44 high potential regional connectivity scheme airports in India: Report

With a proactive and close collaboration between government entities, regulatory authorities and operators, there's a high probability that this initiative may widen the aviation grid of India

GN Bureau | January 16, 2017


#FICCI   #National Civil Aviation Policy   #Airport   #KPMG  

As many as 44 high potential RCS airports have been identified from among 414 airfields available in India, said a report.

The FICCI-KPMG report has presented over 370 possible destinations from the high-potential RCS airports, the projected financial statements for four aircraft types and suggestions for further improvement of the scheme. The proposed airports and routes are indicative in nature and potential operators shall have to undertake a thorough due-diligence before taking any business decision.

With a proactive and close collaboration between government entities, regulatory authorities and operators, there's a high probability that this path-breaking initiative may widen the aviation grid of India; bring in additional traffic, revenue and profits; create direct and indirect employment; and facilitate economic development in the interiors of India.

Read: Regional Connectivity Scheme (RCS) for Civil Aviation: Roadmap for sustainable operations


India's Regional Connectivity Scheme (RCS) was introduced as part of the National Civil Aviation Policy in June 2016 and was formally launched in October 2016. The scheme provides a unique opportunity to take flying to the masses by way of fiscal incentives, infrastructure support, procedural simplifications and monetary subsidies.

The report said that RCS is highly profitable for a 48 and 78 seater aircraft operator. The key challenge would be to identify routes that provide the presumed seat factors.

It added that thanks to a growing economy, fall in ATF prices and a heavily under-penetrated market, Indian aviation is growing at a very high rate of over 20% per annum. A significant part of this growth is coming from people in the interiors of India who today have to travel by road or rail to reach the nearest hub airport.

India has a bold ambition of becoming the third largest aviation market by 2020 and the largest by 2030. This will require aviation to be taken to the interiors of India, by way of affordable and innovative solutions.

Read: Rough weather ahead for UDAN


 

Comments

 

Other News

Freedom of press in India is a myth: Tewari

Sections of the news media have degenerated into becoming the pet performing poodle of the government, says Manish Tewari, former information and broadcasting minister and a member of the Lok Sabha. In a webinar chat with Kailashnath Adhikari, MD, Governance Now, on Friday as part of the Vis

In free fall: Close to 1 lakh Covid-19 cases a day

India has been hitting upwards of 90,000 fresh cases of Covid-19 every day for some time now, as the virus continues to spread amid further Unlock. The recoveries, on the other hand, are also creating new records. The country recorded 96,424 new cases of infection – the highest single-

India has new record of recoveries – but new cases remain high too

India once again registered 90,000-plus fresh cases of Covid-19 in a day, even as the number of recoveries too registered a new high – 82,961. The number of those who have recovered so far is now nearly four times higher than the number of active cases. India continues to record a spat

“In financial sector, governance is the key”

The fall of financial institutions is largely a result of governance failures and company board members must ensure checks and balances for the larger ecosystem, says entrepreneur Shachindra Nath, executive chairman and managing director, U GRO Capital. In an webinar chat with Kailashnath Ad

More discussion in parliament beneficial for country: PM

As parliament on Monday commenced its special session amid the raging Covid-19 pandemic, prime minister Narendra Modi underlined the importance of debate in the house, saying that it is “beneficial” for the country. “Several important decisions will be taken in this session

`My Family, My Responsibility`: Mumbai campaign to spread Covid awareness

As coronavirus refuses to abate, Maharashtra has become the first state in India to cross 1 million mark in terms of confirmed cases and stares at shortage of medical oxygen. Every day 2,000-3,000 new patients require oxygen support across the state. Those in a critical condition need 40-60 litres of oxyge

Governance Now Tech Masterclass State Governments

Archives

Current Issue

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter