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India's Aviation Leap: Udan Boosts Regional Flights
1 Apr
Summary
- Udan scheme budget increased six-fold to boost regional air connectivity.
- 100 new airports and 200 helipads will be developed over the next decade.
- Subsidy period extended to five years to support smaller airlines.
The Indian government has significantly enhanced the regional connectivity scheme, Udan, by increasing its budget six-fold. This initiative aims to expand air travel to smaller towns, fostering economic growth and making flying accessible to more citizens. The plan, approved by the cabinet, earmarks ₹28,840 crore for developing 100 new airports and 200 helipads over the next decade.
This substantial investment is anticipated to stimulate demand for smaller aircraft, creating opportunities for local manufacturing. Major aerospace firms are exploring assembly lines in India, contingent on sufficient orders. The Udan scheme's revamped version now offers a five-year subsidy period for airlines, an increase from the previous three years, and includes maintenance support for remote airports.
This extended support aims to bolster smaller airlines crucial for remote connectivity, addressing financial burdens and operational challenges. Civil aviation minister Ram Mohan Naidu highlighted that aviation is evolving into a vital transport mode for the common person, extending reach to tier-II and tier-III cities as part of the Viksit Bharat 2047 vision.
