Bhubaneswar, Oct 23 (FN Representative) The Odisha cabinet Chaired by Chief Minister Mohan Charan Majhi on Wednesday approved a new Air Connectivity Policy to boost economic growth and tourism in the state. Briefing newsmen after the cabinet meeting, Chief Secretary Manoj Ahuja said the new policy is designed to significantly enhance air connectivity across the state as it offers substantial financial incentives to airlines encouraging them to launch new domestic and international air routes serving Biju Patnaik International Airport,(Bhubaneswar),Veer Surendra Sai Airport( Jharsuguda) and smaller Airports in Jeypore,Rourkela and Utkela. Ahuja said as per the new policy the airlines launching new scheduled services receive Viability Gap Funding(VGF) which includes Rs.5,00,000 per round trip for domestic routes and Rs.10,00,000 for international routes with potential increases for routes exceeding 750 kms.
This support, the Chief Secretary said, will mitigate financial risk making the new routes more attractive. The policy prioritizes connecting currently underserved regions ensuring fairer access to air travel across Odisha. As per the policy,the Airlines must meet strict eligibility criteria including minimum aircraft capacity of 50 seats for domestic and 180 for international , DGCA approval,and a commitment to sustainable non stop operations. A Chief Secretary level high power committee will oversee implementation, monitor or route performance and adapt the policy as needed.This will ensure accountability and effective programme management. The policy, official sources said is expected to generate significant economic benefits, stimulating tourism, fostering job growth in related sectors enhancing trade and commerce, and driving regional development, especially in Western Odisha. The Odisha policy aligns with the National Civil Aviation Policy 2016 and the UDAN scheme strengthening the state’s commitment to improved air connectivity and aviation infrastructure. The Policy also prioritizes sustainable long-term air connectivity focusing on routes with strong potential for ongoing passenger demand. The cabinet approval demonstrates the Odisha government’s strong commitment to improving aviation infrastructure and enhancing the quality of life for its citizens through enhanced connectivity and economic growth.