New Delhi, Sep 10: Hubli and Belgaum will be among the first five cities in the country to get no-frills airports with the construction set to start in the next six months.

The other cities where such airports will come up are Tezu (Arunachal Pradesh), Kishangarh (Rajasthan) and Jharsuguda (Odisha). These airports have been shortlisted from 50 towns in remote areas and various unconnected regions across the country.
The Airports Authority of India (AAI) has developed a no-frills model which will provide essential services needed to operationalise the airports, without compromising on safety and security. “This will result in low cost of operation and make it viable for the airlines to run their services. It would be a no-frills model without compromising on safety or security,” Civil Aviation Minister Ashok Gajapathi Raju told a press conference here.
The government's plan to construct new airports comes at a time when 93 state-run airports have incurred a cumulative loss of Rs 3,544.07 crore in three fiscals ending 2012-13, prompting the AAI to contemplate on measures like allowing flying schools to function from non-operational facilities.
While the losses incurred were Rs 895.39 crore in 2010-11, it rose to Rs 1,101.84 crore in the next fiscal. There was a steep increase in losses in 2012-13 at Rs 1,546.84 crore.
A draft policy on remote and regional connectivity has also been evolved, which would aim at granting various concessions and incentives to airlines flying to such areas, Raju said.
The ministry is looking at ways to give a boost to air cargo and MRO (Maintenance, Repair, Overhaul) sectors. The ministry was consulting stakeholders and experts to finalise policy guidelines and take other measures like tax concessions and regulatory steps in this regard, the minister said.
A Federal Aviation Administration (FAA) team is likely to visit India to review the corrective measures taken by the Directorate General of Civil Aviation (DGCA) to meet the deficiencies listed by its US counterpart, Raju said.
“We would like India to be Category-I as soon as possible. We invited them (FAA) to visit DGCA for a review in September or October, when our team went to the US and made a presentation to them last month,” Raju said. The FAA downgraded India to Category-II in January.
On Air India, AAI and the Airports Economic Regulatory Authority “remaining headless”, the minister said the government does not intend to keep any vacancies. “We are taking care so that the work does not suffer. But there is a procedure through which such vacancies are filled up and that is being followed,” he added.

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