Union Cabinet Greenlights Revamped UDAN Scheme
The Union Cabinet has approved a revised UDAN scheme with a budget of Rs 28,840 crore over ten years to enhance regional air connectivity in India. The initiative aims to develop 100 airports from unserved airstrips and build modern helipads to boost last-mile connectivity and emergency response.
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The Union Cabinet has cleared a revamped version of the UDAN scheme, dedicating Rs 28,840 crore over ten years to bolster regional air connectivity and infrastructure within India. Announced on Wednesday, the modified scheme emphasizes developing airports, helipads, and promoting India-made aircraft.
Airlines will receive Viability Gap Funding (VGF) of Rs 10,043 crore for operating UDAN routes starting FY 2026-27. Information and Broadcasting Minister Ashwini Vaishnaw detailed plans to upgrade 100 airports from existing underutilized airstrips, allocating Rs 12,159 crore over eight years for this purpose.
Furthermore, the initiative plans to build 200 helipads to enhance connectivity and emergency response, with Rs 3,661 crore earmarked for this aspect over eight years. The scheme also proposes procurement of two HAL Dhruv helicopters and two HAL Dornier aircraft to strengthen regional aviation capabilities.