The government will subsidize 1 billion yuan (US$133 million) for the development of regional aviation starting this year, said Yang Yuanyuan, president of the General Administration of Civil Aviation of China (CAAC), according to yesterday's People Daily Online.

Yang Yuanyuan, president of the General Administration of Civil Aviation of China (CAAC).

Yang made the remarks at the on-going 17th CPC National Congress which began on Monday in Beijing.

He said about 600 million yuan will be distributed to small and medium-sized airports, while the rest will be used to subsidize small and medium-sized airline companies.

He stressed the development of small and medium-sized airports and airlines should be well planned, although they help to expand transportation abilities.

"Airports are public facilities, but not money-making instruments," said Yang.

When asked about problems such as flight delays, Yang said airline managements should shoulder the responsibilities, but time is still required.

"We aim for limiting average delay time to within 30 minutes, and for news of delays to reach passengers quickly and accurately," said Yang.

As for the 2008 Olympics, to be held during Beijing's rainy season in August, Yang said it will be a challenge for the Chinese aviation industry.

Meanwhile, Yang said the CAAC has set up a research group to prepare building a civil airport in the south of Beijing in 2010.

Currently, the fourth runway location in the Capital International Airport has been decided, and construction preparations will be adjusted according to performance of the third runway, said Yang.