Why in news?
On 4 July 2026 Prime Minister Narendra Modi inaugurated a new terminal building at Jodhpur Airport and launched the Modified UDAN (Ude Desh ka Aam Nagrik) scheme. The updated programme aims to develop more airports, helipads and regional routes over the next decade. The goal is to make air travel affordable for ordinary citizens while boosting economic growth.
Background
The original UDAN scheme was launched in October 2016. It seeks to connect underserved and unserved airports by offering viability gap funding to airlines and tax incentives to airports. Under UDAN 5.0 the government has already awarded hundreds of routes across India. Many small towns now have regular flights thanks to this policy. The Modified UDAN scheme builds on this experience.
Main components
- Financial outlay: The scheme has a budget of about ₹28,840 crore spread over ten years (2026‑27 to 2035‑36).
- Airport development: It plans to develop or upgrade 100 aerodromes from existing airstrips. Funds will cover runway improvements, terminals and navigation aids.
- Support for airlines: About ₹10,043 crore will be provided as viability gap funding to airlines. This subsidy helps carriers operate flights on less profitable regional routes.
- Helipads and seaplane hubs: The scheme allocates ₹3,661 crore for building 200 helipads and several seaplane stations. This will improve connectivity in hilly and coastal areas.
- Indigenous aircraft: There are provisions for procuring domestic aircraft and helicopters such as the HAL Dornier‑228 and Dhruv to encourage local manufacturing.
- Operations and maintenance: Another ₹2,577 crore will support operations and maintenance of airports and helipads for the first three years of service.
Expected benefits
- Enhanced connectivity: Remote towns and tourist destinations will get better air links, reducing travel time and boosting tourism.
- Economic growth: Improved air services can attract investment, create jobs and integrate regional markets.
- Self‑reliance: Using indigenous aircraft supports the “Make in India” initiative and reduces dependence on imported planes.
Conclusion
The Modified UDAN scheme signals the government’s commitment to deepen regional air connectivity. With careful planning, transparent subsidies and support for domestic aviation industry, the scheme could make flying accessible to many more Indians while spurring local development.