The Government of Gujarat on Thursday launched a comprehensive \u2018Data Centre Policy\u2018 designed to position the state as India\u2019s premier destination for hyperscale and colocation data centres, with a specific focus on supporting artificial intelligence (AI) workloads and high\u2011performance computing. The policy sets ambitious targets \u2014 attracting an estimated Rs 6 lakh crore of investment and enabling 7.5 GW of data\u2011centre capacity \u2014 and couples those goals with a wide package of fiscal and non\u2011fiscal incentives, streamlined approvals and sustainability requirements.<\/p>\n
According to a press release from the Gujarat Chief Minister\u2019s office (CMO), the policy lays out a clear vision to build a scalable, secure and sustainable digital\u2011infrastructure ecosystem that anchors the nation\u2019s digital economy and attracts global cloud providers and hyperscalers. Gujarat intends to leverage its existing strengths \u2014 abundant renewable power, reliable round\u2011the\u2011clock electricity, and growing international connectivity \u2014 to offer a hyperscale\u2011ready governance framework and investor\u2011friendly operating environment.<\/p>\n
\u201cGujarat is the first state to bring this policy. We are confident it will attract investments of Rs 6 lakh crore, create 7.5 GW of data centre capacity and generate significant employment,\u201d Chief Secretary MK Das said at the unveiling in Gandhinagar, underlining the state\u2019s aim to become a national hub for cloud, AI and digital services. <\/p>\n
Financial incentives, fiscal support package for data centre in Gujarat <\/p>\n
To accelerate investment, the policy provides a comprehensive mix of fiscal incentives. Key measures include a 2.5 per cent capital subsidy on eligible fixed capital investment in the Dholera region (claimable within ten years), and an interest subsidy of up to 4% on term loans for ten years, capped at Rs 25 crore annually. Operational cost relief is addressed through a power tariff subsidy of Rs 1 per unit for twenty years and 100% reimbursement of electricity duty for the same period. <\/p>\n
Tax\u2011related incentives include SGST reimbursements on plant and machinery, building infrastructure and eligible services for up to twenty years, along with full exemptions on stamp duty and registration fees for land transactions. Total incentives are capped at 75% of eligible fixed capital investment and are to be disbursed over a 20\u2011year horizon, aiming to strike a balance between investor appeal and fiscal sustainability. <\/p>\n
Beyond fiscal support, the policy offers a suite of non\u2011fiscal facilitations intended to make Gujarat hyperscaler\u2011ready. These include fast\u2011tracked approvals via a single\u2011window clearance mechanism on the Investor Facilitation Portal and the DST Incentive Management Portal, relaxations in building norms (FSI, parking and ground coverage), provision for dual power feeders, open access permissions, and facilitation for distribution licences. <\/p>\n
Sustainability and green power requirements form a core part of the policy: projects availing incentives must source at least 51% of their electricity from renewable sources. Capital assistance is also available for captive desalination plants to address long\u2011term water needs, reflecting a recognition that sustainable water and power solutions are essential to large data\u2011centre operations. <\/p>\n
Gujarat to have 2 operational cable landing stations <\/p>\n
To strengthen the supporting digital infrastructure, the state is planning enhanced international connectivity P Bharati, Secretary of the Department of Science and Technology, said Gujarat will soon have two operational cable landing stations, with another project expected to be announced shortly. These landing stations are aimed at significantly boosting the state\u2019s appeal to global cloud and data operators by reducing latency and improving network resilience. <\/p>\n
The policy also emphasises ecosystem development: it encourages collaboration among industry, academia, startups and technology providers to stimulate innovation in cloud services, AI, and high\u2011performance computing. It seeks to create high\u2011value jobs and clear skill\u2011development pathways in cloud engineering, cybersecurity and emerging technologies, reflecting an integrated approach to both capital investment and human\u2011resource development. <\/p>\n
Officials highlighted the strategic opportunity while India generates nearly 20% of the world\u2019s data, it accounts for only about 3% of global data\u2011centre capacity. As per ANI report, globally 12,000 data centres exist (approximately), with the United States and China holding nearly 70% of capacity \u2014 a gap Gujarat aims to help India narrow by attracting both domestic and international operators. <\/p>\n
By offering long\u2011term power and tax incentives, streamlined governance and sustainability conditions, Gujarat\u2019s policy seeks to make the state a competitive alternative for hyperscale\u2019s weighing location decisions in South Asia. If the state achieves its 7.5 GW target, it would become a major pillar in India\u2019s national data\u2011centre growth strategy and an enabler for local AI deployment and cloud\u2011native industries.<\/p>\n","protected":false},"excerpt":{"rendered":"
The Government of Gujarat on Thursday launched a comprehensive \u2018Data Centre Policy\u2018 designed to position the state as India\u2019s premier destination for hyperscale and colocation data centres, with a specific focus on supporting artificial intelligence (AI) workloads and high\u2011performance computing. The policy sets ambitious targets \u2014 attracting an estimated Rs 6 lakh crore of investment and enabling 7.5 GW of data\u2011centre capacity \u2014 and couples those goals with a wide package of fiscal and non\u2011fiscal incentives, streamlined approvals and sustainability requirements. According to a press release from the Gujarat Chief Minister\u2019s office (CMO), the policy lays out a clear vision […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[7],"tags":[],"class_list":["post-1020032","post","type-post","status-publish","format-standard","hentry","category-it-2"],"acf":[],"_links":{"self":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/1020032","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/comments?post=1020032"}],"version-history":[{"count":1,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/1020032\/revisions"}],"predecessor-version":[{"id":1020046,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/1020032\/revisions\/1020046"}],"wp:attachment":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/media?parent=1020032"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/categories?post=1020032"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/tags?post=1020032"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}