The Himachal Pradesh Government has signed a memorandum of understanding (MoU) with Alliance Air Ltd to operate daily scheduled flights on the Delhi-Shimla and Shimla-Dharamsala routes, aiming to significantly enhance regional connectivity and tourism.
Director of Tourism and Civil Aviation Vivek Bhatia said the initiative would establish a direct air corridor linking the national capital with the state capital, while also improving intra-state connectivity with Dharamsala.
The airline will deploy an ATR 42-600 aircraft with a seating capacity of 48 passengers. Commercial operations are expected to commence in the last week of April 2026, with flights operating seven days a week on both sectors.
The services will run under 100 per cent Viability Gap Funding (VGF), with the state government bearing the entire financial burden as Grant-in-Aid to Alliance Air. The annual VGF outlay is estimated at Rs 32.64 crore, based on actual billing. The MoU will remain valid for a period of 12 months from the start of operations, marking a key step towards boosting accessibility and tourism.