UDAN Scheme (Ude Desh ka Aam Naagrik)
- Launched: 2016
- Objective: Enhance regional connectivity by making air travel affordable.
- Implementation: Ministry of Civil Aviation through a transparent bidding process.
- Key Features:
- Provides viability gap funding (VGF) to airlines for unserved and underserved routes.
- Focus on Tier II and Tier III cities.
- Affordable airfares with a cap on ticket prices for specific routes.
Working of the Scheme:
- Focuses on unserved and underserved airports (those with less than seven flights per week).
- Routes are awarded through a transparent bidding process.
- Airlines receive VGF for three years to help establish viable routes.
- The scheme also aims to decongest major airports by increasing activity at smaller airports.
Monitoring and Regulation:
- The Directorate General of Civil Aviation (DGCA) monitors airfare through a tariff monitoring unit.
- The government intervenes during events like Maha Kumbh to prevent exorbitant fares.
- The Ministry of Civil Aviation is promoting increased aircraft availability and encouraging new airlines to control airfare.
Recent Developments:
- Expansion Plan: Government plans to add 120 new locations and connect 4 crore people through the scheme over the next 10 years.
- Achievements:
- Connected 1.5 crore people in the past decade.
- Over 327 companies have participated in the scheme.
- Extended for another 10 years due to its success (as announced in the 2024-25 Union Budget).
Significance:
- Enhances regional connectivity and accessibility.
- Reduces congestion at major airports.
- Promotes economic development by improving air transport infrastructure.
- Supports the government’s vision of affordable and accessible air travel for all.