India’s aviation landscape is undergoing a significant transformation, driven by rapid urbanisation, surging domestic air traffic, and initiatives such as the Regional Connectivity Scheme – Ude Desh ka Aam Naagrik (RCS-UDAN). However, long-standing issues such as population growth and road congestion continue to cause setbacks. In this context, advanced air mobility (AAM), including electric vertical take-off and landing (eVTOL) aircraft, seaplanes, drones and unmanned aerial vehicles (UAVs), is attracting attention, and is expected to transform urban commute, regional connectivity and logistics.
Pioneering urban air taxis
eVTOL aircraft are at the forefront of AAM, blending electric propulsion with vertical capabilities to enable air taxis for 20-100 km hops. These aircraft significantly reduce travel times in gridlocked metros. The Directorate General of Civil Aviation (DGCA) has issued vertiport guidelines and type certification criteria. In February 2025, the Ministry of Civil Aviation (MoCA) identified locations for trials, scheduled to commence in 2026.
Home-grown start-ups are leading this transformation. Bengaluru-based Sarla Aviation unveiled its six-passenger Shunya prototype, designed for 20-30 km trips at 250 kmph. After raising $10 million in a Series A funding, it began ground testing and is aiming for commercial roll-out in Bengaluru by 2028, with subsequent expansion to Mumbai, Delhi and Pune. In January 2025, ePlane became the first private Indian firm to secure DGCA type certification acceptance for its e200X air taxi, targeting 2026 services and daily transport of over 500,000 passengers within three years. Global players are also entering the space. Brazil’s Eve Air Mobility has partnered with JetSetGo to deploy urban air traffic management software solutions aimed at enhancing eVTOL safety and efficiency.
The use cases of eVTOL aircraft extend to air ambulances. For instance, the Bengaluru Airport-Electronics City route could be reduced to 19 minutes by air compared to 150 minutes by road. However, several challenges remain, including limited battery density for longer ranges and airspace segregation through dedicated corridors.
Unlocking waterways via policy shifts
With over 11,000 km of coastline, almost 1,300 islands and vast river networks, India offers significant opportunities for seaplane operations. In August 2024, reforms streamlined non-scheduled permits and DGCA certification under RCS-UDAN, enabling multi/single-engine operations.
The 2026 Union Budget announced incentives for domestic manufacturing and a viability gap funding (VGF) scheme to support operations, addressing viability issues faced in the past by airlines such as SpiceJet. In October 2025, the MoCA allocated 48 seaplane routes in Kerala under the UDAN scheme to strengthen tourism connectivity via waterdromes. These new routes were allocated to operators including MEHAIR, IndiaOne Air, Pawan Hans Limited and SpiceJet, with trial flights such as Kochi-Mattupetty already conducted.
Last-mile and specialised services using drones and UAVs
Drones are rapidly maturing into commercial use, supported by Digital Sky and beyond visual line of sight (BVLOS) approvals. Skye Air Mobility hit 150,000 deliveries in Gurugram by December 2024, partnering with Blue Dart for intra-city e-commerce. Building on this momentum, industry experts expect 2026 to be the year intra-city scales before intercity, driven by high-density and time-sensitive cases. Further, Tata Elxsi signed MoUs with CSIR-NAL (January 2025) and Garuda Aerospace (February 2025) to develop UAVs for defence, smart cities and farming.
Drones are used in the medical sector to deliver vaccines and reach clinics in remote locations. They also aid precision agriculture through crop monitoring. Advanced unmanned traffic management systems now integrate drone fleets into shared airspace, automating flight approvals, enabling real-time tracking and managing deconfliction to support scalable operations across urban and rural zones. BVLOS capabilities, powered by AI detect-and-avoid and satellite links, enable long-range drone flights.
Priorities for the future include standardised airspace coordination frameworks, with regulators such as the DGCA piloting high-density vertiports and dynamic corridors. The key challenges include safeguarding privacy via geofencing and data encryption, ensuring robust collision avoidance via radar and LiDAR sensors and expanding rural charging infrastructure with solar-powered stations.
The way forward
India stands on the cusp of an air mobility revolution. During 2026, eVTOL trials are expected to begin, seaplane networks will activate coastal economies under UDAN 5.0 and drone fleets will optimise last-mile logistics at unprecedented scale.
Looking ahead, success will depend on sustained public-private collaboration to scale up vertiports, and leverage VGF incentives to drive investments by 2030. This emerging ecosystem promises not only time saving but also inclusive growth. With global partnerships such as Archer-IndiGo and domestic champions like Sarla and ePlane, India can also export AAM expertise, positioning itself as Asia’s hub. Going forward, appropriate regulation, infrastructure creation and equitable access will transform challenges into opportunities, propelling India towards a future where air mobility is mainstream.
Himanshu Tagore
