The Ministry of Civil Aviation (MoCA), on Friday, released a bid document for the fifth phase of the regional air connectivity scheme — Ude Desh ka Aam Naagrik (Udan).
Under the new phase, only aircraft operations of Category 2 (20–80 seats) and Category 3 (>80 seats) will fall with no restriction on the distance between the origin and destination.
The Ministry has specified that only network and individual route proposal proposed by airlines will be considered for this bid.
As per details, Airlines need to submit a business plan within two months after LoA is awarded.
Also, the Ministry will not award the same route to a single airline more than once, whether in different or same networks. The selected airline is required to commence operations within four months of the award of the route. The bidding document shows that 25 percent of the Performance Guarantee will be encashed for each month of delay up to four months.
Moreover, the stage length cap of 600 km is now waived off with Viability Gap Funding increased to 600 km from 500 km earlier. The bid document shows that 25 percent of the Performance Guarantee will be encashed for each month of delay up to four months.
Media reports earlier suggested that the Civil Aviation Ministry has identified over 50 new destinations for the next phase of the scheme that will aim to add or revive airstrips, heliports and sea aerodromes closer to wildlife sanctuaries, tourist destinations or spiritual places in far-off places.
Usha Padhee, former Additional Secretary for the Ministry of Civil Aviation had described the new Udan phase saying, "With UDAN 5.0. we are going from regional to remote connectivity. This will be a demand-driven scheme."
First Published: Apr 21, 2023 3:45 PM IST
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