Maha cabinet clears VGF for Solapur-Pune-Mumbai air route

Maharashtra Cabinet on Tuesday approved the provision of Viability Gap Funding (VGF) per seat for one year on the lines of UDAN scheme for the Solapur-Pune-Mumbai air route. 

Maha cabinet clears VGF for Solapur-Pune-Mumbai air route
Source: IANS

Mumbai, Aug 12 (IANS) Maharashtra Cabinet on Tuesday approved the provision of Viability Gap Funding (VGF) per seat for one year on the lines of UDAN scheme for the Solapur-Pune-Mumbai air route. 

 

“The Central government has launched the UDAN (Regional Connectivity Scheme) scheme to make air travel affordable for the common people. This scheme will also be implemented for Solapur Airport. Till the implementation of this scheme, funds will be made available as a feasibility gap at the rate of Rs 3,240 per seat (100 per cent VGF) for the year. This will help in reducing the Solapur-Pune-Mumbai air travel fare,” said the government release.

As per the cabinet decision, the VGF will be made available to Star Air Company on a per-seat basis for the Solapur-Mumbai and Solapur-Pune routes. A provision of Rs 17.97 crore will be made for this purpose. Once the UDAN scheme is implemented for this airport, the government funding will be discontinued, and a 20 per cent viability gap fund (VGF) will be provided as per the central government's UDAN scheme, said the release.

Minister of Food and Civil Supply Chhagan Bhujbal said the Chief Minister Devendra Fadnavis has directed the administration to study whether a similar VGF can be provided for launching flights on more routes, including Nashik Hyderabad, Nashik Ahmedabad and Nashik Bangalore.

Meanwhile, the state undertaking Maharashtra State Transport Corporation (MSRTC) has earned an income of Rs 137.37 crore from passenger traffic on the occasion of Raksha Bandhan and public holidays between August 8 and 11. 

Notably, on one day, on August 11, the MSRTC learned an income of Rs 39 crore from passenger traffic. This is a record income for this financial year, informed Transport Minister and Chairman of Maharashtra State Road Transport Corporation Pratap Sarnaik on Tuesday after the cabinet meeting.

Minister Sarnaik said every year MSRTC gets record income on the two days of Raksha Bandhan and Bhaubij (Diwali) due to a large amount of passenger traffic. 

As a result, for the past several years, MSRTC has been getting record income during the Raksha Bandhan festival. This year, there was a huge rush of passengers on Raksha Bandhan and its second day. On the day before Raksha Bandhan, on Friday, MSRTC earned Rs 34.86 crore, on Raksha Bandhan, Saturday, Rs 33.36 crore, and on Sunday, Rs 39.9 crore.

Minister Sarnaik said on the occasion of the Raksha Bandhan festival from August 8 to 11, 1.93 crore passengers travelled safely through state transport buses. Of the 1.93 crore passengers, nearly 88 lakh were women passengers.

Minister Sarnaik has expressed his gratitude for the large number of passengers who preferred to travel by state transport buses on the occasion of the Raksha Bandhan festival. He also congratulated the MSRTC employees who have worked diligently.

--IANS

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