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Rajasthan eyes ₹1,500 crore investment in aviation; cuts fuel VAT to 1%, ET Infra
Rajasthan eyes ₹1,500 crore investment in aviation; cuts fuel VAT to 1%, ET Infra

Time of India

time08-07-2025

  • Business
  • Time of India

Rajasthan eyes ₹1,500 crore investment in aviation; cuts fuel VAT to 1%, ET Infra

Advt By , ETGovernment Join the community of 2M+ industry professionals. Subscribe to Newsletter to get latest insights & analysis in your inbox. Get updates on your preferred social platform Follow us for the latest news, insider access to events and more. Rajasthan's Minister of State for Civil Aviation (Independent Charge) Gautam Kumar Dak said the state government has taken several steps to develop civil aviation infrastructure and stated that the value added tax (VAT) on aviation turbine fuel for Regional Connectivity Scheme (RCS) flights has been reduced from 26 per cent to 1 per cent. The state has provided free and encumbrance-free land to the Airports Authority of India for the construction of a greenfield airport in Kota and for the development and expansion of Kishangarh Airport. Land allocation is also in progress for the expansion of Udaipur Airport and for the construction of a civil enclave in Uttarlai, the Northern Region Civil Aviation Ministers' Conference in Dehradun, Dak said that Rajasthan has several tourist, religious, industrial, and educational sites, making regional air connectivity important. Currently, RCS flights operate from three airports in the state. The government has proposed to the Centre that Mount Abu, Sikar, Sawai Madhopur, Bhilwara, and Sri Ganganagar be included in the RCS network. It has also requested regular flights from Bikaner, Jodhpur, and Kishangarh to Mumbai, Kolkata, Surat, and state has 19 airstrips ranging from 3,300 feet to 9,800 feet. These are being offered for use in flying training, air sports, and maintenance activities. An FTO is operational in Kishangarh, and another is scheduled to begin in Bhilwara in August 2025. Over 10 Memorandums of Understanding (MoUs) have been signed with private investors, indicating a potential investment of ₹1,500 crore. Aviation investment promotion provisions are included in the Rajasthan Investment Promotion Scheme (RIPS).Dak said there are about 118 helipads in the state. Additional helipads are under construction in districts, tourist areas, and for use in medical and emergency services. Plans have been proposed for helicopter tourism, religious travel, and short-distance rides. The government is also working on establishing helicopter-based emergency medical services and is seeking central support for operational models and standard further stated that districts such as Udaipur, Kota (Chambal), Banswara, and Tonk (Bisalpur) may be suitable for seaplane services. A request has been made to the Centre to study feasibility and consider inclusion under the RCS scheme. Rajasthan introduced its Civil Aviation Policy in 2024 and has sought financial, technical, and policy support from the central government.

Rajasthan govt boosting civil aviation sector to promote tourism: Minister
Rajasthan govt boosting civil aviation sector to promote tourism: Minister

Hans India

time07-07-2025

  • Business
  • Hans India

Rajasthan govt boosting civil aviation sector to promote tourism: Minister

Rajasthan Minister of State for Civil Aviation (Independent Charge) Gautam Kumar Dak said on Monday that the Rajasthan government is taking significant initiatives to boost the civil aviation sector, with the dual objective of promoting tourism and generating employment. Key reforms include the reduction of VAT on aviation fuel for Regional Connectivity Scheme (RCS) flights from 26 per cent to just 1 per cent. Speaking at the Northern Region Civil Aviation Ministers' Conference held in Dehradun, Dak highlighted that the state has provided free and obstruction-free land to the Airports Authority of India (AAI) for the construction of the Kota Greenfield Airport and for the development and expansion of Kishangarh Airport. 'Similar land allocations are under process for the expansion of Udaipur Airport and the construction of a civil enclave at Uttarlai (Barmer),' he said. Highlighting Rajasthan's growing potential in helicopter services, Dak informed that there are currently 118 helipads across the state, with new helipads being developed at all district headquarters, major tourist sites, and locations critical for emergency medical response. 'Plans for helicopter-based tourism, religious travel, and joy rides are being formulated, alongside the development of a helicopter emergency medical service (HEMS) model,' he claimed. He urged the Centre to assist in creating a viable operational model and standard protocols for such services. Dak also identified districts such as Udaipur, Kota (Chambal), Banswara, and Tonk (Bisalpur) as promising sites for seaplane operations. He requested the Central government to assess their feasibility and include them under the RCS scheme. The Minister underlined the strategic importance of the RCS for Rajasthan, a state known for its rich heritage, religious tourism, industrial zones, and educational institutions. RCS flights currently operate from three airports in the state. 'The government has submitted a proposal to the Centre to include key destinations such as Mount Abu, Sikar, Sawai Madhopur, Bhilwara, and Sri Ganganagar under the RCS umbrella,' he said. To enhance connectivity with major metros, Dak also requested the Central Government to initiate regular commercial flights from Bikaner, Jodhpur, and Kishangarh to cities including Mumbai, Kolkata, Surat, and Bengaluru. Rajasthan currently has 19 airstrips, with lengths ranging from 3,300 feet to 9,800 feet. These facilities are being leveraged for flying training organisations (FTOs), air sports, and MRO (Maintenance, Repair, and Overhaul) activities. The state is promoting private investment in aviation through the Rajasthan Investment Promotion Scheme (RIPS) and the successful hosting of the Rising Rajasthan Global Investment Summit, he said 'An operational FTO in Kishangarh is already training pilots, and a second FTO is set to begin in Bhilwara in August 2025. So far, over 10 Memoranda of Understanding (MoUs) have been signed, with an estimated investment inflow of Rs 1,500 crore in the aviation sector,' he claimed. The Minister emphasised that the state government has implemented a comprehensive Civil Aviation Policy in 2024, aimed at the planned and sustainable development of the aviation sector. He sought financial assistance, technical support, and policy collaboration from the Central government to make Rajasthan a leading state in aviation-driven growth.

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