under the Scheme.
The provision of VGF would be restricted for routes with stage length up to 600 kms, for operation of Category 2 / 3 aircraft, beyond it no monetary support would be provided. The table for provision of VGF for various stage lengths would be available for stage length up to 500 kms.
Airports that has already been developed by AAI would be given higher priority for award of VGF under the scheme, followed by airports not part of the above list but located priority areas would be given a priority, followed by airports located in areas other than priority areas.
Under the scheme, the Selected Airline Operator (SAO) would be allowed to change the frequency of flight operation, during the tenure of flight operation of the given route, provided that the total scheduled flight operation submitted as part of the Technical Proposal, is conformed and adhered to within a period of one year.
The operation of helicopter and sea plane would also be allowed under this round, the government said on Tuesday.
The AAI invites interested bidders/airline operators to take part in the bidding process.
UNI SW SHK1843
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