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NEW DELHI
The Ministry of Civil Aviation on Tuesday signed 21 Memoranda of Understanding (MoUs) with States and Union Territories to strengthen regional air connectivity and develop aviation infrastructure under the next phase of the UDAN scheme. The agreements mark a significant step towards greater Centre-State/UT cooperation for identifying, developing and operationalising aviation assets in unserved and underserved regions.
The MoUs were signed in New Delhi, in the presence of Civil Aviation Minister Kinjarapu Ram Mohan Naidu, Minister of State for Civil Aviation Murlidhar Mohol, Civil Aviation Secretary Samir Kumar Sinha and Airports Authority of India (AAI) Chairman Vipin Kumar, among other senior officials.
“With these MoUs, Team Bharat is joining hands to take India’s regional aviation to greater heights,” Naidu said, emphasising the role of States as equal partners in the development of the country’s aviation sector.
Highlighting the impact of the UDAN scheme since its launch, the minister said the programme has operationalised 687 routes and 95 aerodromes, with more than 3.66 lakh flights carrying around 1.71 crore passengers. He also said employment in the aviation sector has increased from around 3 million in 2014 to nearly 7.7 million currently, with the potential to reach 25 million by 2040. The minister also cited Tezu in Arunachal Pradesh and Purnea in Bihar as examples of airports that have helped improve connectivity and contributed to regional economic activity.
The next phase of UDAN builds on the launch of the programme’s new phase by Prime Minister Narendra Modi in Jodhpur on July 4, 2026, followed by a UDAN workshop held on July 16 to discuss the roadmap for its implementation. According to the ministry, the Modified UDAN framework will focus on four key pillars affordability for passengers, sustainability of operations, a transparent Challenge Mode framework for projects, and promotion of indigenous manufacturing.
Under the new Challenge Mode, State Governments and UT Administrations will be able to nominate airstrips and helipads for development through a dedicated portal launched by the Civil Aviation Ministry on Tuesday. The mechanism is aimed at allowing States and UTs to proactively identify locations with potential for air connectivity and facilitate the creation or upgradation of aviation infrastructure based on local requirements.
The ministry also released the Scheme Document for the next phase of UDAN route bidding. Airlines will be invited to bid for identified routes, with operators and routes selected through a transparent and competitive process. The bidding process is expected to expand air services to unserved and underserved regions and improve connectivity while supporting tourism, trade, employment and wider economic activity.
Speaking at the event, Minister of State for Civil Aviation Murlidhar Mohol said the next phase of Modified UDAN aims to add 120 new destinations and facilitate travel for an additional four crore passengers over the next ten years.
“With more than 20 States coming together, we are taking this journey forward and opening a new chapter in India’s civil aviation sector,” Mohol said.
The 21 MoUs signed between the Ministry of Civil Aviation, participating States and UTs and the Airports Authority of India, the implementing agency for UDAN, establish a framework for coordinated action on aviation infrastructure and regional connectivity. The ministry said the next phase will now move from policy consultations towards on-ground implementation, with emphasis on strengthening Centre–State/UT partnerships, developing aviation infrastructure and expanding regional air connectivity across the country.