517 UDAN Routes Operate Across 76 Airports; INR 1000 Cr Allocated for Further Development

The ambitious UDAN (Ude Desh Ka Aam Nagrik) initiative, the government's flagship regional connectivity scheme, has successfully operationalized 517 RCS routes, connecting 76 airports, which include nine heliports and two water aerodromes, according to a statement by Dr. V.K. Singh, Minister of State for the Ministry of Civil Aviation.

UDAN aims to enhance regional air connectivity at affordable rates, with a focus on underserved and unserved routes. The overarching goal is to foster connectivity in regional areas, promote balanced growth, and ensure affordability in air travel for the masses.

During a recent session in the Rajya Sabha, Dr. V.K. Singh shared that the government envisions activating 1000 UDAN routes and reviving/developing 100 unserved and underserved airports, heliports, and water aerodromes in the country by 2024 for the operation of UDAN flights.

The scheme has already benefited more than 130 lakh people, as per recent figures from the Civil Aviation Ministry.

In terms of funding, INR 4500 crore has been allocated for airport development under the scheme, with INR 3751 crore utilized since its inception. Additionally, INR 3020 crore has been disbursed to selected airline operators as Viability Gap Funding (VGF) until November 28, 2023. Specifically in Tamil Nadu, out of the sanctioned INR 97.88 crore for airport development, INR 94.51 crore has been spent so far.

Looking forward, INR 1000 crore has been earmarked under Phase II of the scheme (2023-26) for the development and operation of 50 new airports, heliports, and water aerodromes across the country, including projects in Tamil Nadu. This allocation underscores the government's commitment to strengthening aviation infrastructure and connectivity nationwide.

To incentivize airlines to operate from unserved or underserved airports, heliports, and water aerodromes, selected operators receive financial incentives and concessions from both Central and State Governments, as well as airport operators. The goal is to keep airfares affordable and promote increased connectivity.

UDAN operates as a market-driven scheme, with airlines submitting proposals based on their assessment of demand for specific routes during bidding under RCS - UDAN. Airlines participating in the UDAN scheme are required to allocate a specified number of seats as RCS seats, with the allocation varying based on the type and size of the aircraft deployed for RCS flights.

Selected Airline Operators also receive financial support in the form of Viability Gap Funding (VGF), with State Governments contributing a specified percentage towards VGF for RCS flights within their states. The UDAN scheme is set to span a period of 10 years, subject to periodic reviews, while VGF support for RCS routes will be available for a limited period of three years.

ET