Maharashtra to make Rs 1.6 trillion Green Integrated Data Centre Parks

07 Oct 2024 CW Team

The initiative is expected to solidify Maharashtra’s position as a leading hub for the data centre industry, attracting multinational corporations and global tech leaders. In addition to enhancing the state’s digital infrastructure, the project is anticipated to generate significant long-term revenue through direct and indirect taxes, as well as create around 500 direct high-skilled jobs and 3,000 indirect jobs, particularly in high-tech sectors.

“With the rapid expansion of Artificial Intelligence (AI) and rising demand for data storage, data centres are consuming more energy, raising global warming concerns. As India aims for carbon neutrality by 2070, adopting green technology is essential for the sector’s future. Maharashtra’s Green Integrated Data Centre Parks will focus on eco-friendly practices, aligning with the nation’s sustainability goals,” stated the government.

The state has amended its Information Technology and Information Technology Enabled Services (ITES) Policy, 2023, to accommodate special incentives for the development of three Green Integrated Data Centre Parks. Each park will have a minimum capacity of 500 MW and a capital investment of at least Rs 300 billion over a 10-year period, with the incentive period extending up to 20 years.

Incentives will be available only after a minimum investment of Rs 100 billion is made in each park. Once the first three parks are established, the scheme will be automatically concluded. The government expects this policy to create a favourable environment for global companies to invest in India’s data centre industry, positioning Maharashtra as a key player in the sector’s sustainable future.

This initiative not only aims to boost Maharashtra’s technology ecosystem but also supports India’s broader environmental objectives, creating a sustainable, tech-driven future for the state. (Business Line)

The Maharashtra government has approved the establishment of Green Integrated Data Centre Parks, with a projected investment of Rs 1.6 trillion. The decision was made during a recent cabinet meeting chaired by Chief Minister Eknath Shinde, making Maharashtra the first Indian state to launch a special policy for Green Integrated Data Centre Parks. The initiative is expected to solidify Maharashtra’s position as a leading hub for the data centre industry, attracting multinational corporations and global tech leaders. In addition to enhancing the state’s digital infrastructure, the project is anticipated to generate significant long-term revenue through direct and indirect taxes, as well as create around 500 direct high-skilled jobs and 3,000 indirect jobs, particularly in high-tech sectors. “With the rapid expansion of Artificial Intelligence (AI) and rising demand for data storage, data centres are consuming more energy, raising global warming concerns. As India aims for carbon neutrality by 2070, adopting green technology is essential for the sector’s future. Maharashtra’s Green Integrated Data Centre Parks will focus on eco-friendly practices, aligning with the nation’s sustainability goals,” stated the government. The state has amended its Information Technology and Information Technology Enabled Services (ITES) Policy, 2023, to accommodate special incentives for the development of three Green Integrated Data Centre Parks. Each park will have a minimum capacity of 500 MW and a capital investment of at least Rs 300 billion over a 10-year period, with the incentive period extending up to 20 years. Incentives will be available only after a minimum investment of Rs 100 billion is made in each park. Once the first three parks are established, the scheme will be automatically concluded. The government expects this policy to create a favourable environment for global companies to invest in India’s data centre industry, positioning Maharashtra as a key player in the sector’s sustainable future. This initiative not only aims to boost Maharashtra’s technology ecosystem but also supports India’s broader environmental objectives, creating a sustainable, tech-driven future for the state. (Business Line)

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