By IANS
New Delhi : The centre Friday urged state governments to lower taxes on air turbine fuel to encourage more air operators to fly in their states.
“This would not only help them create aviation and tourism infrastructure, but also create jobs and higher income as well,” Civil Aviation Minister Praful Patel told the first ever National Civil Aviation Conference being held in the national capital.
“State governments must not look at the aviation sector as a milking cow. Air operators are running at losses because of competition and high taxes,” the minister told members of the state delegations.
He also told the conference that no public sector undertaking under his ministry would get budgetary support from the centre.
“We have given budgetary support for equity in Air India, Airports Authority of India (AAI) and a few airports projects in the northeast only,” the minister pointed out.
On the issue of land acquisition, the minister said while the AAI and other agencies would help develop airports, it was the responsibility of state governments to provide land for new airports and also for expansion of existing facilities.
Deputy Chairman of the Planning Commission Montek Singh Ahluwalia, several state ministers and officials of finance, aviation and tourism ministries attended the conference.
Union Tourism Minister Ambika Soni, Mizoram Chief Minister Zoram Hanga and Uttar Pradesh Chief Secretary P.K. Mishra were also present.