Know how many airports got revived under the UDAN scheme

Know how many airports got revived under the UDAN scheme

Government’s statement

Minister of State for Civil Aviation V.K. Singh in a written reply to L. Hanumanthaiahin in Rajya Sabha on Wednesday (July 28, 2021) informed that around INR 17,784 crore has been spent by the government/Airports Authority of India during the last five years (FY 2016-17 to FY 2020-21) to renovate, build airports.

The Minister further informed that the government has accorded ‘in-principle approval for setting up of two Greenfield Airports across the country namely Jewar (2018) in Uttar Pradesh and Hollongi (2019) in Arunachal Pradesh during the last three years. Ministry of Civil Aviation also launched Regional Connectivity Scheme (RCS) – UDAN (Ude Desh ka Aam Nagrik) on October 21, 2016, to stimulate regional air connectivity.

Thiruvananthpuram airport

Note that an airport that is included in the awarded routes of RCS – UDAN and requires up-gradation/development for commencement of RCS operations, is developed under the “Revival of unserved and underserved airports” scheme. Under the RCS-UDAN scheme, 59 airports including 2 water aerodromes and 5 heliports have been revived/operationalized as of July 20, 2021.

More privatisation

Additionally, the Airports Authority of India (AAI) has recently awarded six airports namely Ahmedabad in Gujarat, Jaipur in Rajasthan, Lucknow in Uttar Pradesh, Guwahati in Assam, Thiruvananthapuram in Kerala and Mangaluru in Karnataka for Operations, Management and Development under Public Private Partnership (PPP) for a period of 50 years.  

Proposed look of Jewar airport

He further added that AAI will get back their investment in these six airports to the tune of INR 2299 crore as upfront payment. AAI will also get the Per Passenger Fee, indexed to the Consumer Price Index (CPI), from the PPP Partner. Post PPP, the estimated net benefits accruing to AAI are more than the net benefits that AAI would have got had it operated the six airports on its own. AAI is not required to incur any CAPEX and OPEX at these airports during the lease period.

Meanwhile, Mr Singh also stated that to push the aviation ecosystem in domestic aircraft manufacturing, the Ministry is engaging with leading aircraft and component manufacturers and encouraging them to enhance their design, manufacturing, maintenance and warehousing footprint in India. The ministry is also encouraging the manufacturing of aircraft, including regional transport aircraft, trainer aircraft and associated equipment by public and private enterprises in India.

Operational stats

Under the RCS-UDAN scheme, 59 airports including 2 water aerodromes and 5 heliports have been revived/operationalized as of July 20, 2021. Ever since the airport in Kalaburagi in Karnataka opened in November 2019, it has reported the highest growth in passenger traffic despite the impact of COVID-19 on the overall aviation industry.

Kalaburagi airport

Kalaburagi, which comes under UDAN, is not alone. Airports in Jharsguda, Hubli, Belgavi, and Kishangarh are among the handful few who have seen passenger traffic soaring above pre-COVID-19 levels. A recent report by Kotak Institutional Equities listed 12 such airports that have “become relevant over the past few years through the regional connectivity scheme”. None of the airports in metros has compared to the recovery seen in their smaller peers.

Responses

  1. I Believe UDAN (Ude Desh ka Aam Naagrik) Intial ObjeCtive was that coMmon people can also TRAVEL In flight but I Didnot see it HAPPENING. Scheme was launched in 2016 but progess is very very slow. poor infrastructure,dominance by larger airlines and degradation of regional airlines, slow implementation that plague this scheme.
    Under UDAN 4.1, which will cover cancelled and terminated routes besides new destinations, 392 routes have been proposed, bidding for which is expected to be complete in six weeks.

    Lets hope for the best that !!

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