AP to Build Satellite Launch Facility on Hope Island for Space Sector

An announcement has been made to develop a satellite launching facility on Hope Island in Kakinada Bay of Andhra Pradesh as part of the Space City Project.

• Andhra Pradesh Chief Minister N. Chandrababu Naidu announced on January 17, 2026 that the Andhra Pradesh government is preparing to develop a satellite launching facility on Hope Island in Kakinada Bay as part of the Space City Project.
• Hope Island, which is part of the Coringa Wildlife Sanctuary at the mouth of the Godavari, is more than 600 km away from the Satish Dhawan Space Centre of the Indian Space Research Organisation (SHAR-ISRO) in Sriharikota, which was earlier in Nellore district.
• Greenco Group is showing interest in becoming part of the state government’s Space City Project, which includes developing a satellite launching facility.

Launching pads of India

• Satish Dhawan Space Centre (SDSC), Sriharikota: India’s primary spaceport, which is strategically located near the equator for efficient launches.
• Kulasekharapatnam Spaceport being built in Thoothukudi district of Tamil Nadu is India’s second spaceport, which is being specially designed for Small Satellite Launch Vehicle (SSLV), so that satellites can be launched into polar orbits at low cost and with higher capacity.

About Hope Island

• Formed a century ago from the sediment brought by the Godavari river, an 18-kilometre-long strip of land, locally known as Hope Island, acts as a natural barrier against disasters and provides a natural facility for a safe sea route for the operation of two ports- Kakinada Anchorage Port and Deep-Sea Port.
• On the other side of Hope Island, towards the land, is the base of the Eastern Naval Command (ENC). Fishermen live on this island and it is the winter home of 42 species of birds and a breeding ground for Olive Ridley turtles.
• In East Godavari district of Andhra Pradesh, at the confluence of the Godavari River and the Bay of Bengal, is part of the Godavari mangroves, which was declared a wildlife sanctuary by Andhra Pradesh in 1978.

Space City Project

• Its objective is to complement the efforts of IN-SPACe and the Indian National Space Promotion and Authorisation Centre to promote private sector participation in space.
• The state government will incentivise investors with 100% state Goods and Services Tax (GST) refund and 20% capital investment reimbursement through an escrow mechanism, ensuring transparent and non-bureaucratic processes.
• These initiatives are in line with national goals under Viksit Bharat 2047 and Swarna Andhra 2047 (a strategic vision launched by the Andhra Pradesh government to transform the state into a 2.4 trillion US dollar economy by 2047).

Drone City:

• Drone City will be built on 300 acres in Orvakal Industrial Node near Kurnool, which will be completely dedicated to drone manufacturing, testing and innovation.
• Drone City is expected to promote self-reliance in high-quality drone manufacturing and support national missions such as Kisan Drone, Swamitva Yojana and national security operations like Operation Sindoor.