Ministry of Civil Aviation - PowerPoint Presentation

1. Ministry of Civil AviationGovernment of India06 November, 2018RCS - UDAN 3rd RoundPre-bid Meeting

2. 2Key features of UDAN 3rd roundFollowing two rounds of successful bidding of routes under RCS across the country, the Ministry of Civil Aviation intends to conduct a third (3rd) round of bidding of additional routes to be awarded under RCS to Selected Airline Operator(s).Some of the features and benefits available under RCS have been updated for the 3rd round of bidding; the changes from 2nd round of bidding is as highlighted below:01Inclusion of Tourism routes02Inclusion of NER routes03Inclusion of Seaplane Operations04Exclusion of Helicopter Operations

3. 3Bidding TimelinesS.N.Event descriptionTimelines1Opening of window for 3rd Round of Bidding and commencement of Registration, adding of routes / network by the applicant (bidder) and submission of query if any, on MSTC e-bid portal 02/11/20182Pre-bid meeting with Prospective bidders06/11/2018 at 11:00 hrs3Last date and time of submission of queryUp to 17:00 hrs on 09/11/20184If required, release of Corrigendum / Final Bidding / Scheme Documents on e-bid portal;Up to 17:00 hrs on 14/11/20185Date & time of submission of request by the applicant through e-bid portal of UDAN-RCS on MSTC’s website for the followings;stage length (in km) fixed wing aircraft for RCS Route(s)Up to 17:00 hrs on 20/11/20186a. Last Date and time of validation of stage length by AAIUp to 17:00 hrs on 27/11/2018b. Last Date and time of submission of revised networks / routes, if any,Note: This is an additional period provided to Applicants for revising their network/routes. Applicant can form networks/ routes considering only the routes for which stage length information was requested in the previous stage of the bidding process in a particular bidding round.Up to 17:00 hrs on 29/11/2018Date of validation of revised networks/routes by AAIUp to 17:00 hrs on 03/12/20187Due date and time for submission of Initial ProposalsUpto 1700 hrs. on 10/12/20188Date of opening of RCS route/network received in Initial proposalsFrom 1100 hrs on 11/12/20189Invitation for submission of Counter Proposals19/12/201810Due date and time for submission of Counter ProposalsUpto 1700 hrs on 26/12/201811Date and time of opening of Technical Bid for Initial and Counter ProposalsFrom 1100 hrs on 27/12/201812Date and time of opening of Financial Proposals (Initial and Counter)From 1100 hrs on 31/12/201813Date of declaration of Selected Airline Operator and issue of Letter of Intent07/01/201914Furnishing of Performance Guarantee(PG), Additional Performance Guarantee(APG) (if, required and Signing of SAO Agreement) PG & APG if any, within 6 months of issue of Letter of Intent, readiness of airport(s) whichever is later or extended period accepted by implementing agency/MoCA.

4. 4Inclusion of Tourism routes under UDAN 3rd roundMinistry of Tourism intends to enhance air connectivity to select tourist destinations in India Scope of UDAN Scheme has been expanded to include such routes as part of UDAN 3rd roundTwo (2) different kinds of routes, as proposed by the Ministry of Tourism, are available:Un-served routes connecting un-served / under-served airports (as per definition of RCS routes under the Scheme)Un-served routes connecting served airports (henceforth referred to as Tourism routes)For Tourism routes, the following exceptions will be applicable:Exclusivity of operations will not be availableAirport concessions will not be availableVGF support will be available and governed for these routes as per UDAN frameworkFunds for the VGF support for both kind of routes will be provided by Ministry of Tourism

5. 5Inclusion of NER routes under UDAN 3rd roundAlliance Air currently operates certain routes in North-East Region based on an arrangement with DoNERThe current tenure of award of such routes ends on 31 March 2019Accordingly, the following routes have also been included in UDAN-3 :(i) Kolkata – Shillong.(ii) Guwahati – Lilabari.(iii) Guwahati – Tejpur.(iv) Guwahati – Passighat.RCS Condition for considering only the routes that have been non-operational for a period of one (1) year or more for the bidding process will be relaxedIn order to provide continuing connectivity to the North Eastern region, these routes will need to be made operational from 01 April 2019Funds for the VGF support for such routes will be provided by Ministry of Civil Aviation

6. 6Inclusion of seaplane operationsThe DGCA has recently allowed flight operations through seaplanes from Water aerodromesseaplane operations from the published list of Water aerodromes are also allowed under UDAN 3rd roundseaplanes operations with the following types will be allowed under the Scheme from select Water aerodromes: Category 1A – seaplane with capacity <9 seatsCategory 1 – seaplane with capacity 9-20 seatsThe VGF per seat will be based on the fixed-wing aircraft for Cat 1 and Cat 1ARCS Condition for permitting Category 1A aircraft to operate only on Priority RCS Routes will be relaxed for seaplanesProposals with seaplanes will be allowed only if either one (1) of origin or destination is a Water aerodrome in the route(s) submitted as part of route/network proposal

7. 7Prioritization FrameworkThe Implementing Agency, MoCA and Ministry of Tourism (for routes suggested by them) shall consider prioritize/consider Initial Proposals for counter bidding based on the following parametersAvailability of funds Readiness of the airports, Other parameters as already provided in the Scheme documentAmongst similar proposals, the following routes will have higher priorityProposals with Priority RCS route(s) including the routes currently operated by Alliance AirProposals with route(s) proposed by Ministry of Tourism that qualifies as RCS route(s) under the SchemeProposal with Tourism route(s)

8. 8Other Key ChangesSelected Airline Operators (SAO) who have not fulfilled their commitments under UDAN 1st round will not be eligible for bidding.RCS airports which were part of UDAN 1st round and routes/networks were awarded from/to these airports, but currently having erratic or no flight operations will be available for bidding under the Scheme.However, the RCS routes/networks which have already been awarded under UDAN 1st round from these airports will not be eligible for proposal submission, only new routes/networks will be allowed.Helicopter routes are not considered under this particular bidding round.

9. 9Bidding MechanismThe bidding mechanism shall remain same as UDAN 1 and UDAN 2 through a portal designed by MSTC for the specific purpose

10. 10Thank You!!