New ‘Drone Rules’ is set to transform Drone business in India

Not many would know that Goldman Sachs has predicted that in the next five years the drone market will be worth over a hundred billion US dollars. India became an IT hub in the 1990s and Indian programmers were sought-after during the dot-com boom. This was not because of some great policy decisions that we took at that time but rather it was because of no policy on the subject. There were times when computers gathered dust in some ministries because the minister felt computers are sinister equipment that could take away people’s livelihood.

‘Drones’ are said to be the next big thing that the world has ever seen since IT and Dotcom in terms of technology disruption and touching the lives of people in all spheres. Traditional modes of transportation of goods, surveillance, survey, and foraying into newer areas like agriculture, marine et cetera are some areas where the drone is already making waves.

The recent ‘Draft Drone Rules’, released for public comments by the civil aviation ministry, is a welcome change from the previous one which gave the impression that obtaining a license would be a herculean task. Some companies like AutomicroUAS Aerotech Pvt ltd and many others did obtain a license using provisions of the previous policy. The new draft policy is a more user and business-friendly drone policy. This is a very good and the first decision by the new civil aviation minister, Jyotiraditya Scindia, after assuming office.  Some of the highlights of the new drone policy are: –

• Up to 500 kgs of drone Aircraft Rules, 1937 is no more applicable. This is a significant change because the Aircraft rules 1937 is specifically applicable for airplanes that carry humans and therefore, have been made with that purpose.
• There are a significant number of people who fly nano and micro drones in India. Including operators of model aircraft. Ubiquitous drones include drones flying at marriage parties and increased use of drone shots in the entertainment field. These people now can fly these drones/model aircraft without having a drone pilot license. This singular step itself will bolster not only self-employment but also reduce unemployment in the country. Being a drone pilot is also looked at as one of the coolest things today.
• Drone imports will still be controlled by DGFT (director-general foreign trade). This currently could be looked at as a bit of an impediment for those entrepreneurs who are dependent on imports of certain drone parts. However, in the long run, this provision could bolster making those parts in India and selling them abroad. Easing of import of drones/drone parts currently and bringing in stricter rules as time goes by would have been a better option. This aspect could be looked at by the government to promote innovators and children who are looking to learn, for who importing certain critical drone components is vital. It is highly recommended that drone imports controlled by DGFT be done away with for the time being.
• The creation of a drone corridor is likely to change the face of the Indian Economy. Logistics Operation, last-mile connectivity, the short haul of goods between two towns, and the cost of connectivity between places are set to change dramatically. This change alone, in my opinion, is likely to bring a significant impact in times to come. Not many have realized the power of creating drone corridors and all that remains to be seen is how this rule is taken forward by the government in improving logistics connectivity and creation of drone highways in times to come.
• The drone research and development Organisation as a provision in the rule is futuristic and is likely to change the face of the drone industry in India. Correctly harnessed and nurtured, this rule could enable the development of many centres of excellence of drones. The government needs to create an equivalence of ‘Silicon Valley’ for the drones so that organisations dealing with hardware, software, artificial intelligence et cetera can come together and take this endeavour forward.
• There are several companies across the world that are working on unmanned traffic management (UTM) including an Indian company called Avianco. These companies now could collaborate with the government of India in providing unmanned traffic information and could work as a service provider for tracking of drones as well as providing drone operators with simple NPNT permission, which is one of the provisions in the new drone policy.
• Third-party drone insurance could be adequate as specified in the rules. However, drones are costly equipment. Readers would be surprised to know that most of these drones are costlier than small hatchback cars. Therefore, owners of these drones may want to go for comprehensive insurance. This is a huge opportunity for insurance and insurance facilitation companies like TropoGo, in the area of drone insurance. In times to come, the number of drone insurance policies may well overtake the number of vehicle insurance policies in the world. Since drones are set to replace many of the traditional workforce and industries.
• ‘Drone promotion Council’ as specified in these rules should have come up as of yesterday, but it’s never too late. Those countries who missed this ‘Drone-Bus’ may get left behind in the overall economic progress in times to come. Therefore, setting up the ‘drone promotion council’ is the need of the hour.
• Highlights of the new ‘Draft Drones Rules’ are shown below:

The new drone policy of India is a welcome change. It is a well-thought-out, simplified policy that India has seen in recent times. This policy aligns with Prime Minister Modi‘s vision for India in terms of reducing unemployment, improving ease of doing business, self-employment, making India go digital, and becoming a technology leader in the world. What the future holds will entirely depend on how these rules are interpreted and implemented efficiently without the usual horrors of the red-tapism of the past.

Image Credit: www.geospatialworld.net