AVIATION BUDGET HIKED BY 11.4%
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The General Budget 2014-15 aims to boost civil aviation sector as a major growth-driver. The sector has received a substantial hike of 11.4 per cent over last year. The Government has allocated Rs. 9,474 crores for the civil aviation ministry, including investments in public enterprises for the financial year 2014-15, up from revised estimate of Rs. 8,502 crores in fiscal 2013-14. The government has earmarked Rs. 6,500 crores for equity infusion in Air India and a plan allocation of Rs. 569 crores, taking the total allocation to the state-owned air carrier to Rs. 7,069 crores. Meanwhile, the Airport Authority of India has been provided with a budgetary support of Rs. 79.70 crores, of which Rs. 22 crores has been earmarked for its project at Pakyong, Sikkim.
The Government will develop airports in metros and non-metro cities through public-private partnership mode to enhance air connectivity. India plans to build 200 low-cost airports in the next 20 years to connect tier-II and tire-III cities. The Government also plans to construct 15 additional airports under the Greenfield airport policy by identifying the most suitable low cost viable model. Budgetary support of Rs. 50 crores has been provided to Directorate General of Civil Aviation to pursue their plan scheme. As provision of Rs. 40 crores has been made for Bureau of Civil Aviation Security for meeting expenditure towards their plan schemes. A Budgetary support of Rs. 0.10 crore has been provided to Hotel Corporation of India for renovation of its Hotels/flight kitchen. Aero Club of India has been provided grants-in-aid of Rs. 0.10 crores. The Indira Gandhi Rashtriya Uran Academy is being provided with grants of Rs. 0.10 crore.
The General Budget showed that it has taken note of a healthy increase of 5.2% in domestic passenger traffic at Indian airports during April-March 2013-14.