Airlines may get fuel subsidy if they operate flights in State

The State government is considering extending fuel subsidy to airline companies to operate flights to Mysore, Bangalore and Hubli and also upcoming airports in tier-II cities, including Gulbarga, Shimoga, Bellary and Bijapur.

Infrastructure Development Minister Sunil Valyapure told The Hinduhere on Friday that some private airlines had approached the State government seeking subsidy to operate services in the State as it had become unviable for them to operate flight at the present costs.

While the State government was ready to offer fuel subsidy for airlines operating within Karnataka, Mr. Valyapure said the demand of the airlines to extend the benefit to flights to other cities in other States touching airports in the State was not acceptable.

Asked about the quantum of fuel subsidy, Mr. Valyapure said the government had not decided on it. He said private airlines such as SpiceJet and others were in talks in this regard. Apart from this, another private airline from the U.S. had written to the government evincing interest in operating smaller aircraft service in the State.

On the problems in getting clearance for the proposed airport at Shimoga, owing to the presence of tall chimneys within its vicinity making it risky for flights, Mr. Valyapure said the government had released Rs 1.8 crore for the payment of compensation for removal of the chimneys.

On the inordinate delay in completing work on the Gulbarga airport, Mr. Valyapure said the Regional Airport Holdings International (RAHI) had sought extension up to March 2013 to complete the work.

Mr. Valyapure said that he had met the Union Civil Aviation Minister Ajit Singh and discussed the issue. The Union Minister had assured that he would talk to the GMR, which is operating the Rajiv Gandhi International Airport in Hyderabad and try to relax the provisions to allow the operation of civilian aircraft from Bidar.

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