The programme, delivered by Sustrans, is the only initiative in Northern Ireland which encourages children and parents to leave the vehicles at home in favour of active travel on the school run.
It is jointly funded by DfI and the Public Health Agency, has been in operation since 2013 and has worked with over 460 schools.
The Foyle MLA said:
“I’m delighted that the department has reversed their short-sighted decision to scrap funding for the Active School Travel (AST) Programme.
“It’s important that we build on the success of this programme. Promoting and embracing the benefits of active travel at a young age will ensure these children will continue the practice into adulthood.
“This is exactly the direction of travel we need to be seeing in society, encouraging people out of their cars to walk or cycle.
“Not only is it good for the body and mind but it brings a multitude of environmental benefits; reducing congestion, pollution and is a key cog in the fight against climate change.
“I hope this scheme can be expanded in the future to inspire a necessary change in society’s travel habits.”
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