The government has garnered more than Rs 1.15 crore towards funds for the regional air connectivity scheme, Civil Aviation Minister Ashok Gajapathi Raju has said.
The ambitious Regional Connectivity Scheme (RCS) seeks to connect un-served and under-served airports as well as make flying more affordable. It has also set up the RCS fund which would be utilised for providing viability gap funding to airlines participating in the scheme.
In a written reply to the Lok Sabha, Raju said that till date, “an amount of Rs 1,15,42,000 has been received” under the RCS fund.
An amount of up to Rs 8,500 is being levied from scheduled airlines operating in major routes to raise money towards the RCS fund. The Civil Aviation Ministry started collecting the levy from December 1, 2016. The Federation of Indian Airlines (FIA) has already challenged the collection of levy from carriers for the RCS fund in court.