Cabinet Clears ₹28840 Crore Modified UDAN Scheme to Expand Regional Air Connectivity
The modified UDAN scheme focuses on expanding aviation infrastructure beyond metro cities.
New Delhi: The Union Cabinet has approved a revamped version of the UDAN scheme with an outlay of ₹28,840 crore, marking a major push to expand regional air connectivity across India. The scheme will run over a 10-year period from FY 2026-27 to FY 2035-36 and aims to make air travel more accessible and affordable, especially for people in smaller towns and remote regions.
The modified UDAN scheme focuses on expanding aviation infrastructure beyond metro cities. It plans to develop 100 new airports from existing airstrips, while also proposing 200 modern helipads in hilly, remote and island regions where conventional airport infrastructure is difficult to build. In addition, around 441 aerodromes will receive operation and maintenance support to ensure long-term viability.
A key component of the scheme is financial support for airline operators. The government has proposed ₹10,043 crore as viability gap funding over a 10-year period to encourage airlines to operate on regional routes that may not be immediately profitable. This support will be available for the first five years, after which it will gradually taper off, allowing airlines to achieve commercial sustainability.
The scheme also incorporates a strong Atmanirbhar Bharat component by promoting the use of indigenous aviation assets. The government plans to support the procurement of HAL Dhruv helicopters and HAL Dornier aircraft, which are better suited for operations in difficult terrains such as mountainous and remote areas. This move is expected to strengthen domestic manufacturing capabilities in the aviation sector.
The government highlighted that the UDAN scheme has already created a strong foundation for regional aviation. As of March 2026, a total of 663 routes have been operationalised across 95 airports, helipads and water aerodromes. More than 3.44 lakh flights have been conducted, carrying over 1.63 crore passengers. These numbers reflect growing demand for affordable air travel beyond major cities.
Ram Mohan Naidu, Minister for Civil Aviation, said the Cabinet’s decision will deepen connectivity and make air travel more inclusive. He emphasised that the scheme is aligned with the government’s vision of ensuring that aviation benefits reach smaller cities and underserved regions. Murlidhar Mohol, Minister of State for Civil Aviation, said the modified scheme builds on the success of the past nine years and aims to strengthen last-mile connectivity while improving infrastructure and operational efficiency.
Beyond aviation, the scheme is expected to have wider economic and social impact. Improved connectivity is likely to boost tourism, facilitate trade, and enhance access to healthcare and emergency services in remote areas. It will also reduce travel time and support regional economic development, particularly in Tier-2 and Tier-3 cities.
The government said the modified UDAN scheme is not just a connectivity initiative but a broader development programme. By linking remote regions with larger markets and services, it aims to reduce regional disparities and support inclusive growth. The initiative is also aligned with the long-term vision of building a modern, resilient and nationally integrated aviation ecosystem as part of Viksit Bharat 2047.
