India Approves Revamped UDAN Scheme With ₹28,840 Crore Allocation

Overview of the New UDAN Scheme

  • The Union Cabinet has approved a revised version of the UDAN Scheme to improve regional air connectivity. The total allocation for the scheme is ₹28,840 crore.
  • The updated scheme will run from the financial year 2026–27 to 2035–36. The current version of the scheme will end this year.

Development of Regional Airports

The government will construct 100 regional airports through a new program which will work together with state governments.

  • Total allocation: ₹12,159 crore
  • Timeline: Next 8 years

The project aims to enhance air travel opportunities in remote areas which currently lack sufficient transportation services.

Support for Airlines Through VGF

  • The government will provide Viability Gap Funding (VGF) to airlines that operate on UDAN routes.
  • The project has a total funding of ₹10,043 crore which will last for 10 years starting from 2026–27.
  • The funding will assist airlines in their efforts to handle operational expenses while they continue operations on routes that generate lower revenue.

Development of Helipads

  • The scheme includes the construction of 200 modern helipads.
  • Each helipad construction project will require ₹15 crore to complete. The project has a total funding amount of ₹3,661 crore which will last for 8 years.
  • The government has identified essential districts as priority areas for developing helipads. The facilities will improve emergency response capabilities while they enhance accessibility throughout the region.

Operations and Maintenance Support

  • The scheme provides financial support for operations and maintenance (O&M) of airports and aerodromes.
  • Each airport will receive ₹3.06 crore annually for the next three years. Heliports and water aerodromes will receive up to ₹90 lakh annually.
  • The total estimated cost for maintaining about 441 aerodromes is ₹2,577 crore.

Aircraft Procurement for Remote Connectivity

To address the shortage of small aircraft and helicopters, the scheme includes new purchases:

  • Two HAL Dhruv helicopters for Pawan Hans
  • Two HAL Dornier aircraft for Alliance Air

These additions will improve connectivity in remote and difficult regions.

Economic and Social Impact

The scheme aims to improve transportation and support regional development.

  • It will increase access to air travel in smaller towns
  • It will strengthen emergency response systems
  • It will create employment opportunities in aviation and related sectors

Airports developed under this scheme will not only serve as transport hubs but also support local economic growth.