Union Budget: Civil aviation wings clipped with 10% outlay cut
The budgetary allocation for the civil aviation ministry has been cut by nearly 10 per cent to Rs 2,400.31 crore for the next financial year, with the regional air connectivity scheme Udan set to get a lower amount of Rs 540 crore.
The allocation in the Union Budget 2025-26, presented by the Finance Minister Nirmala Sitharaman in Parliament on Saturday, is less compared to Rs 2,658.68 crore in the revised 2024-25 Budget.
Out of the total allocation for the next fiscal starting from April 1, 2025, Udan will get Rs 540 crore, which is 32 per cent lower compared to Rs 800 crore in the year-ago period.
Meanwhile, Finance Minister Nirmala Sitharaman on Saturday announced launching a modified Udan scheme to bring 120 new destinations under the regional connectivity network to carry four crore passengers in the next 10 years.
Presenting the Budget proposals in Parliament, Sitharaman said the scheme would also support helipads and smaller airports in hilly, aspirational, and North-East region districts.
The FM said the existing Udan scheme connected 88 airports and operationalised 619 routes. Approximately, 1.5 crore people have travelled by air by taking advantage of the scheme, she said.
Sitharaman also announced facilitating upgrade of infrastructure and warehousing for air cargo, including high value perishable horticulture produce. Cargo screening and customs protocols would also be streamlined and made user-friendly, she said.
The Finance Minster also proposed facilitating greenfield airports in Bihar to meet the future needs of the state. These will be in addition to the expansion of the capacity of Patna airport and a Brownfield airport at Bihta, she said.
Civil Aviation Minister K Ram Mohan Naidu said the Budget reinforced the government's commitment to enhancing regional connectivity with the idea of 'Ease of Travel'. “Udan is more than just a transportation initiative; it is about bringing aspirations and opportunities closer to people. Having already enabled 1.5 crore passengers to experience affordable air travel, our target is to extend this benefit to 4 crore more in the next decade," he said.
(With agency inputs)
