Bids for 11 airports in J&K, Ladakh

Tribune News Service

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New Delhi, December 5

With a special focus on the North East region, hilly states, Jammu & Kashmir (J&K) and Ladakh, the government has recently opened bids for airports under the UDAN 4.0 scheme.

The bids include underserved 11 airports in J&K and two in the Ladakh region.

Officials in the Ministry of Civil Aviation, while informing about the decision taken on December 3, said the objective was to establish strong air connectivity and to boost the tourism sector. Under the UDAN 4.0 scheme, MoCA is also providing additional Value Gap Funding (VGF) of around 25 per cent extra to the airlines, which bids for the air routes.

As per the offer, the bids are invited for airports at Kargil and Thoise in Ladakh. In case of J&K the airports, which are available for bidding include Akhnur, Chamb, Chushal, Fukche, Gurex, Jhangar, Miran Sahib, Panzgam, Poonch, Rajouri and Udhampur.

The officials said besides the VGF, other incentives are also on offer, including excise duty at the rate of 2 percent on Aviation Turbine Fuel (ATF) for three years from the date of notification. “Up on transition to the GST, the rates will be applicable as determined under the GST and exemptions/concessions shall be given as permissible so that such a reduced level of taxation could ideally be continued,” a senior ministry official.

It is also informed that selected airline operators will have the freedom to enter into code-sharing arrangements with domestic as well as international airlines pursuant to applicable regulations and prevailing air service agreements.