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UDAN Scheme

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Source: IE

Context:

Civil Aviation Secretary Samir Kumar Sinha announced that the Regional Connectivity Scheme known popularly as UDAN (Ude Desh Ka Aam Nagrik) will be continued beyond 2027 and its nework will extend to 120 new destinations.

Full Form: Ude Desh ka Aam Nagrik

Objective: Make air travel affordable, accessible, and inclusive by connecting remote and regional areas to major cities, promoting regional economic development.

Launch and Milestones

  • Launched: 21 October 2016 under the National Civil Aviation Policy (NCAP).
  • First Flight: 27 April 2017 (Shimla–Delhi).
  • Anniversary: MoCA celebrated the 9th anniversary in 2025.

Key Features

  • Viability Gap Funding (VGF):
    • Provides financial support to airlines operating on regional routes to maintain affordable fares.
  • Airfare Cap:
    • Limits ticket prices to keep flights accessible for common citizens.
  • Incentivised Framework:
    • Waivers on airport charges.
    • Tax concessions on Aviation Turbine Fuel (ATF).
  • Multi-Stakeholder Governance:
    • Collaborative framework involving MoCA, State Governments, AAI, and private operators.
  • UDAN 5.5 & Seaplane Guidelines (2024):
    • Expanded coverage to water aerodromes and heliports.
    • Supports last-mile connectivity in remote regions.

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