Why is Gujarat betting ₹6 lakh crore on data centres? | Explained
The Hindu – National
thehindu.com
Summary
Subscribed with another email? Unlock these with Subscription Chief Minister during the launch of the Gujarat Data Centre Policy in Gandhinagar on July 9, 2026. The story so far: When the Gujarat Government unveiled its first-ever Data Centre Policy (2026-2029), it did more than announce a new industrial policy but signalled its ambition to enter one of the fastest-growing segments of the global digital economy by becoming the first State in India to bring a policy. The government said the policy has been designed to capitalise on the rapid growth of AI, cloud computing, digital payments, e-commerce, electronics manufacturing and other data-intensive sectors, while strengthening Gujarat’s position in India’s digital economy. Das claimed that Gujarat became the first state to bring this policy. However, at least 15-16 States, such as Telangana, Andhra Pradesh and West Bengal, now have their own dedicated data centre policy (or an IT/ITES policy that specifically covers data centres). For Gujarat, the policy fits into a broader strategy of expanding beyond its traditional strengths in manufacturing, ports and petrochemicals. The policy explicitly states that they would provide a round-the-clock uninterrupted water supply at the doorstep of a Data Centre Entity. This is precisely why Gujarat’s policy mandates that 51% of the electricity consumed by data centres must come from green energy. However, the broader economic impact extends beyond direct employment.
From the source
The State hopes to attract investments worth ₹6 lakh crore and build 7.5 GW of data centre capacity over the next few years, positioning itself alongside established hubs such as Maharashtra, Tamil Nadu and Telangana
Read the full article
Published by The Hindu – National on thehindu.com
