# Government Cautiously Weighs Adani Airline Plan

> Adani Group seeks airline entry but government fears airport ownership conflicts
- Title: Government Cautiously Weighs Adani Airline Plan | Shortify
- Summary: Adani Group seeks airline entry but government fears airport ownership conflicts Government will review Adani's airline proposal due to potential…
- Keywords: adani group, indigo, air india, civil aviation minister ram mohan naidu, udan scheme, airport ownership, airline duopoly, mumbai airport, delhi airport, gmr airports, scheduled carrier, Government
- Source: The Economic Times — https://economictimes.indiatimes.com/industry/transportation/airlines-/-aviation/govt-to-weigh-adani-airline-plan-cautiously-over-airport-airline-conflict-concerns/articleshow/134419672.cms
- Author: ET Bureau
- Published: 2026-09-22T19:10:00+00:00
- Read time: 1 min
- Topics: adani group, indigo, air india, civil aviation minister ram mohan naidu, udan scheme, airport ownership, airline duopoly, mumbai airport, delhi airport, gmr airports, scheduled carrier
## Government cautious on Adani airline plan
Civil aviation minister Ram Mohan Naidu said the government will weigh Adani Group's airline request carefully due to potential airport-airline conflicts.

> We need to create a system that addresses those concerns. There are several advantages, but the matter is under deliberation.
## Adani seeks clause removal
Adani Group wrote in June to remove a clause restricting airport operators from holding more than 10% stake in airlines.

> Adani Defence & Aerospace was evaluating starting an airline as a natural extension of the group's existing aviation ecosystem.
## Airport ownership concerns
Government officials warn cross ownership could harm customers long-term as airports are natural monopolies.

> Allowing a company which owns one of the largest airports in the country to start an airline has to be cautiously weighed.
## IndiGo opposes cross ownership
IndiGo's managing director said cross ownership would create conflict of interest and hurt consumers.

> It typically would reflect a massive conflict of interest, and over a period of time, it would actually be against the interest of consumers.
## UDAN scheme boost
The government plans to use the UDAN scheme to encourage regional airlines with subsidies for unprofitable routes.

> We want at least five airlines to operate with 100 planes each. There should be airlines which operates in specific regional geographies.
## Strict airport criteria
Second phase of UDAN requires airports to meet strict criteria including proximity to tourist spots and infrastructure readiness.

> Proposed airports will be scored on multiple criteria, including proximity to tourist spots, industrial corridors or major airports.
## Key takeaway

Government will review Adani's airline proposal due to potential airport-airline conflicts