Approval of Investment Proposals Under Data Center Policy

• 29 Jun 2022

Why in News?

• On June 28, 2022, the state cabinet meeting chaired by Chief Minister Yogi Adityanath approved four investment proposals regarding incentives for setting up data parks under 'Uttar Pradesh Data Center Policy-2021' to localize data storage.

Key Point

• The cabinet's decision will also give a boost to the development of data center parks in Uttar Pradesh, while giving a boost to the state towards becoming 'self-reliant' in data storage. The move will provide direct and indirect employment to many people in the state.
• Considering the importance of data centers, Yogi Adityanath's government had prepared the 'Data Centre Policy-2021' in its previous tenure. Various financial and other incentives have been given under the policy.
• Of the investment proposals worth over Rs 80,000 crore at the groundbreaking ceremony held in the state recently, about Rs 20,000 crore was for setting up of data centers.
• The work of setting up four data center parks in the state with an investment of over Rs.15,950 crore is under process. These include two projects worth Rs 9134.90 crore by NIDP Developers Pvt. Ltd. of Hiranandani Group, Rs 1,687 crore by NTT Global Centers and Japan's Cloud Infrastructure India Pvt Ltd and Rs 2,414 crore and Rs 2713 crore by Adani Enterprises Ltd.
• In view of the growing interest of investors in the IT sector, the Chief Minister has declared Noida, Greater Noida and Yamuna Expressway areas as 'Electronics Manufacturing Zones'. As a result, many reputed companies from China, Taiwan and Korea have come forward to set up their units.