Chief Minister Yogi Adityanath has set a goal of developing over 2 gigawatts of additional data center capacity in Uttar Pradesh by 2030. He stated that data, artificial intelligence (AI), and digital infrastructure are key pillars of the future economy and therefore, Uttar Pradesh must make concrete preparations now to play a leading role in this field.
During the review of the Uttar Pradesh Data Center Policy-2021 on Sunday, the Chief Minister directed officials to develop a new policy that is more attractive, practical, and timely, in line with investor expectations.
He stated that the proposed policy should prioritize issues such as AI-based data centers, energy-efficient and environmentally friendly green data centers, world-class digital infrastructure, a rapid approval system, uninterrupted power supply, and improved connectivity, so that Uttar Pradesh can become the most preferred destination for data center investment in the country.
Principal Secretary, IT and Electronics, informed the Chief Minister that Uttar Pradesh is expected to account for approximately 8 to 9 percent of the country’s total data center capacity by 2026. He explained that under the Data Center Policy-2021, a target was set to develop 900 MW of capacity and attract investments worth ₹30,000 crore. Investment proposals worth ₹21,342.90 crore have been approved so far, and letters of comfort have also been issued to investors. Currently, the state operates six data center parks and two data center units, while work is underway on a committed capacity of 644 MW.
Discussing various provisions of the new data center policy, the Chief Minister said that land, capital, and loan grants, as well as concessions on stamp duty, electricity, and transmission and wheeling charges, should be made more effective. He also directed the development of a special incentive system to promote AI-based high-capacity computing infrastructure. The Chief Minister said that data center parks installing advanced AI compute resources in accordance with prescribed standards should be provided additional facilities, which will boost the development of AI-based digital infrastructure in the state.
Placing special emphasis on green and sustainable development in the data center sector, the Chief Minister said that units and parks achieving high-level green data center certification should be provided additional financial incentives.
During the meeting, officials provided information on the progress of projects underway in the state, stating that projects by several major companies, including the Hiranandani Group, NTT Global Data Centers, the Adani Group, ST Telemedia, SKVR Software Solutions, Web Werks, and Sify, are underway. These projects are contributing to the development of digital infrastructure on a large scale in the state.
Potential investment proposals were also reviewed at the meeting. Officials stated that various national and international investors have expressed interest in developing data centers with a total capacity of 5,410 MW in the state. These projects have a potential investment of approximately ₹4.90 lakh crore. The proposed investments include projects by AM Green, Trifacta Connex, Essar, Gru Energy, Golden State Capital, Mapletree, CTRL-S, and Nxtra, among other major investors. These projects are being explored in various areas of the state, including Noida, the Yamuna Expressway area, Lucknow, Varanasi, Prayagraj, Meerut, and Sitapur.
The Chief Minister said that data center development should not be limited to the NCR alone. Data center clusters should also be developed in other suitable cities and regions of the state so that the benefits of digital investment and employment opportunities can reach more parts of the state.