Modified UDAN Scheme 2026 - Cheap Air Travel at Rs 2500 Per Hour

UDAN (Ude Desh ka Aam Nagrik) is a central government scheme that makes air travel cheaper for people in tier 2 and tier 3 cities. Under the scheme, fares on regional routes are capped at Rs 2,500 per seat for a one-hour flight. The scheme has now been upgraded as Modified UDAN, which the Union Cabinet approved on 25 March 2026 and launched on 4 July 2026.

Modified UDAN will run for 10 years, from FY 2026-27 to FY 2035-36, with a total outlay of Rs 28,840 crore. This article explains the details of the Modified UDAN scheme, the fare structure, how it works, the new components, and the latest list of operationalised airports and routes.

Objective of UDAN - Uva Desh Ka Aam Nagrik

The main aim of the UDAN scheme is to provide cheaper air travel to people across the country. The scheme focuses on connecting tier 2 and tier 3 cities and adding unserved and underserved airports to the aviation map.

Modified UDAN Scheme Fares

Under the UDAN scheme, the fare for regional domestic flights is capped at Rs 2,500 per hour of flight on a fixed-wing aircraft. One hour of flight can cover about 500 km, so the fare works out to about Rs 5 per kilometer, which is cheaper than most direct cab services in the country. For a journey on a helicopter, the fare is capped at Rs 2,500 for every 30 minutes, which means Rs 5,000 per hour.

Airline operators provide a minimum of 9 and a maximum of 40 UDAN seats in each flight on domestic routes. For helicopter flights, a minimum of 5 and a maximum of 13 UDAN seats are provided. Under this scheme, the fare for 50% of the seats is capped at Rs 2,500, while the rest are sold at the current market price. Selected operators also need to run at least 3 UDAN flights and a maximum of 7 departures every week.

How UDAN Scheme Works

The central government gives concessions to selected airlines in the form of reduced excise duty, service tax, permission to trade ASKMs for non-RCS seats, and flexibility of code sharing on RCS airports. On the other hand, state governments provide rebates such as reducing the VAT on ATF to 1% or less. The state governments also provide security and fire services free, and electricity, water and other utilities at much lower rates.

Airlines do not have to pay extra charges for landing and parking and terminal navigation and landing charges by the airport operator. Airport operators also give discounts on route navigation facility charges.

New Components of Modified UDAN

Modified UDAN brings a set of new components to strengthen regional air connectivity. The main focus is on expanding airport infrastructure, improving operational support, and creating a viable setup for airlines serving smaller markets.

• Development of aerodromes: 100 airports will be developed from existing unserved airstrips with an outlay of Rs 12,159 crore over the next eight years.
• Operation and maintenance support: O&M support will be given for three years, capped at Rs 3.06 crore per year per airport and Rs 0.90 crore per year per heliport or water aerodrome. This is estimated at Rs 2,577 crore for around 441 aerodromes.
• Development of modern helipads: 200 modern helipads will be built at Rs 15 crore each, with a total outlay of Rs 3,661 crore over eight years.
• Viability gap funding: A total of Rs 10,043 crore is proposed for VGF over ten years to support airlines and keep regional routes viable.

Selection of UDAN Airports

The selection of airports under the UDAN scheme is done in consultation with the state governments. The focus remains on starting operations on unserved airports and reviving dysfunctional airports. A Regional Connectivity Fund was set up earlier, to which the partner state governments (other than North and North Eastern states and Union Territories, where the contribution is 10%) contribute a 20% share. The flights under the UDAN scheme have been running from January 2017.

List of Airports under UDAN Scheme

The list of airports under UDAN Scheme has been released on the official website of Airport Authority of India at www.aai.aero. As of 15 July 2026, 679 routes connect 95 airports, heliports and water aerodromes across the country. More than 3.58 lakh flights have flown under the scheme, serving over 1.68 crore passengers.

Here is the direct link to check the list of operationalised airports under the UDAN scheme - RCS UDAN page on Airport Authority of India.

UDAN Scheme Routes List and PDF

Here is the direct link to check the list of 499 RCS routes opened as on 17 October 2023 - RCS UDAN Routes List PDF. As of 15 July 2026, the number of operationalised routes has grown to 679.

For more details, visit the official website of Airport Authority of India at https://www.aai.aero/en/rcs-udan or the Ministry of Civil Aviation page at https://www.civilaviation.gov.in/udan-rcs/udan-rcs.

FAQ's

Is the UDAN scheme still running?

Yes. The scheme has been upgraded as Modified UDAN, which will run from FY 2026-27 to FY 2035-36.

What is the fare under the UDAN scheme?

The fare on regional routes is capped at Rs 2,500 per seat for a one-hour flight.

How many routes are operational under UDAN?

As of 15 July 2026, 679 routes connect 95 airports, heliports and water aerodromes across the country.

Where can I check the list of UDAN airports?

The list is available on the official website of Airport Authority of India at aai.aero.