Draft Drone Policy Framework
Draft Drone Policy Framework
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I. Introduc+on
Unmanned and remotely operated vehicles of all types, commonly known as drones, have come
a long way from their initial military applications. Over the last decade, drones have
experienced rapid growth across civilian sectors, becoming invaluable tools in agriculture,
aerial mapping, industrial inspections, search and rescue, and more. This expanding landscape
includes innovative areas such as urban air mobility and advanced air mobility, illustrating the
diverse potential of drones.
Drones are now acknowledged as crucial contributors to economic growth and job creation,
particularly in remote and challenging environments. The global drone market has experienced
substantial growth, reaching USD 37.68 billion in 2023, and is expected to grow at an annual
rate of 15.2%, reaching USD 71.1 billion by 2028. As of 2023, India holds approximately 3%
of this rapidly expanding global market.
Beyond their direct use, drones have the potential to enhance data collection capabilities,
augmenting emerging technologies such as artificial intelligence, 3D modelling, LiDAR, and
hyperspectral imaging. Integration of drones with these advanced technologies has the potential
to be a crucial enabler of numerous sectors, potentially creating over half a million job
opportunities over the next 5-10 years. The demand for skilled drone pilots, data processing
experts, and analytics professionals is expected to rise with increased adoption and use of
drones.
As one of the few countries in the world to have an operational drone framework, the
Government of India has taken several steps to incentivize the sector, including liberalizing the
ecosystem through the Drone Rules 2021, the introduction of the PLI scheme for drone
manufacturers, and initiatives like “Kisan Drones” aimed at boosting agricultural
mechanization. This has laid the foundation for India’s drone sector to fully capitalize on its
disruptive potential in various industries.
In Andhra Pradesh, several government departments have already embraced drone technology
across diverse sectors, including Mining, Agriculture, Survey Settlement and Land Records,
Disaster Management, Panchayat Raj, Pollution Control Board, and police operations. With a
unique opportunity at our doorstep, the state of Andhra Pradesh aims to lead the country by
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emerging as a leader in the adoption of drone technologies, becoming a manufacturing hub for
the drone industry, and eventually becoming a leading drones exporter to the entire world.
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c. Promote research and development in drone technology through collaboration with
academia, research institutions and industry.
d. Equip our workforce with the skills needed to excel in the drone economy,
supported by world-class education and training programs.
D. Governance
To ensure effective governance, the GoAP will constitute a state level empowered committee
under chairmanship of CS, Andhra Pradesh Drone Corporation as state drone coordination cell
and industry consultation cell working under APDC for quick and smooth functioning. This
committee will meet every month to monitor and review:
• The performance of the single-window clearance system in facilitating investments.
• Any issues that may arise regarding investment facilitation and drone operations.
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• The implementation progress of all large and mega projects in the drone sector.
• Any issues or proposals that require the committee’s consideration.
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c) Local procurement: The GoAP will prioritize procurement from state drone
manufacturers / service providers for government projects, helping to drive
demand for locally produced drones / service providers and create a sustainable
market for indigenously produced products.
d) Training: The GoAP will regularly conduct training programs for government
officials and staff to familiarise them with drone technologies, operational use,
data handling and integration into departmental workflows.
e) Drone data: The GoAP will endeavour to utilize drone-generated data to feed
into existing digital governance platforms, enabling data-driven decision-
making in areas like urban planning, resource management, and infrastructure
development.
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also required to participate in knowledge-sharing initiatives to promote best
practices in drone technology adoption across the state.
e) Technical assistance: In addition to financial support, the Corporation shall
provide technical assistance to fund recipients to ensure successful
implementation of drone technology. This may include training, regulatory
compliance guidance, and operational best practices.
f) Promotion of local drone industry: The Corporation shall, where possible,
encourage procuring drone technology from manufacturers and service
providers within the state. Further, the Corporation may offer additional
incentives for adopting locally developed or manufactured drone technologies.
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5. Increasing public awareness and adoption of drones
a) The Corporation will conduct public awareness events, such as roadshows and
drone expos, to highlight the potential applications of drones in various
industries and government services. These events can include live
demonstrations of drone capabilities, hackathons, and challenges to engage the
private and public sectors and the general public.
b) The campaign will be operationalized in English, Hindi and Telugu.
c) The GoAP will also launch a public engagement initiative called the “Drone
Experience Zone” to build interest in and showcase the ease of use of drone
technology.
1. Education
a) Integration of drone technology in education:
§ School-level integration: The GoAP will frame drone technology
modules as part of STEM (Science, Technology, Engineering and
Mathematics) education in schools to inspire curiosity and foundational
knowledge about drones from an early age. This will include hands-on
drone training sessions and aeromodelling projects in high-school
curricula, enabling students to understand the practical aspects of drone
operations and engineering.
