New Delhi, September 22 (Daily Kiran) : The Union Minister for Civil Aviation, Ram Mohan Naidu, announced on Tuesday that 21 states and union territories have signed a Memorandum of Understanding (MoU) as part of the next phase of the Udaan (Ude Desh ka Aam Naagrik) scheme. This initiative aims to enhance regional air connectivity across India.
During the signing ceremony, Naidu emphasized that Udaan has been one of the country’s most transformative initiatives, significantly improving air travel accessibility for the general public. He revealed that the government has decided to extend the Udaan scheme for another ten years, during which it aims to construct 100 new airports and 200 modern heliports. The next phase also targets connecting 40 million passengers to air travel.
In the past decade, the revised Udaan scheme has seen the development of over 80 airports, benefiting approximately 15.4 million passengers with affordable air travel options. The program also introduced a ‘Challenge Mode’ for the next phase, which aims to expedite airport project completions. This new approach is expected to reduce construction timelines from two to three years down to just 18 months.
Naidu highlighted that India’s aviation sector currently supports over 7 million jobs, a number projected to exceed 20 million by 2040. He noted that the support for regional connectivity projects through the Viability Gap Funding (VGF) will now be extended from three years to five years, facilitating continued financial assistance.
The minister urged states to actively engage with small and regional airlines, emphasizing the importance of fostering new airline ventures. He stated, “Small airlines want to grow quickly; they just need the right incentives.” Naidu called on state governments to attract investors and partners to help launch new airlines, underscoring the vital role of states in advancing regional aviation.
He also mentioned that state governments could assist in expanding regional airlines by developing small business models, ensuring air services reach remote areas. When questioned about SpiceJet, Naidu assured that the Directorate General of Civil Aviation (DGCA) is closely monitoring the airline’s operational and financial status to uphold safety standards.
In response to challenges faced by the aviation sector, including the crisis in West Asia, the central government provided support through the Emergency Credit Line Guarantee Scheme (ECLGS), which allocated ₹1.5 billion to SpiceJet.
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