Modified UDAN scheme cleared with ₹28,840 crore outlay to expand regional air connectivity

Key facts

• The Union Cabinet chaired by Prime Minister Narendra Modi approved the modified UDAN (Ude Desh ka Aam Nagrik) scheme with a total outlay of ₹28,840 crore.
• The scheme will fund development of 100 new airports through a challenge-based mode with budgetary support of ₹12,159 crore.
• 200 modern helipads will be developed in hilly regions, the North-East, island territories and aspirational districts with funding of ₹3,661 crore.
• ₹400 crore is allocated to support acquisition of domestically manufactured aircraft.
• Enhanced viability gap funding (VGF) will provide 80–90 per cent Central support to airlines on regional routes, tapering over five years, with an allocation of ₹10,043 crore.
• Operational and maintenance (O&M) support for three years is approved for RCS aerodromes with an annual ceiling of ₹3 crore per airport and ₹90 lakh per helipad, totalling ₹2,577 crore.
• The revised scheme targets connecting 120 new destinations and enabling air travel for around 4 crore additional passengers.
• Since its launch, UDAN has operationalised 663 routes and 95 aerodromes with 10 airline operators, carrying about 1.62 crore passengers on over 3.41 lakh flights.