21 September 2013
HYDERABAD: Paving the way for the development and consolidation of the information technology sector in the city, the Centre on Friday approved the setting up of a 202-sq km Information Technology Investment Region (ITIR) in and around Hyderabad with an investment potential of over Rs 2.19 lakh crore and potential of creating 15 lakh direct jobs.
"The Government of India (Cabinet Committee on Economic Affairs) has considered and approved the proposal of the state government for setting up of an ITIR in an area of 202 sq kms (50,000 acres)," ITE&C department release said.
The ITIR would comprise areas such as Cyberabad Development Authority (CDA), including Gachibowli and Madhapur, Hyderabad Airport Development Authority (HADA) area including Mamidipalli, Raviryal, Adibatla and Maheswaram as well as the Uppal and Pocharam belt.
The ITIR has the potential to generate direct revenues of over Rs 3.1 lakh crore, IT exports of Rs 2.35 lakh crore as well as 53 lakh indirect jobs apart from 15 lakh direct jobs, the state ITE&C department said
A chunk of the investment to be pumped into the ITIR towards external and internal infrastructure development in two phases over a period of 25 years will come via the public-private partnership (PPP) mode.
While the estimated cost of putting up external infrastructure will be Rs 4,863 crore, including provision for metro rail connectivity, power sub-stations, widening of national highways and radial roads from Outer Ring Road (ORR) to the periphery of ITIR clusters, the estimated cost of internal infrastructure like roads, water, electricity and sewerage lines within the ITIR clusters is Rs 13,093 crore. The government has sought support from the Centre for infrastructure development.
The ITIR, which would include Special Economic Zones (SEZs), industrial parks, Free Trade Zones (FTZ), warehousing zones, export-oriented units, growth centres, existing settlements/ industries and estates/services, will be developed in two phases over a period of 25 years. It will be a combination of production units, public utilities, logistic, environmental protection mechanism, residential areas and administrative services, the release said. Commenting on the development, Infotech Enterprises Limited chairman and managing director BVR Mohan Reddy said, "CCEA's approval for setting up of ITIR near Hyderabad is extremely welcoming. Hyderabad has world-class software and engineering talent and infrastructure for IT Industry. By further encouraging major investments in the PPP form, the Centre will help further accelerate growth of IT Industry in Hyderabad."
"An integrated hardware and software investment region is a great boost to the already strong industry presence that we currently have. The ITIR is an integrated policy that enables and supports the growth on multiple levels from industrial infrastructure for hardware parks to software parks, to city infrastructure around transportation, other support infrastructure and beyond. All these will make Hyderabad an extremely compelling destination for the hardware and software industry," said IT & ITeS Industry Association of AP (ITsAP) vice-president Ramesh Loganathan.
Published by: The Times Of India