Adityanath Aims Over 2 GW Additional Data Center Capacity in UP
Uttar Pradesh Chief Minister Yogi Adityanath established a goal of creating over 2 gigawatts (GW) of extra data center capacity in the state by 2030, emphasizing that data, artificial intelligence, and digital infrastructure are essential pillars of the future economy.
While assessing the Uttar Pradesh Data Centre Policy-2021, the chief minister instructed officials to create a new policy that is more appealing, feasible, and in tune with investors' demands.
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"Data, artificial intelligence, and digital infrastructure are the key foundations of the future economy. Therefore, Uttar Pradesh must begin making concrete preparations now to assume a leading role in this sector," he says.
He stressed that the recommended policy must focus on AI-driven data centres, energy-efficient and eco-friendly green data centres, top-tier digital infrastructure, expedited approval processes, constant power supply, and improved connectivity, enabling UP to become the leading destination for data center investments nationwide.
During the meeting, the principal secretary (IT and electronics) informed the chief minister that it is anticipated the state will represent about 8 to 9 percent of the nation's total data center capacity by 2026.
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He stated that according to the Data Center Policy-2021, the state aimed to create 900 MW of capacity and draw investments totaling Rs.30,000 crore. In line with this objective, investment proposals totaling Rs.21,342.90 crore have been approved, and investors have received Letters of Comfort.
Currently, there are six operational data centre parks and two independent data center units in the state, with ongoing work on a dedicated capacity of 644 MW.
In discussing aspects of the suggested new Data Centre Policy, the chief minister indicated that incentives concerning land, capital, and loans, as well as reductions on stamp duty, electricity duty, transmission fees, and wheeling charges, ought to be enhanced further.
He also instructed officials to create a unique incentive structure to encourage high-capacity AI-driven computing infrastructure.
Officials updated the meeting on the advancements of ongoing projects in the state, highlighting that numerous prominent companies, such as the Hiranandani Group, NTT Global Data Centers, Adani Group, ST Telemedia, SKVR Software Solutions, WebWerks, and Sify, are presently executing projects. These efforts are playing a crucial role in advancing extensive digital infrastructure in UP.
The meeting additionally assessed possible investment proposals. Authorities mentioned that numerous national and international investors have shown interest in establishing data centres with an overall capacity of 5,410 MW in the region. These projects are anticipated to draw potential investments around Rs 4.90 lakh crore.
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Suggested investments encompass initiatives from leading investors like AM Green, Trifecta Connex, Essar, Groo Energy, Golden State Capital, Mapletree, CtrlS, and Nxtra, among others.
Investment opportunities are being created in multiple areas, such as Noida, Yamuna Expressway region, Lucknow, Varanasi, Prayagraj, Meerut, and Sitapur.
"Data center development should not remain confined to the NCR region alone. Data center clusters should also be developed in other suitable cities and regions across the state so that the benefits of digital investments and employment opportunities can reach a larger part of Uttar Pradesh," the chief minister says.