Udan levy on airlines to double from Jan due to inflation, route expansion

The official added that a 20 per cent contribution from state governments to the regional connectivity fund had been factored in while proposing the hike

The civil aviation ministry has decided to double the per-flight regional connectivity levy it collects from airlines to Rs 10,000 from January.

The hike has been proposed due to inflation and planned expansion in the regional routes, according to a civil aviation ministry official.

The government launched a regional connectivity scheme called Udan in April 2017. The scheme is funded by a levy on major domestic routes and contributions from state governments. Airlines in turn have been allowed to levy Rs 50 on flight tickets on major routes.

In the past five years, more than 10 million passengers have flown