“A common man who travels in slippers, should also be seen in the aircraft. This is my dream.” – Prime Minister Shri Narendra Modi
Introduction
The UDAN (Ude Desh ka Aam Nagrik) Scheme has fuelled the civil aviation sector to soar to greater heights time and again. On November 17, 2024, India’s aviation sector reached a historic milestone as 5,05,412 domestic passengers took to the skies daily, a monumental achievement that marked the first time daily passenger numbers crossed the 5-lakh mark. In a country where the sky symbolizes hope and aspiration, the dream of affordable flying became a reality with the launch of UDAN (Ude Desh ka Aam Nagrik) on October 21, 2016.
With over 3,100 flights operating nationwide, this achievement not only highlights India’s growing prominence in the global aviation landscape but also instills a sense of pride and optimism. The UDAN scheme has been instrumental in this transformation, operationalizing 609 routes, including helicopter services, and seamlessly connecting states and Union Territories across the country.
Creating a Difference for the Aam Nagrik
The UDAN scheme has not just transformed the aviation sector, but it has also made a significant difference in the lives of the ‘Aam Nagrik ‘, making air travel more accessible and affordable. Spearheaded by the Ministry of Civil Aviation, the scheme has transformed air travel by enhancing regional connectivity and making it accessible to millions. With continuous advancements like helicopter routes and last-mile connectivity, UDAN has bridged the gap between aspirations and accessibility, reshaping India’s aviation landscape. This relentless progress has now culminated in a historic milestone, showcasing the scheme’s far-reaching impact.
The Dream Takes Flight
The story of UDAN is deeply rooted in Prime Minister Narendra Modi’s vision. In a pivotal meeting before the National Civil Aviation Policy was announced, Modi emphasized the need to democratize air travel. He famously remarked that he wanted to see people wearing slippers boarding planes, a sentiment that ignited the vision for a more inclusive aviation sector. This commitment to the ordinary person’s dreams, to make air travel a reality for all, led to the birth of UDAN.
The first UDAN flight took off on April 27, 2017, connecting the serene hills of Shimla to the bustling metropolis of Delhi. This inaugural flight not only marked a significant milestone but also heralded the beginning of a transformative journey in Indian aviation. It opened up the skies to countless citizens, inspiring hope and a brighter future for air travel in India.
Over the past seven years, the UDAN Scheme has evolved through various phases to enhance regional air connectivity in India. Starting with UDAN 1.0 in 2017, which awarded 128 flight routes and operationalized 36 new airports, the scheme progressed with UDAN 2.0, adding helipad connectivity and underserved airports. UDAN 3.0 introduced tourism routes and seaplanes, focusing on the Northeast. UDAN 4.0 expanded operations to hilly regions, islands, and helicopters. The UDAN 5.0 series (5.0 to 5.4) brought significant advancements, including removing distance caps, prioritizing operational airports, boosting helicopter and small aircraft connectivity, and reactivating discontinued routes, ensuring last-mile air connectivity and affordability across India.
A Market-Driven Approach
The UDAN Scheme operates on a unique market-driven model, where airlines assess demand on specific routes and submit proposals during bidding rounds. This approach incentivizes airlines to connect underserved regions by offering support through Viability Gap Funding (VGF) and various concessions provided by airport operators, the Central Government, and State Governments.
Support Mechanisms
The government has implemented several supportive measures to attract airlines to operate flights in less lucrative markets:
- Airport Operators: They waive landing and parking charges for RCS flights, and the Airports Authority of India (AAI) does not levy Terminal Navigation Landing Charges (TNLC) on these flights. Moreover, a discounted Route Navigation and Facilitation Charge (RNFC) is applied.
- Central Government: Excise duty on Aviation Turbine Fuel (ATF) purchased at RCS airports is capped at 2% for the first three years. Airlines are also encouraged to enter code-sharing agreements to expand their reach.
- State Governments: States have committed to reducing VAT on ATF to 1% or less for ten years and providing services such as security, fire, and utility at reduced rates.
