₹28,840 Crore and 200 Helipads: UDAN Is Rebuilt Around Infrastructure, Not Fares
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Article summary
The Prime Minister launched the Modified UDAN scheme on 4 July 2026 while inaugurating a new terminal building at Jodhpur Airport, built by the Airports Authority of India at a cost of about ₹480 crore. The Union Cabinet has approved the modified scheme for ten years, from FY 2026-27 to FY 2035-36, with an outlay of ₹28,840 crore. Its allocation marks a shift in strategy: more than ₹12,000 crore for developing 100 additional aerodromes, ₹3,661 crore for 200 modern helipads at about ₹15 crore each over eight years, over ₹2,500 crore for operations and maintenance support to smaller airports, and ₹10,043 crore for viability gap funding to sustain airline operations on thin routes. The original UDAN — Ude Desh ka Aam Nagrik, launched as the Regional Connectivity Scheme in October 2016 — worked differently, capping fares at roughly ₹2,500 per flight hour on half the seats and funding the gap through a levy on major routes, with the first flight operating between Shimla and Delhi on 27 April 2017. Successive phases extended it to the north-east and hill states, tourism routes, seaplanes and water aerodromes. The modified scheme also explicitly promotes indigenous aircraft platforms including the HAL Dhruv and Dornier.
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Sample questions — answers revealed after test
Q1. With reference to the UDAN scheme, which one of the following statements is correct?
Q2. Of the Modified UDAN's ₹28,840 crore outlay, over ₹12,000 crore goes to 100 additional aerodromes, ₹3,661 crore to 200 helipads and over ₹2,500 crore to operations support, against ₹10,043 crore for viability gap funding to airlines. Which one of the following inferences is best supported?
Q3. Consider the following statements regarding UDAN: 1. UDAN 2.0 extended the scheme to the north-east, hill states, islands and helicopter routes, while UDAN 3.0 added tourism routes and seaplanes. 2. The Modified UDAN runs for ten years from FY 2026-27 to FY 2035-36 and explicitly promotes indigenous platforms including the HAL Dhruv helicopter and Dornier aircraft. 3. UDAN 4.0 discontinued water aerodromes, which had been found unviable under the preceding phase. Which of the statements given above are correct?