A passenger plane takes off from the Cochin International Airport. | Photo Credit: THULASI KAKKAT

Kerala’s revised Budget has announced a series of initiatives to strengthen the state’s aviation ecosystem, creating new opportunities for investment, employment generation and infrastructure development.

An allocation of ₹200 crore has been earmarked for the development of the general aviation sector across Kerala’s four international airports. Key proposals include the establishment of pilot training and flight simulation centres, expansion of Maintenance, Repair and Overhaul (MRO) facilities, and the development of a Global Convention Centre, a Green Hydrogen Hub and Battery Energy Storage Systems (BESS).

The proposed expansion of MRO infrastructure is expected to enhance Kerala’s aircraft maintenance capabilities and support the growth of aviation-related industries. According to the Budget document, Cochin International Airport Ltd (CIAL) currently operates two narrow-body MRO hangars and has provision to add two more to meet future demand.

The proposal for a Green Hydrogen Hub is particularly significant in the context of sustainable aviation and clean energy development. CIAL, in technical collaboration with BPCL, is already implementing a 4 MW green hydrogen project within its airport ecosystem—the first such initiative at an Indian airport—demonstrating its commitment to advancing green hydrogen applications, official sources said.

The Budget has also identified Battery Energy Storage Systems as a priority area for future development. CIAL is exploring BESS solutions to store renewable energy generated from its solar power plant, reducing dependence on conventional grid power and strengthening its renewable energy initiatives.

S Suhas, Managing Director of CIAL, said the aviation-focused initiatives could create a strong multiplier effect across Kerala’s economy. Aviation is globally recognised as a major employment generator, with an estimated employment multiplier of 6.1. This means every direct job created in the sector supports around six additional jobs in allied industries such as tourism, hospitality, logistics, trade and support services.

Given this multiplier effect, the proposed ₹200-crore investment in general aviation development could help generate around 5,000 direct and indirect jobs, he said.

“We are encouraged by the emphasis placed on the sector and are hopeful that these initiatives will further strengthen Kerala’s position as an emerging aviation and aerospace destination,” he added.

Published on June 19, 2026