This collaborative framework, where the government, airport operators, and airlines work together, has fostered an environment where airlines can thrive while serving regions that have long been overlooked. This sense of collaboration and shared responsibility is what makes the UDAN Scheme not just a government initiative, but a collective effort to enhance regional air connectivity in India.
Fuelling Growth in the Aviation Industry
The RCS-UDAN scheme has played a pivotal role in revitalizing the civil aviation industry in India. Over the past seven years, it has catalyzed the emergence of many new and successful airlines. Regional carriers such as Fly Big, Star Air, India One Air, and Fly91 have benefited from the scheme, developing sustainable business models and contributing to a burgeoning ecosystem for regional air travel.
The incremental expansion of the scheme has also generated a rising demand for new aircraft of all sizes, broadening the spectrum of planes deployed on RCS routes. This includes a diverse fleet featuring the Airbus 320/321, Boeing 737, ATR 42 and 72, DHC Q400, Twin Otter, Embraer 145 and 175, Tecnam P2006T, Cessna 208B Grand Caravan EX, Dornier 228, Airbus H130, and Bell 407. Notably, Indian carriers have placed orders for over 1,000 aircraft slated for delivery in the next 10-15 years, significantly augmenting the existing fleet of approximately 800 planes.
Promoting Tourism
The RCS-UDAN Scheme is not just about offering last-mile connectivity to tier-2 and tier-3 cities; it is a significant contributor to the burgeoning tourism sector. Initiatives like UDAN 3.0 have introduced tourism routes connecting several destinations in the Northeast region, opening up new travel opportunities for both domestic and international tourists. At the same time, UDAN 5.1 is focused on expanding helicopter services in hilly areas to stimulate tourism, hospitality, and local economic growth. The UDAN Scheme is not just about flying from one place to another; it’s about exploring new destinations and experiences.
Significant destinations like Khajuraho, Deoghar, Amritsar, and Kishangarh (Ajmer) are now more accessible, catering to the religious tourism segment. Furthermore, the introduction of airports in Pasighat, Ziro, Hollongi, and Tezu has spurred growth in the Northeast’s tourism industry. Notably, Agatti Island has also been included in the Indian aviation map, enhancing tourism in Lakshadweep.
Soaring High: Some UDAN Airports
- Darbhanga Airport (Civil Enclave): Once off the aviation map, Darbhanga celebrated the arrival of its first flight from Delhi on November 9, 2020. This airport now serves as a gateway for 14 districts in North Bihar, connecting to major cities like Delhi, Mumbai, Hyderabad, and Kolkata. It will handle over 5 lakh passengers in FY 2023-24.
- Jharsuguda Airport (AAI Airport): Previously a dilapidated WWII airstrip, Jharsuguda became operational in March 2019, serving as the second airport in Odisha. It now connects the region to Delhi, Kolkata, Bengaluru, and Bhubaneswar, with over 2 lakh passengers in FY 2023-24.
- Pithoragarh Airport: Nestled in the Himalayas, this airport was identified for RCS operations in 2018 and began service in January 2019. Currently, it connects to Dehradun and Pantnagar, showcasing its strategic importance.
- Tezu Airport: Known for its scenic beauty and religious significance, Tezu Airport commenced RCS operations in August 2021. It connects Guwahati, Jorhat, and Dibrugarh and accommodates approximately 12,000 passengers in FY 2023-24.
On October 20, 2024, Prime Minister Shri Narendra Modi inaugurated three new airports under the RCS UDAN scheme: Rewa in Madhya Pradesh, Ambikapur in Chhattisgarh, and Saharanpur in Uttar Pradesh.
Conclusion: A Testament to Inclusivity
UDAN is not just a scheme; it is a movement aimed at empowering every Indian with the gift of flight. Enhancing regional connectivity and ensuring affordability has fulfilled the aspirations of countless citizens while stimulating economic growth and job creation. As UDAN continues to evolve, it promises to transform India’s aviation landscape, ensuring the sky is everyone’s limit. With its ongoing commitment to connecting underserved regions and promoting tourism, the UDAN scheme remains a game changer for Indian aviation, contributing significantly to India’s vision of a connected and prosperous nation.
Reference: PIB