RCS-UDAN scheme needs a budgetary allocation of Rs 25 billion in 2022-23

A preliminary estimate by AAI and the Ministry of Civil Aviation (MoCA) has suggested that they will need a budgetary allocation of Rs 25 billion under the Regional Connectivity Scheme – Ude Desh Ka Aam Naagrik (RCS-UDAN) – in 2022-23. In the 2021-22 budget, the government had allocated Rs 6 billion for the UDAN scheme, which was 14.28 per cent lower than the funds allocated in 2020-21. The government is pushing to complete its target of achieving connectivity to 100 airports under the UDAN scheme, and hence more funds will be required to operate flights. MoCA has awarded more than 800 domestic routes to various operators over four rounds since March 2017, providing connectivity to about 60 airports across the country under UDAN.