The Indian government is reportedly preparing a new subsidy plan aimed at reviving “ghost airports” — facilities that remain unused despite heavy investment. According to sources familiar with the matter, the initiative seeks to justify billions of rupees spent on developing regional aviation infrastructure that has seen little or no activity. This effort marks a strategic move to ensure that dormant airports finally contribute to India’s growing aviation network.
Building on the existing UDAN (Ude Desh ka Aam Nagrik) scheme, which promotes affordable regional connectivity, the new subsidies will target idle airports across the country. These sites, though developed with public funds, have struggled to attract regular airline operations due to low passenger demand or limited commercial viability. The government’s intervention aims to make these routes more attractive for airlines, ultimately benefiting smaller towns and remote regions.
Under the new proposal, airlines operating from these idle airports will receive monthly subsidy payments designed to offset losses from offering lower fares. This means carriers can maintain affordable ticket prices on specific routes without compromising profitability. The payment structure will consider factors like the number of seats sold and fare differences, ensuring that financial assistance is performance-based and encourages genuine route development.
Officials believe this strategy will help reenergise regional air travel, improve accessibility, and strengthen India’s overall aviation network. The subsidies are also expected to drive tourism, enhance business connectivity, and support local economies by linking smaller cities to major urban centers.
While discussions remain ongoing, this renewed push highlights the government’s focus on maximising the return on infrastructure investment and ensuring that every airport developed under public funding becomes operationally viable. By combining targeted subsidies with stricter performance tracking, India hopes to transform these once-silent terminals into active hubs of regional growth.
