Cabinet Approves ₹28,840 Cr UDAN Expansion, 100 Airports to Come Up
100 new airports, 200 helipads planned; focus on affordable travel and remote access
- Cabinet approves Modified UDAN scheme till 2036
- ₹28,840 crore outlay to expand regional aviation
- 100 airports, 200 helipads to be developed
- Aim to boost connectivity, tourism and affordable air travel
GG News Bureau
New Delhi, 25th March: The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the launch of the Regional Connectivity Scheme – Modified UDAN with a total outlay of ₹28,840 crore for a period of ten years from FY 2026-27 to FY 2035-36.
The revamped scheme aims to strengthen regional air connectivity, particularly in underserved and unserved areas, while making air travel more affordable for citizens.
Under the plan, the government will develop 100 new airports from existing airstrips with an investment of ₹12,159 crore over the next eight years. Additionally, operational and maintenance support will be provided for regional aerodromes to ensure their financial sustainability.
To improve last-mile connectivity in remote and difficult terrains, including hilly and island regions, the scheme proposes the development of 200 modern helipads with an estimated cost of ₹3,661 crore.
The Cabinet has also approved viability gap funding (VGF) of ₹10,043 crore over ten years to support airline operators on regional routes, enabling the expansion of air services in less profitable sectors.
In line with the Atmanirbhar Bharat initiative, the scheme includes the procurement of indigenous aircraft, including HAL Dhruv helicopters for Pawan Hans and Dornier aircraft for Alliance Air, to strengthen regional operations.
Officials said the initiative is expected to boost economic growth, trade, tourism and healthcare access in Tier-2 and Tier-3 cities, while also enhancing emergency response capabilities in remote areas.
Launched in 2016, the UDAN scheme has already operationalised 663 routes across 95 airports, heliports and water aerodromes, benefiting over 1.62 crore passengers.
The modified version aims to build on this foundation and accelerate India’s progress towards becoming a globally competitive aviation ecosystem under the Viksit Bharat 2047 vision.
