Business Standard

Modi to flag off regional connectivi­ty plan today

- ANEESH PHADNIS Mumbai, 26 April

An Alliance Air ATR-42 aircraft with 15 passengers will take off from Shimla airport on 11:15 am on Thursday, signalling the launch of Regional Connectivi­ty Scheme (RCS).

Prime Minister Narendra Modi will flag off the Shimla-Delhi flight from the Himachal Pradesh capital and launch two other services (Kadapa-Hyderabad and Nanded-Hyderabad) under the government plan that aims to link unconnecte­d towns at affordable fares.

The Kadapa-Hyderabad and Nanded-Hyderabad flights will be operated by TruJet and minimum ticket rate on these two routes is ~1,000 one-way.

“We will operate the ATR-42 aircraft five times a week between Delhi-Shimla. The demand is positive and seats on the route are filling up fast,” said Alliance Air chief executive C S Subbiah. Alliance Air is a subsidiary of Air India.

Under RCS, an airline is bound to sell 50 per cent of the seats at subsidised fares. On Delhi-Shimla route, one-way ticket is priced at ~1,920. The ATR-42 aircraft has 48 seats but due to restrictio­ns at the Shimla airport, Alliance Air will only be able to fill 35 seats to Shimla and 15 seats on its return to Delhi. The highest fare on Delhi-Shimla route has been kept at ~20,000 one-way.

While a total of 70 airports have been selected under RCS, the launch from Shimla has a significan­ce. Despite being a state capital, Shimla lacked air connectivi­ty and a petition was filed in state high court demanding resumption of flights, which were suspended in 2012. The petition is in Supreme Court.

Alliance Air is seeking ~1.4 lakh per return flight from Himachal Pradesh government to cover its costs. The state government has as yet not accepted the demand but the airline is hopeful of a positive response.

“We will launch service on NandedMumb­ai route from May 15. Currently, we have four ATR-72 aircraft and we will increase our fleet to six by July-end. Totally, we have decided to operate on 18 routes,” said Vankayalap­ati Umesh, managing director of TruJet.

Under Regional Connectivi­ty Scheme, an airline is bound to sell 50 per cent of the seats at subsidised fares

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