AAI to invite bids under Udan scheme's 4th round of bidding from Tuesday

The Airports Authority of India (AAI) from Tuesday will take bids from airlines for various routes under the fourth round of bidding of its regional connectivity scheme Udan, according to a government press release. Under the scheme, financial incentives in terms of concessions from the Centre, state governments and airport operators are extended to selected airlines to encourage operations from unserved and undeserved airports, and keep airfares affordable.

"The Airports Authority India (implementing agency) on behalf of the Ministry of Civil Aviation invites e-Proposals (Bids) from interested bidders for selection of airline operators under the Regional Connectivity Scheme-UDAN in 4th round of bidding," the release said. According to a senior government official, "Udan 4.0 window for bidding will be opened tomorrow (Tuesday) morning only".

Till date, under the Udan scheme, total 688 routes connecting 137 cities have been awarded to airlines. On November 28, Civil Aviation Minister Hardeep Singh Puri told Lok Sabha that flight operations have begun on 232 routes - connecting 43 small cities - out of total 688 routes awarded under Udan scheme.

The Centre had launched the scheme on October 21, 2016, to stimulate regional air connectivity by making it affordable.