§ University-level courses: The GoAP will partner with leading technical
universities and institutes in Andhra Pradesh to develop specialized
courses on drone engineering, aerial robotics, and data analytics to
ensure that students receive industry-relevant education. Universities
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will be encouraged to offer diploma and degree programs focused on
drone technology and its sectoral applications in agriculture, urban
planning, and logistics.
b) Innovation and practical learning environments:
§ The GoAP will foster the creation of drone innovation labs in select
educational institutions. These labs will be equipped with state-of-the-
art technology and tools for students to experiment with drone design,
coding, and aerodynamics.
§ The GoAP will also encourage and organize hackathons and drone
competitions at school and college levels to promote creativity, problem-
solving, and entrepreneurial thinking among students.
c) Financial support and incentives for students:
2. Skill development
a) Drone training and skilling programs:
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b) Financial support and incentives for skill development:
The GoAP will offer scholarships and financial incentives to students
and professionals enrolling in Unmanned Aerial Vehicle (UAV) pilot
training programs. This initiative aims to encourage individuals to
pursue advanced training in operating and managing drones. It will
include providing grants to individuals and institutions engaging in
innovative drone pilot training projects and promoting skill development
to enhance the state’s capacity to meet the growing demand for drone
technology across various sectors.
c) Engagement and competitive events:
The GoAP will host competitive drone racing and aeromodelling events
to spark interest among young innovators and enthusiasts and allow
them to apply their technical knowledge in a hands-on, competitive
environment.
d) Developing a freelance ecosystem:
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C. Pillar 3: Promo8on of manufacturing and R&D
The GoAP recognizes that a robust infrastructure is the backbone for advancing drone
manufacturing and R&D in the state. Under this pillar, the GoAP aims to create a
conducive environment that supports the growth of drone technology by establishing
world-class facilities, dedicated drone corridors, testing zones, and innovation hubs. By
investing in infrastructure catering to manufacturing and R&D, the state government
seeks to attract leading drone companies, foster local innovations, and position Andhra
Pradesh as a premier destination for drones development.
1. Promoting manufacturing:
The growth of a robust drone industry depends on world-class manufacturing
infrastructure. The state government is committed to creating a comprehensive
ecosystem that supports every stage of drone production—from design and
prototyping to full-scale manufacturing and assembly. By fostering a
collaborative environment that encourages innovation and scalability, Andhra
Pradesh aims to attract global and domestic investments. To achieve this vision,
the GoAP will implement the following initiatives:
a) Drone City: A drone innovation hub: The GoAP will establish a state-of-the-
art “Drone City,” a centralized hub for drone manufacturers, startups,
service providers, and innovators.
b) Product design and rapid prototyping facility: The GoAP will invest in a
dedicated facility within the Drone City to support innovation in drone
design, rapid prototyping, and manufacturing. The state will provide ready-
to-use spaces for drone manufacturers and component producers, offering
nominal-cost access to advanced tools and resources, including:
• Licensed design software for drone development
• Specialized workshops with cutting-edge machinery for
prototyping
• 3D printing and CNC machines for component production
• Simulation labs for virtual testing of designs
• Software development support for drone applications
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c) Dedicated drone testing facility and regulatory sandbox: The GoAP will set
up a state-of-the-art testing facility within Drone City, enabling
comprehensive real-world testing of drones and their components. This
facility will include:
• Dedicated airspace equipped with airstrips and air traffic control
(ATC) facilities: Fully equipped areas for drone take-off,
landing, and navigation. Example: Vertiports.
• Multi-Terrain Land and Water Testing Area: A variety of
specially designed environments, including forested areas, hilly
terrain, muddy land, and sand dunes, created to test various types
of Unmanned Ground Vehicles (UGVs). Additionally, a
dedicated water body is available for testing Unmanned Water
Vehicles (UWVs)
• Indoor and outdoor testing labs: Specialized facilities for
aerodynamics, propulsion, electromagnetic interference, and
environmental impact tests.
• Beyond Visual Line of Sight (BVLOS) operations: Designated
zones for operations and software development trials for BVLOS
operations.
• Regulatory sandbox: A controlled, risk-managed environment to
allow innovation and experimentation in line with evolving
regulatory frameworks.
d) Drone maintenance and repair centre: To support the growing needs of the
drone industry, the GoAP will collaborate with industry to establish a
“Drone Maintenance and Repair Centre”, providing:
• Scheduled and unscheduled maintenance: Comprehensive
service support for drone upkeep.
