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DAILY NEWS ANALYSIS

GS-III :
  • 27 August, 2019

  • Min Read

Regional Connectivity

GS-III: Regional Connectivity

Context

Very few States in India have active civil aviation departments. Currently, the penetration of the aviation market in India stands at 7%. There is potential to be among the global top three nations in terms of domestic and international passenger traffic.

The passive role of states

  • Civil aviation is a Central subject and barely got significant attention from the States.
  • States had a passive role as the Central government continued the development of airports and enhancing air connectivity.

The increasing role of states:

  • The cooperation of States is seen as a major factor in the growth of the civil aviation sector.
  • Regional Connectivity Scheme, UdeDeshkaAamNaagrik (UDAN) has a built-in mechanism to develop stakes of State governments in the growth of the sector.
  • Thirty states and Union Territories have already signed memoranda of understanding with the Central government.
  • The policies of States and centres are now being interlinked to make flying accessible and affordable.

Air Development

  • There are many regional airports which can be developed by States on their own or in collaboration with the Airports Authority of India (AAI).
  • Different models of public-private-partnership can be leveraged to develop infrastructures.
  • Innovative models can be explored to create viable ‘no-frill airports’.
  • India had about 70 airports since Independence until recently. Under UDAN, the Union government has operationalised 24 unserved airports over the past two years; 100 more are to be developed in the next five years.

What is UDAN Scheme?

  • The scheme UDAN envisages providing connectivity to un-served and under-served airports of the country through the revival of existing air strips and airports.
  • UDAN has a unique market-based model to develop regional connectivity.
  • Interested airline and helicopter operators can start operations on hitherto un-connected routes by submitting proposals to the Implementing Agency.
  • The operators could seek a Viability Gap Funding (VGF) apart from getting various concessions.
  • All such route proposals would then be offered for competitive bidding through a reverse bidding mechanism and the route would be awarded to the participant quoting the lowest VGF per Seat.

Significance

The scheme gives India’s aviation sector a boost by giving a chance to small and first-time operators to be a part of the rapid growth in passenger traffic.

Conclusion

Considering the infrastructural constraints and difficult terrain, small aircraft operators need to be encouraged. Areas which cannot be connected meaningfully by road or rail have to be linked by air. Air connectivity would not only bring down travel time but also be a boon in emergencies. This is also true for northeast India, the islands and also the hilly States.

Source: The Hindu


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