2024 Interim Budget | Space gets nominal hike, likely boost for spaceflight start-ups

Indian space programme has no major missions slated for this year, reflected in the 4% budget hike; 200-odd spaceflight startups may benefit from new ₹1 lakh cr fund to boost private investment in R&D

February 01, 2024 04:58 pm | Updated February 02, 2024 01:53 am IST - CHENNAI

A PSLV rocket carrying the X-Ray Polarimetry Satellite (XPoSat) lifts off from the Sriharikota spaceport, January 1, 2024.

A PSLV rocket carrying the X-Ray Polarimetry Satellite (XPoSat) lifts off from the Sriharikota spaceport, January 1, 2024. | Photo Credit: ANI/ISRO

With no major space missions slated for 2024, the Department of Space has recieved only a nominal hike of 4% in its allocation in the Interim Union Budget for 2024-25, from ₹12,545 crore to ₹13,043 crore. The Indian space programme will spend much of the year on pre-launch testing milestones for the lunar exploration (Chandrayaan) and human spaceflight (Gaganyaan) missions, and some other projects.

In 2023, the Indian Space Research Organisation (ISRO) launched and successfully executed its long-awaited Chandrayaan-3 mission, to soft-land a robotic instrument on the moon. ISRO also launched the Aditya-L1 mission to study the sun and the XPoSat — short for ‘X-ray Polarimetry Satellite’ — mission to track and study neutron stars and black holes from space. India also signed the Artemis Accords to participate in the United States’ multilateral programme to return humans to the moon by 2025.

Also read: Budget 2024 live updates

The major launches slated for 2024 include an uncrewed Gaganyaan test flight, the third developmental flight of the Small Satellite Launch Vehicle, and the NASA-ISRO Synthetic Aperture Radar mission. ISRO scientists and engineers have also been working on propellants, satellite propulsion systems, new launch vehicles, and technology transfer to the industry.

Spaceflight startups may benefit

In her Budget speech, Finance Minister Nirmala Sitharaman announced a corpus of ₹1 lakh crore, with five-decade interest-free loans, to boost private sector investment in research and development. While the details are not clear, India’s nascent private spaceflight sector and its 200 or so startups are expected to benefit from this infusion. The revenue expenditure of IN-SPACe, the nodal agency setup by the Union Cabinet in 2020 to oversee the activities of this sector, also increased 24%.

Similarly, revenue for space technologies — which includes work on Gaganyaan and the development of systems for new launch vehicles and spaceflight missions — increased 27%.

Also read: Where does the money come from and where is it allocated?

The 8% increase in the allocation for space technologies is, however, out of keeping with the work planned on the next two missions in the Chandrayaan programme: Chandrayaan 4 and the Lunar Polar Exploration mission, and a partially reusable launch vehicle, among others. Then again, the Department of Space underutilised its allocation for space technologies in 2023-2024 by more than ₹1,500 crore.

Finally, expenditure for INSAT satellite systems was halved from ₹531 crore in 2023-2024 to ₹276 crore in 2024-2025, with capital expenditure dropping by 60%. ISRO is expected to launch the INSAT-3DS meteorological satellite later this month.

0 / 0
Sign in to unlock member-only benefits!
  • Access 10 free stories every month
  • Save stories to read later
  • Access to comment on every story
  • Sign-up/manage your newsletter subscriptions with a single click
  • Get notified by email for early access to discounts & offers on our products
Sign in

Comments

Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform. If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.