• Component repairs and replacements: Rapid turnaround for
drone part repairs and replacements, reducing downtime.
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e) Customer hiring centre: The AP Drone Corporation will set up a “Customer
hiring centre” within Drone City to facilitate easy access to drones and
related equipment. This Centre will comprise:
• Rental services: Offer a wide variety of drone models and tools
on a rental basis to meet drone operators' short-term and long-
term needs.
• Seamless rental process: Simplify the rental and leasing process,
making drone technology accessible to businesses and
innovators.
f) Dedicated drone corridors: To enable safe and efficient drone operations, the
GoAP will develop a network of dedicated drone corridors and associated
infrastructure that will:
• Connect key locations: Link major cities, industrial zones, and
agricultural areas, facilitating seamless drone-based logistics,
surveying, and monitoring.
• BVLOS operations: Support long-range drone operations for
logistics, e-commerce, and medical supply delivery.
• Ground infrastructure: Establish monitoring stations and
emergency landing sites along the corridors to ensure safety and
compliance with airspace regulations.
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following initiatives to ensure that Andhra Pradesh stays at the forefront of
drone technology:
a) Establish the Andhra Pradesh Drones Centre of Excellence under the AP
Drones Corporation: The GoAP will establish the Andhra Pradesh Drones
Centre of Excellence (APDCoE) under the AP Drones Corporation. The
APDCoE will be a central hub for collaboration between academic
institutions, industry leaders, and government bodies. It will offer students
and researchers hands-on experience through internships and partnerships
with universities and technical institutions. The APDCoE will support the
Capacity Building initiatives of this Framework.
c) Startup Incubation and Innovation Hub: The GoAP will establish a Startup
Incubation and Innovation Hub in the Drones City within the APDCoE to
nurture drone sector startups by providing resources, mentorship, and initial
seed funding based on viable business proposals. The hub will offer a suite
of services to startups, including business incubation, office space, access to
capital, legal support, mentorship, technology marketing, and licensing
assistance, all for a nominal fee. It will catalyze drone innovation, enabling
startups to scale their operations, bring products to market faster, and
contribute to the state's technological ecosystem.
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offer advisory support in business strategy, leadership, manufacturing,
logistics, investment, product development, and regulatory compliance.
With a focus on helping businesses navigate industry challenges, the
department will ensure stakeholders have the guidance they need to drive
growth and innovation in Andhra Pradesh's drone sector.
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3. Other financial incentives
a. Capital investment subsidy: Eligible companies will be offered capital
investment subsidy, for setting up drone-related businesses in the state. This
subsidy will be payable on a reimbursement basis, upon completion of one year
from the commencement of drone production or operations in Andhra Pradesh.
b. Stamp duty and registration fee subsidy: Eligible businesses will receive
subsidy on stamp duty and registration fees for establishing drone operations in
Andhra Pradesh. This will include fees for obtaining approvals, certifications,
and executing lease or conveyance deeds. The subsidy will be payable on a
reimbursement basis after one year of business operations in the state.
c. Lease rental subsidy: Eligible startups and businesses will receive lease rental
subsidy. The subsidy will be capped. It will be disbursed annually following the
approval of the applications.
d. Land use charge subsidy: Under this Framework, GoAP will subsidize land use
charges for eligible businesses as per local laws and regulations in Andhra
Pradesh, enhancing affordability and ease of setting up operations.
f. Power tariff incentive: Eligible businesses in Drone City will receive a 24-hour
uninterrupted power supply at a fixed rate for five years. Eligible drone sector
businesses outside Drone City will receive a subsidy on power, ensuring energy
reliability at a competitive rate.
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capital investment of INR 500 crores or more in drone and component
manufacturing.
i. Net State Goods and Services Tax incentive: Eligible drone businesses will
receive reimbursement of Net SGST paid to Andhra Pradesh for a period of
seven years, capped at the value of their fixed capital investment since the start
of operations.
Conclusion
The strategic framework outlined in this document sets the foundation for Andhra Pradesh to
emerge as a leader in drone technology, innovation, and governance. By fostering a thriving
ecosystem through focused initiatives in adoption, manufacturing, skill development, and
research, the state aims to position itself as the "Drone Capital of India." This framework
emphasizes collaboration between government, industry, and academia to unlock the full
potential of drones across sectors such as agriculture, public service, disaster management, and
urban planning. As Andhra Pradesh charts its path toward global leadership in drone
technology, the state remains committed to creating sustainable jobs, driving economic growth,
and enhancing the quality of life for its citizens. With this guiding framework, Andhra Pradesh
is poised to integrate drone technologies seamlessly into governance and industry, setting new
benchmarks for innovation and excellence.
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