Tuesday, March 07, 2017

Cheaper flights on anvil: Government to declare UDAN bid results by March 15

The government will likely announce the winners of its regional connectivity scheme UDAN by March 15, CNBC TV18 reported citing unidentified sources.
It said that 11 companies were learnt to have submitted the bids operating subsidised flights on 200 routes across the country, covering 43 airports.
The government had invited bids from carriers to start regional flights at a discount on routes and airports that are underserved, in order to facilitate cheaper connectivity for a larger section of the society.
The government will choose the eligible airlines to operate flights under UDAN scheme through a reverse bidding process, where the airlines will claim government subsidies and tax incentives in return for flying at tariffs which will be capped.
Reportedly, the 11 airlines that had submitted bids under the scheme include Air India, Spicejet and TruJet, which have small aircraft which are most suitable for operating regional flights. Others who submitted bids included mostly unscheduled and charter operators.
06/03/17 The Financial Express