Current Affairs

Viksit Gujarat Data Centre Policy for digital infrastructure

Source:dd-india ↗

આ શા માટે મહત્વનું છે

Understanding the state-level policies on digital infrastructure, AI, and hyperscale data centres is crucial for GPSC Class 1-2 Prelims, where questions on Gujarat's economic policies, infrastructure hubs (like GIFT City/Dholera), and specific tech investments (e.g., massive data centres in Jamnagar) are frequently tested.

સારાંશ

The Gujarat government has launched the 'Viksit Gujarat – Data Centre Policy 2026-29' in Gandhinagar, aiming to establish the state as a major digital infrastructure and AI hub. The policy grants strategic infrastructure status to data centres, providing significant fiscal incentives like SGST and electricity duty reimbursements, subsidies, and assistance for desalination plants. With plans for two cable landing stations, leveraging its strong renewable energy base (47 GW out of 69 GW total), and utilizing hubs like GIFT City and Dholera, Gujarat aims to capture a major share of India's growing data needs and develop up to 8 GW of capacity.

મુખ્ય મુદ્દા

  • The Gujarat government has launched the 'Viksit Gujarat – Data Centre Policy 2026-29' to attract investments in hyperscale data centres, artificial intelligence (AI) infrastructure, and digital services.
  • India currently generates nearly 20% of global data but accounts for only about 3% of global data centre capacity (around 2-3 GW, expected to rise to 8 GW), while the US and China hold around 70%.
  • The policy officially recognizes data centres as 'strategic infrastructure' and offers various fiscal and non-fiscal incentives.
  • Fiscal incentives under the policy include capital and interest subsidies, power tariff support, SGST reimbursement, electricity duty reimbursement, assistance for desalination plants, and stamp duty exemptions.
  • The state plans to set up two cable landing stations to boost international connectivity and leverage its existing 69 GW of installed power capacity (47 GW of which is renewable).
  • Gujarat aims to develop up to 8 GW of data centre capacity (having already received proposals for nearly 10 GW) to support its goal of becoming a USD 3.5 trillion economy by 2047.

મહત્વપૂર્ણ શબ્દો

Viksit Gujarat – Data Centre Policy 2026-29

A Gujarat state framework aiming to build up to 8 GW of data centre capacity by offering fiscal incentives. It mandates that at least 51% of electricity used by data centres comes from renewable sources.

UPSC context

GS-3 (Infrastructure/IT). Highlights state-level initiatives to build green digital infrastructure and AI readiness for India's data economy.

Source
GIFT City

Gujarat International Finance Tec-City is India's first operational smart city and International Financial Services Centre (IFSC). Located in Gandhinagar, it provides a unified regulatory environment to attract offshore and onshore financial, technological, and global investment operations.

UPSC context

GS-3 (Economy). Important for understanding India's strategy to repatriate offshore financial services, attract global capital, and develop world-class infrastructure.

Source
Dholera

Dholera Special Investment Region (SIR) is India's first greenfield smart industrial city in Gujarat. Being developed under the Delhi-Mumbai Industrial Corridor, it is planned from scratch with distinct zones, sustainable infrastructure, and digital governance.

UPSC context

GS-3 (Infrastructure/Urbanization). Tests knowledge of greenfield smart cities, the DMIC, and self-sustaining industrial corridors driving India's manufacturing sector.

Source
Cable Landing Station

A coastal facility where undersea fiber optic cables carrying international internet and telecommunications traffic connect to domestic terrestrial networks. They serve as critical infrastructure gateways for global data flows.

UPSC context

GS-3 (Internal Security & Infrastructure). Important for understanding cyber-security, digital sovereignty vulnerabilities, and India's digital connectivity framework.

Source

પ્રિલિમ્સ ટ્રેપ

"India accounts for nearly 20% of the world's data centre capacity due to its massive IT sector."

India generates about 20% of global data but holds only ~3% of global data centre capacity. The trap swaps data generation with data storage/infrastructure.

સંલગ્ન સ્થિર ખ્યાલો

Economy

What does 'Infrastructure Status' mean in the Indian economy?

  • Credit Access: Enables easier access to long-term, cheaper institutional credit from banks and financial institutions.
  • Harmonized Master List: Maintained by the Finance Ministry. Data Centres with >5MW capacity were officially added to this list in 2022.
  • ECB Limits: Allows higher borrowing limits under the External Commercial Borrowings (ECB) route for heavy capital expenditure.
Science & Technology

What are Cable Landing Stations (CLS) and why are they critical?

  • Submarine Networks: Coastal facilities where transoceanic undersea fibre-optic cables connect to domestic terrestrial networks.
  • Internet Backbone: They handle over 95% of international internet and data traffic, acting as primary national gateways.
  • Geographic Concentration: Historically clustered in Mumbai and Chennai. Building new stations in Gujarat mitigates single-point-of-failure risks.

આંતર-વિષય પેટર્ન

  • Energy-Water Nexus in Tech

    Data centres are intensely power and water-hungry for cooling. Gujarat pairs data centre incentives with its massive 47 GW renewable capacity and desalination subsidies to solve this twin constraint sustainably.

  • DPDP Act 2023 & Local Storage

    India's Digital Personal Data Protection Act enforces localized processing for specific data types, necessitating an urgent scale-up of domestic hyperscale data centres from our current 3% global share.

2026 Prelims may test India's physical digital backbone (Cable Landing Stations) alongside the energy and water demands of Data Centres.

સંલગ્ન PYQ · 3

સંલગ્ન PYQ · 3

  • 2025GPSC_PRELIMSGS1

    Reliance industries has announced plans to build the world's largest data centre in ______

  • 2025GPSC_PRELIMSGS1

    Which of the following statements are correct regarding the economy of Gujarat according to the Socio-Economic Review, 2024-2025 of Gujarat? 1. Gujarat has consistently contributed over 8% to India's GST collections, highlighting its economic vitality and strength. 2. During the year 2022-23, Gujarat stood first in handling total cargo among the states of India. 3. According to the results of Annual Survey of Industries (ASI) 2022-23, Gujarat is first in the country in Industrial Production and Fixed Capital.

  • 2026GPSC_PRELIMSGS1

    What is the primary objective of the BharatNet project?