Key Points

Amaravati, June 26 (IANS) The government of Andhra Pradesh plans to develop two dedicated space cities focusing on technology, R&D, manufacturing and logistics. Chief Minister N. Chandrababu Naidu on Thursday approved the development of Lepakshi Space City and Tirupati Space City.

Lepakshi Space City, spread across 500 acres, will focus on design and development. It will house institutions for R&D, space startups, innovation ecosystems, and services related to space applications.

Tirupati Space City will serve as a hub for manufacturing and launch logistics. Facilities planned include launch vehicle assembly, satellite and payload assembly, mechanical system component manufacturing, and electronics-avionics assembly.

Its proximity to Chennai and Sriharikota, along with Lepakshi's closeness to Bengaluru, offers strategic geographic advantages. The Chief Minister also proposed road connectivity from Tirupati Space City to Sriharikota.

He directed officials to finalise the Space Policy 4.0, with the goal of attracting Rs 25,000 crore in investments. The policy also aims to generate direct employment for 5,000 people and indirect opportunities for nearly 30,000 people.

During a detailed review meeting, he emphasised the need to involve educational institutions to engage students and spark interest in space technologies.

He directed the establishment of a technical committee and the provision of common infrastructure based on a plug-and-play model. The leading firms in communication technology have been offered opportunities to invest in the state.

The Chief Minister further highlighted that the integration of electronics, space, aerospace, defence, and drone technologies is key to the state’s broader innovation strategy.

Joining the meeting via video conference, Honorary Space Technology Advisor to the government of Andhra Pradesh and former ISRO Chairman S. Somanath highlighted that the government of India is launching several key projects under the Space Vision Policy-2047. He underlined the role of private players, such as Starlink, SpaceX, and Blue Origin, in transforming the sector globally, and echoed that the future undoubtedly belongs to space.

The Chief Minister instructed officials to offer more competitive investment incentives to attract companies to invest in the state’s space sector. Investment categories have been classified as Micro (Rs 1-2.5 crore), Small (Rs 2.5-Rs 25 crore), Medium (Rs 25-Rs 125 crore), Large (Rs 125-Rs 500 crore), and Mega (Rs 500+ crore).

Proposals to provide subsidies ranging from 25 per cent to 45 per cent, with special incentives for women, BC, SC, ST, minority, and differently-abled entrepreneurs, are also under consideration.

India currently holds just 2 per cent of the global space economy. The target is to attract $44 billion in space investments by 2033. India’s Space Policy-2023 allows 100 per cent FDI in the sector.

Under the India Space Vision-2047, goals include satellite manufacturing, remote sensing satellite launches, Chandrayaan 4, Venus Orbiter Mission, Mars Lander Mission, human spaceflight programs including space stations, next-gen launch vehicles (NGLVs), and a third launch pad at Sriharikota.

- IANS