Logistics

15 airlines bid for 111 routes in third round of UDAN scheme auction

PTI New Delhi | Updated on January 07, 2019 Published on January 07, 2019

The central government has received bids for 111 routes from 15 airlines under the third round of auction for the UDAN scheme, a senior Civil Aviation Ministry official said on Monday.

The Ude Desh ka Aam Nagrik (UDAN) scheme is a subsidised low fare initiative to connect small cities and to help more people fly.

There were 15 airlines that have bid total 111 initial proposals, which were then placed in the counter bidding. Among these 15 airlines, six airlines participated in counter bidding and these six airlines put in a total of 17 counter proposals, the MOCA official said.

SpiceJet and IndiGo has bid for 37 routes and 20 routes in the third round of auctions. Ghodawat Enterprises Private Limited has bid for total 15 routes in this round.

The Centre did not include chopper routes under the third round of auctions as there have already been so many pending routes under UDAN-2 that have not been initiated, the official said. Under the second phase of the UDAN scheme, the government last year had auctioned various routes in the Northeast and hilly districts as chopper routes.

The government, in its bid to make flying more affordable for the masses, had in 2016 announced the UDAN scheme wherein the fares were capped at Rs 2,500 for a one-hour journey for connecting smaller towns.

Following this, five airlines got the licence to operate on 128 routes in the first round of auctions in March 2017, and 15 airlines on 325 routes, including those having chopper operations, in the second round in January this year.

Published on January 07, 2019
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