Budget 2018: Regional air connectivity gets a push

Kochi: The Union Budget has come as a major push to the Kannur international airport which is ready for a grand take off with 12 airlines evincing interest to operate from there. The airport is the only one included in the UDAN scheme of the Central Government from the state and will be able to offer concessions to operators and fliers to attract them. The Central Government aims at increasing the number of fliers from the present 20 crore to 100 crore. The budget proposes developing 56 new airports and 31 helipads for the purpose. At present there are 75 airports.

“The budget lays thrust on developing infrastructure in the aviation segment. It also strengthens the UDAN scheme for improving regional connectivity. There are 500 flights conducting service in the country and 800 new ones are arriving and the domestic segment is changing for an intense competition. We can expect the fares to come down further. India will become the third largest aviation force in the world by 2025 which is foreseen in the Budget,” said V. J. Kurien, Managing Director, Cochin International Airport Limited (CIAL).

He, however, added that the expected cut in tax on aviation fuel has not happened in the budget which is not encouraging for the airlines. “There was expectation of clear guidelines on sharing of seats with foreign airlines which has also not happened,” he said.