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The Union Cabinet has approved the Regional Connectivity Scheme – Modified UDAN with a financial outlay of ?28,840 crore for the period 2026–2036, aiming to expand regional air connectivity and strengthen India’s aviation ecosystem.

About UDAN Scheme

• UDAN (Ude Desh ka Aam Nagrik) is India’s flagship regional connectivity programme launched in 2016 to make air travel affordable and accessible.
• The Modified UDAN represents its next phase, focusing on sustainability, infrastructure expansion, and deeper regional integration.

Objectives

• Enhance connectivity to underserved and unserved regions
• Make air travel affordable for the common citizen
• Promote balanced regional development
• Support the vision of Viksit Bharat @2047
• Develop a globally competitive aviation sector

Key Features

1. Infrastructure Expansion (CAPEX)

• Development of 100 new airports from existing airstrips
• Investment of around ?12,159 crore

2. Helipad Network Development

• Construction of 200 modern helipads
• Each costing approximately ?15 crore
• Focus on hilly, remote, and island regions

3. Viability Gap Funding (VGF)

• Allocation of ?10,043 crore
• Financial support to airlines to ensure route viability
• Helps maintain affordable fares

4. Operation & Maintenance (O&M) Support

• Support for around 441 aerodromes
• Provided for 3 years (up to ?3.06 crore per airport annually)

5. Promotion of Indigenous Aviation

• Procurement of aircraft from Hindustan Aeronautics Limited
  • HAL Dhruv helicopters
  • HAL Dornier aircraft
• Deployment by state-run carriers like Alliance Air and Pawan Hans