Brazil SAC further details subsidy plan for regional aviation

Brazil's Secretariat of Civil Aviation (SAC) announced (29-Jul-2014) further details of the Government's Regional Aviation Development Program which will be launched from early 2015. The plan is aimed at incentivising regional aviation growth by subsidising carriers. The subsidy will apply to routes serving airports which handle up to one million passengers p/a and will be limited to 60 seats per flight or 50% of total seats offered. The amount of the subsidy will vary by airport served with routes serving smaller or more isolated destinations to receive higher subsidies. 109 airports across the country currently qualify for the subsidy, and Civil Aviation Minister Moreira Franco said this could increase from 2015. Mr Franco noted, "A regional flight on average is 31% more expensive per mile than a flight between larger cities. This is not because the airline is prejudiced, it is because the scale and costs are different." [more - original PR - Portuguese]