Context :

• The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the ‘Revised UDAN’ scheme for 10 years (2026–27 to 2035–36).

Key Features of the Revised UDAN Scheme :

• Duration: Financial Year 2026–27 to 2035–36 (10 years)
• Total Outlay: ₹28,840 crore

Major Components of the Scheme :

• Airport Development (Capital Expenditure): Development of 100 airports from existing unserved airstrips, with a total expenditure of ₹12,159 crore over the next eight years.
• Operation & Maintenance (O&M) of Airports:Under the Regional Connectivity Scheme (RCS), financial assistance is proposed considering high O&M costs and limited revenue. Assistance of up to ₹3.06 crore per airport and ₹0.90 crore per heliport/water aerodrome per year will be provided for 3 years. Total estimated cost is ₹2,577 crore for about 441 airports.
• Development of Modern Helipads:To address connectivity challenges in hilly, remote, island, and aspirational regions, 200 modern helipads will be developed at ₹15 crore per helipad. The total requirement is ₹3,661 crore (inflation-adjusted) over the next eight years.
• Viability Gap Funding (VGF):To make regional air routes economically viable, ₹10,043 crore will be provided to airline operators over 10 years.
• Atmanirbhar Bharat – Aircraft Acquisition: Two HAL Dhruv helicopters for Pawan Hans and two HAL Dornier aircraft for Alliance Air will be procured to enhance connectivity.

UDAN Scheme (Ude Desh ka Aam Nagrik) :

• Launch: Initiated on 21 October 2016 under the Ministry of Civil Aviation
• First Flight: Operated between Shimla and Delhi on 27 April 2017
• Completion of 8 Years: 27 April 2025
• Objective: Strengthening connectivity to Tier-2 and Tier-3 cities
• The scheme has significantly enhanced regional air connectivity over the past eight years.
• Nodal Ministry: Ministry of Civil Aviation
• Implementing Agency: Airports Authority of India (AAI)

Components of UDAN :

• Viability Gap Funding (VGF): Financial support to airlines to ensure affordable fares
• Fare caps to ensure affordability
• Cooperative governance involving Centre, States, AAI, and private airport operators

Phases of UDAN :

• UDAN 1.0 (2017): 128 routes awarded to 5 airline operators covering 70 airports, including 36 new airports
• UDAN 2.0 (2018): Expanded to include 73 underserved and unserved airports; heliports included for the first time
• UDAN 3.0 (2019):Tourism routes introduced in coordination with the Ministry of Tourism Inclusion of seaplane operations for water aerodromes Expansion in Northeast region
• UDAN 4.0 (2020): Focus on hilly regions, Northeast states, and islands. Greater emphasis on helicopters and seaplanes
• UDAN 5.0 & 5.5 (2024–25): Tenders for seaplane services across 50+ water bodies. Expansion to heliports, small runways, and remote areas

Achievements :

• As of 28 February 2026, 663 routes have been operationalized across 95 airports, heliports, and water aerodromes
• Over 341 lakh flights operated, carrying 162.47 lakh passengers
• Improved connectivity in remote, hilly, and island regions, boosting tourism, healthcare access, and emergency services
• Strengthened regional airlines and diversified fleet operations, creating a strong base for the revised UDAN scheme