Challenges

♤ Technical infrastructure like equipments, technical manpower etc. Mostly, these are day airports without night training facility. If this is included, the costs would be very high and runways have to be improved as well. Air traffic control services and air safety also need to be ramped up.

♤ Participation of mainstream airlines is unlikely as they are already dealing with heavy traffic flow. Also, the overhead cost for a small aircraft is almost same as that of bigger aircrafts. Therefore, low cost operations might not ensure much profit for big airlines. Investments have to be attracted here from new and local investors.

♤ Increased fiscal burden – because viability-gap funding, subsidized ATF and concessions have to be ensured. States need to provide free land and operational infra to bring down costs.

♤ Overburdening of Air India - Lack of interest of private players, may overburden Air India.