Cabinet approves development of 50 un-served and under-served airstrips

Mar 7, 2017 11:55 IST

The Cabinet Committee on Economic Affair (CCEA) on 6 March 2017 approved the proposal for revival of 50 un-served airports and airstrips of the state governments, Airports Authority of India and Civil enclaves.

These 50 airports and airstrips will be revived in three financial years starting from 2017-18. The total cost of the project is estimated to be 4500 crore rupees.

The approval was granted at the CCEA meet held in New Delhi under the chairmanship of Prime Minister Narendra Modi.

Union Government launched UDAN for Regional Air Connectivity

Details of revival in accordance to different financial years

• Revival in the financial year 2017-18: 15 airports and airstrips each would be revived

• Revival in the financial year 2018-19: 15 airports and airstrips each would be revived

• Revival in the financial year 2019-20: 20 airports and airstrips each would be revived

Outcome of the approval

• This approval will help in connecting small cities and towns with flights. This could be achieved by commencing operation of flights to these under-served and un-served airports.

• It will help in bring the economic development on these areas as well as surrounding areas, as it will help in job creations and development of related infrastructure.

• The revival of airstrips and airports will be demand driven, depending upon the firm commitment from airline operators as well as from the State Governments for providing various concessions as Airports will be developed without insisting on financial viability.

Background

The plan of the revival of the under-served and un-served airports from across the nation was announced by the Finance Minister Arun Jaitley in the Union Budget 2016-17.

Union Budget 2017-18, Economic Survey 2016-17 and State Budgets 2017-18

Earlier in 2016, the Union Government unveiled its ambitious regional connectivity scheme, UDAN ('Ude Desh Ka Aam Naagrik'). The scheme was announced to make flying more affordable by capping the fares at Rs 2500 for one-hour flights.

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