Airports in Tier-II cities are not financially viable after end of UDAN scheme: Karnataka Minister M.B. Patil

Karnataka Minister M.B. Patil highlights financial challenges for Tier-II city airports post-UDAN scheme; proposes extending support for viability.

Airports in Tier-II cities and district headquarters have proved to be not financially viable after the end of the UDAN scheme, Industry and Infrastructure Development Minister M. B. Patil said in the Legislative Assembly on Friday.

Replying to a question by BJP member G. Janardhana Reddy, Mr. Patil said airports in Tier-II cities such as Kalaburagi, Bidar and Shivamogga are not financially sustainable after the completion of the three-year incentive period under the scheme, which provides concessional airfares to passengers.

Noting that several airports located in district and divisional headquarters across the country are facing similar financial challenges, he said the airport at Bidar is currently operating with financial support from the Kalyana Karnataka Region Development Board (KKRDB). There has also been a demand to resume operations at the Kalaburagi airport with similar support from the Board, he added.

To improve the viability of district airports, Mr. Patil said he had proposed to the Union Civil Aviation Minister that the UDAN scheme be extended from three years to five years. For the subsequent five years, the Centre and the State governments could jointly support operations in a 50:50 ratio, he suggested.

He also said the State government is planning to introduce an aviation policy — on the lines of those adopted by Madhya Pradesh and Uttar Pradesh — to develop airports in Tier-II cities and make them financially viable.

The government intends to establish an airport in Ballari to serve the regions of Vijayanagara and Koppal districts as well as neighbouring areas of Andhra Pradesh.