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5 Jul 2026SOCIETY & SOCIAL ISSUES3 questions

₹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.

What this tests

recallTests whether you read the article and retained key facts.
1Q
applicationTests whether you can apply the concept to a new scenario.
1Q
analysisTests whether you can reason across multiple related facts.
1Q

Sample questions — answers revealed after test

SOCIETY & SOCIAL ISSUESRecallEasy

Q1. With reference to the UDAN scheme, which one of the following statements is correct?

AIt was launched in 2016 as the Rural Connectivity Scheme, with fares capped at ₹2,500 on all seats of every flight.
BLaunched in October 2016 as the Regional Connectivity Scheme, it capped fares at roughly ₹2,500 per flight hour on half the seats, the gap being funded by a levy on major routes; its first flight was Shimla–Delhi in April 2017.
CIts viability gap funding is met entirely from general budgetary support, no cross-subsidy mechanism being involved.
DThe Directorate General of Civil Aviation is the implementing agency for the scheme.
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SOCIETY & SOCIAL ISSUESApplicationMedium

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?

AThe scheme has been rebuilt around building and sustaining physical infrastructure, with fare support now accounting for roughly a third of the outlay rather than being the scheme's centre of gravity.
BViability gap funding has been discontinued, airlines being expected to operate regional routes commercially.
CThe infrastructure allocations are intended to replace the Airports Authority of India's own capital programme.
DHelipads receive the largest single allocation, reflecting a shift away from fixed-wing aviation.
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SOCIETY & SOCIAL ISSUESAnalysisHard

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?

A1 only
B1 and 2 only
C2 and 3 only
D1, 2 and 3
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