Economy & Finance

Modified UDAN opens state-led aerodrome nominations and route bidding

Twenty-one agreements set a framework for states and Union Territories to nominate airstrips and helipads for regional-connectivity development.

By SCULTRA Services Editorial DeskPublished Updated

The Civil Aviation Ministry signed 21 agreements with participating states and Union Territories and the Airports Authority of India under the next phase of the UDAN regional-connectivity scheme.

A new challenge portal allows governments to nominate airstrips and helipads for development, while a route-bidding process will invite airline proposals. The ministry reports 687 operationalised routes, 95 aerodromes and about 1.71 crore passengers under UDAN to date, with the modified phase targeting 120 new destinations and four crore additional passengers over ten years.

Why it matters

State-led nomination can bring local infrastructure priorities into a national aviation programme. Competitive route selection can help reveal where airlines see an operating case and where public support remains necessary.

SCULTRA point of view

Project selection should use demand evidence, lifecycle cost, operating continuity and transport alternatives. Passenger totals matter less than sustained route use and the amount of subsidy needed for each durable connection.

Limitations

The release announces agreements, a portal and a bidding process. It does not identify selected aerodromes, airline awards, capital commitments, route start dates or the funding required to meet the ten-year targets.

Source: Press Information Bureau / Ministry of Civil Aviation, 22 September 2026.