Union Cabinet has approve the UDAN 2.0 scheme with budget of Rs 28,840 crore. It focus on the regional air connectivity and expands aviation infrastructure in country. It will operated for next 10 years.
India Approves Updated UDAN Scheme
Under the new plan, 100 new airports built in challenge mode. The average cost will be Rs 100 crore per airport, with budgetary support of Rs 12,159 crore. Union Cabinet Minister AshwiniVaishnaw spoke to the press, saying, “The UDAN scheme will run for 10 years. Existing airstrips converted into airports to improve regional connectivity.”
Additionally, the scheme includes purchasing Made-in-India aircraft with Rs 400 crore in budget support. This aligns with the government’s effort to promote domestic manufacturing. In line with the Atmanirbhar Bharat initiative, the government plans to buy locally made aircraft.
Drive economic growth, trade, and tourism
The government expects the scheme to drive economic growth, trade, and tourism in Tier-2 and Tier-3 cities while improving healthcare access and emergency response in remote areas. It aims to strengthen India’s aviation network and contribute to the broader Viksit Bharat 2047 vision.
The scheme offers operations and maintenance (O&M) support, with the Cabinet approving three years of assistance for RCS airports. This includes a cap of Rs 3 crore per airport each year and Rs 90 lakh per helipad per year, totaling budgetary support of Rs 2,577 crore.
The original UDAN Scheme started in October 2016 with the goal of making air travel affordable and strengthening connectivity to Tier-2 and Tier-3 cities. Over nine years, 663 routes launched across 95 airports, heliports, and water aerodromes.
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