India to Develop 100 Airports and 200 Helipads as New UDAN Phase Accelerates Regional Infrastructure

India is preparing for a major expansion of regional aviation infrastructure after the Centre launched the next phase of the UDAN regional connectivity scheme, with 21 states and Union Territories signing agreements to develop aviation assets and improve connectivity to underserved regions.

The Ministry of Civil Aviation launched the new phase on September 22, introducing a Challenge Mode for aerodrome development that allows states and Union Territories to nominate airstrips and helipads for development. The government aims to make airport construction faster, with the new approach targeting completion within 18 months, compared with an earlier average gestation period of nearly three years.

Under Modified UDAN, the Centre plans to develop 100 airports from existing unserved airstrips over the coming years. The scheme has allocated ₹12,159 crore for aerodrome development, making airport infrastructure one of its largest components.

Another ₹3,661 crore has been earmarked for the development of 200 modern helipads in hilly, remote, island and aspirational regions. These facilities are intended to improve access in locations where conventional airport infrastructure can be difficult or expensive to establish.

The wider Modified UDAN programme will run from FY2026-27 to FY2035-36, with a total government outlay of ₹28,840 crore. The scheme also includes ₹2,577 crore for operations and maintenance support for around 441 aerodromes and ₹10,043 crore in viability-gap funding for airline operators over the 10-year period.

The latest expansion builds on the infrastructure created during UDAN’s first phase. According to the Civil Aviation Ministry, the programme has so far operationalised 687 routes across 95 aerodromes, with more than 3.66 lakh flights carrying around 1.71 crore passengers. The government says the next phase will add 120 new destinations and target another four crore passengers over the next decade.

The infrastructure push could have implications beyond aviation. New airports can improve access to markets, tourism destinations and healthcare facilities while creating demand for roads, public transport, hotels, warehouses, commercial property and other supporting infrastructure around emerging aviation hubs.

The Challenge Mode framework also changes how projects are identified. Instead of developing every proposed location simultaneously, states and Union Territories can nominate airstrips and helipads based on local connectivity requirements. Projects can then be evaluated through a structured process before development and route bidding.

For smaller cities and remote regions, the impact could therefore extend beyond passenger travel. Improved air connectivity can make these locations more accessible for businesses, investors and tourists while strengthening their links with larger economic centres.

The government has also linked the next phase of UDAN with the longer-term development of India’s aviation ecosystem, including greater emphasis on indigenous aircraft and helicopter manufacturing.

With the new framework now moving from policy planning towards project identification and implementation, the next challenge will be converting proposed airstrips and helipads into functioning infrastructure while ensuring that regional routes remain financially sustainable.