Cabinet Clears Rs 28,840 Crore UDAN Plan To Develop Airports, Boost Regional Connectivity

(MENAFN- KNN India) New Delhi, Mar 25 (KNN) The Union Cabinet chaired by Prime Minister Narendra Modi on Wednesday approved the Regional Connectivity Scheme – Modified UDAN with a total outlay of Rs 28,840 crore for a period of ten years from FY 2026–27 to FY 2035–36, aimed at strengthening regional air connectivity and expanding aviation infrastructure.

The scheme is designed to enhance connectivity to underserved and unserved regions, while supporting economic growth, trade and tourism in Tier-2 and Tier-3 cities.

It also seeks to make air travel more affordable, improve emergency response and healthcare access in remote areas, and enhance the viability of regional airports and airline operators.

A key component of the scheme is the development of 100 airports from existing unserved airstrips, with an outlay of Rs 12,159 crore over the next eight years. In addition, financial support will be provided for operation and maintenance of around 441 aerodromes for a period of three years to ensure sustainability of regional infrastructure.

To improve last-mile connectivity in difficult terrains, the scheme proposes development of 200 modern helipads, particularly in hilly, remote and aspirational regions.

Viability Gap Funding (VGF) of Rs 10,043 crore has also been provisioned over ten years to support airline operators on regional routes and encourage market development.

The scheme further includes provisions for strengthening indigenous aviation capabilities, with plans to procure helicopters and aircraft from domestic manufacturers to support operations in remote areas and advance the Atmanirbhar Bharat initiative.

The Modified UDAN Scheme builds on the progress of the original UDAN programme launched in 2016, under which 663 routes have been operationalised across 95 airports, heliports and water aerodromes.

Over 3.41 lakh flights have been conducted, carrying more than 162 lakh passengers, significantly improving connectivity in remote and underserved regions.

(KNN Bureau)

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