UDAN

Also called: Ude Desh ka Aam Nagrik, Regional Connectivity Scheme · Topic: Transport and Communication in India · NCERT: Class 10, Ch 7 "Lifelines of National Economy"; Class 12, Ch 7 "Transport and Communication"; Class 12, Ch 8 "International Trade"

Meaning

UDAN (Ude Desh ka Aam Nagrik, "let the common citizen of the country fly") is the Regional Connectivity Scheme (RCS) of the Ministry of Civil Aviation. It was launched in October 2016 to give cheap flights to small-town airports that have few flights or none [2]. It matters because it is India's main tool for taking air travel beyond a few big cities. It reaches hilly, remote and island areas where roads and railways are slow, costly or easily broken.

Explanation

Why the scheme was needed

• Before UDAN, air travel was mostly limited to a few big cities [2].
• Small towns have few passengers.
• Fuel and running costs are high.

• So airlines found small-town routes unprofitable and did not fly them.

• UDAN targets two kinds of airports:

• underserved airports (airports with very few flights);

• unserved airports (airports with no flights at all).

• The first flight under the scheme flew in 2017.

How it works: Viability Gap Funding and other incentives

• Viability Gap Funding (VGF) is a government subsidy (money support). It pays the gap between what a flight costs to run and what its tickets earn.
• Cause: a regional route loses money.
• Process: the government pays the shortfall.

• Result: the route becomes worth flying, and fares stay low.

• Route exclusivity: an airline gets the sole right to fly a route for a few years, so it does not have to compete with other airlines while the route is new.

• Results (as of 15 July 2026): [2]
• 679 routes connect 95 airports, heliports and water aerodromes. A water aerodrome is a landing place on water for seaplanes.
• In late 2025 the figures were about 650 routes and 93 aerodromes.
• More than 3.58 lakh flights have carried over 1.68 crore passengers.
• Example: Vijayawada to Kadapa (Andhra Pradesh) took 8–10 hours by road. It now takes about 1 hour by air.

The main weakness: routes stop when the subsidy ends

• Many routes shut down after support ends.
• When VGF and route exclusivity end, many airlines find the route loses money.
• So they stop flying it.
• Some new airports are then left with no flights.

Modified UDAN (2026): the ten-year extension

• Modified UDAN was launched on 4 July 2026. It runs for 10 years, FY 2026-27 to FY 2035-36, with a total outlay of ₹28,840 crore [2].
• It has these parts:
• Development of aerodromes: turns 100 unused airstrips into airports over 8 years (₹12,159 crore) [2].
• Operation and Maintenance (O&M) support: pays running costs for 3 years. That is up to ₹3.06 crore a year per airport and ₹0.90 crore a year per heliport or water aerodrome, for about 441 aerodromes (₹2,577 crore) [2].
• Modern helipads: 200 helipads (about ₹15 crore each) in hard-to-reach regions (₹3,661 crore) [2].
• VGF for airlines: support for up to 5 years, cut step by step from year 3. Route exclusivity lasts only 3 years (₹10,043 crore) [2].

• Atmanirbhar Bharat (self-reliant India): 2 HAL Dhruv helicopters for Pawan Hans and 2 HAL Dornier aircraft for Alliance Air. HAL is Hindustan Aeronautics Ltd [2].

• Why the design changed: the old scheme mostly paid airlines to fly. The new one also pays for airports, running costs and helipads. This attacks the "routes stop after the subsidy ends" problem from both sides [2].

Where it occurs

• Operates: across India, with 679 routes linking 95 airports, heliports and water aerodromes (15 July 2026) [2].
• Run by: the Ministry of Civil Aviation. The scheme was launched in October 2016 [2], the first flight flew in 2017, and Modified UDAN started in 2026 [2].
• Remote, hilly and island places served by UDAN routes (2026) [2]:
• Tezpur in Assam, in the Brahmaputra valley;
• Pasighat in Arunachal Pradesh;
• Pithoragarh in Uttarakhand, in the Himalaya;
• Diu, on the coast;

• Rourkela in Odisha.

• Andhra Pradesh: the Vijayawada–Kadapa route cut travel time from 8–10 hours by road to about 1 hour [2].

• Why the North-East needs it: big rivers with few bridges, broken hilly relief, dense forests, yearly floods, and land links that pass only through the narrow Siliguri Corridor in West Bengal.
• Helicopter links: the Himalayan states, the North-East and the island territories (Andaman and Nicobar Islands, Lakshadweep), where helipads and Pawan Hans helicopters fill the gaps.

Don't confuse with

• Pawan Hans is the government's helicopter company, not a scheme. It flies to places like the ONGC rigs at Mumbai High. Under Modified UDAN it only receives 2 HAL Dhruv helicopters [2].
• Airports Authority of India (AAI, 1995) is a body, not a scheme. It provides air traffic and aeronautical communication services (radio and navigation links between pilots and the ground) over Indian airspace.
• Greenfield airports (Navi Mumbai, Jewar) are big new PPP airports, where government and a private company build together. They ease crowded metro airports. UDAN instead links small, underserved towns through subsidy.
• Air India privatisation (2022) is a case of disinvestment (the government selling its share in a public company). UDAN is a subsidy scheme. Do not mix up the two policy tools.

Prelims Hooks

• UDAN = Ude Desh ka Aam Nagrik. It is the Regional Connectivity Scheme, launched in October 2016, with the first flight in 2017 [2].
• The main financial tool of UDAN is Viability Gap Funding, not a loan or disinvestment.
• 15 July 2026: 679 routes, 95 airports, heliports and water aerodromes, 3.58 lakh+ flights, 1.68 crore+ passengers [2].
• Modified UDAN: launched 4 July 2026, runs FY 2026-27 to 2035-36, outlay ₹28,840 crore, 100 new airports, 200 helipads. VGF lasts up to 5 years and exclusivity only 3 years [2].
• Trap: Modified UDAN gives HAL Dhruv helicopters to Pawan Hans and HAL Dornier aircraft to Alliance Air, not to Air India [2].
• UDAN places: Tezpur in Assam, Pasighat in Arunachal Pradesh, Pithoragarh in Uttarakhand, Rourkela in Odisha [2].

Mains Points

• Geography creates the demand (GS-I): in the North-East, the Himalayan states and the islands, large rivers, steep relief, forests, floods and border location make surface transport slow and unreliable.
• UDAN routes, heliports and water aerodromes cut journeys of a day or more to about an hour.

• This brings strategic, medical and tourism access to these regions [2].

• Connectivity versus commercial viability (GS-III infrastructure): UDAN brought 95 aerodromes and 679 routes into the network, but many routes stop once VGF and exclusivity end.

• Modified UDAN responds with O&M support, VGF that is cut step by step, 100 new airports, 200 helipads and Indian-made aircraft [2].

• Balanced regional development: cheaper air links to Tier-2 and Tier-3 towns help tourism, trade in perishable goods and emergency services.

• This narrows the gap between metros and the hinterland.
• It supports the rise in operational airports from 74 (2014) to 165 (July 2026) [2] and the aim of 350–400 airports by 2047 [3].

Related concepts

• Air transport in India
• Navi Mumbai International Airport

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• Air transport