Abstract: The Ministry of Civil Aviation (MoCA), Government of India released the National Civil Aviation Policy 2016 (NCAP 2016). One of the objectives of NCAP 2016 is to “enhance regional connectivity through fiscal support and infrastructure development”.
RCS (Regional Connectivity Scheme), an initiative by Government of India through the MoCA (Ministry of Civil Aviation) is officially called as UDAN (Ude Desh ka Aam Naagrik). The objective of UDAN is "Let the common citizen of the country fly", and aimed to make air travel to India’s tier II and tier III cities affordable to the aam aadmi
The idea is to put smaller cities and remote regions on the aviation map, by getting domestic airlines to fly more regional routes. At the beginning of the scheme, out of total 486 airports, 406 were participating unserved airports, 27wellserved airports out of 62 non-RCS airports and 12 operational out of 18 participating underserved regional operational airports (Nov 2016) with regular fixed-wing scheduled flights. Scheme will add to this number by expediting the development and operationalisation of India's potential-target of nearly 425 unserved, underserved and mostly underdeveloped regional airports with regular scheduled flights.
This study highlights some of the opportunities and challenges of the RCS (Regional Connectivity Scheme), which are directly or indirectly impacting the Indian aviation (mainly airlines and airports) sector and economy in terms of infrastructure, job and investment opportunities for airlines and investors.
Keywords: National Civil Aviation Policy, RCS (Regional Connectivity Scheme), airlines and investors.
Title: IMPACT OF RCS ON INDIAN AVIATION & ECONOMY
Author: Shweta Yadav
International Journal of Management and Commerce Innovations
ISSN 2348-7585 (Online)
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