Decision to Provide Per Seat Viability Gap Funding for Solapur–Pune–Mumbai Air Route

[Special Correspondent]

Mumbai:
For the Solapur–Pune–Mumbai air route, on the lines of the UDAN scheme, approval has been given in the Cabinet meeting held today to provide viability gap funding (VGF) per seat for one year. The meeting was chaired by Chief Minister Devendra Fadnavis.

The Central Government has started the UDAN (Regional Connectivity Scheme) with the aim of making air travel affordable for common citizens. This scheme will also be implemented for Solapur Airport. Until this scheme is implemented, for one year, viability gap funding will be made available at the rate of ₹3,240 per seat (100% VGF). This will help reduce air travel fares on the Solapur–Pune–Mumbai route.

According to this decision, Star Air Company will be provided this viability gap funding per seat for the Solapur–Mumbai and Solapur–Pune air routes. For this, a provision of ₹17,97,55,200 will be made.

Once the UDAN scheme is implemented for this airport, the funding given by the State Government will be stopped and 20% viability gap funding will be given as per the Central Government’s UDAN scheme.

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