Gujarat Data Centre Policy 2026-29

Gujarat has launched its first Data Centre Policy 2026-29 with a ₹6 lakh crore investment target and 7.5 GW capacity. Learn about incentives, renewable energy provisions, Dholera SIR, and UPSC exam relevance.

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Gujarat Data Centre Policy 2026-29

Why in News?

The Government of Gujarat launched its first Data Centre Policy 2026-29 on 9 July 2026 in Gandhinagar. Unveiled by Chief Minister Bhupendra Patel, the policy aims to transform Gujarat into a leading destination for hyperscale data centres, cloud computing, Artificial Intelligence (AI), and digital infrastructure.

Key Highlights of the Gujarat Data Centre Policy 2026-29

Investment Target: ₹6 lakh crore
Target Data Centre Capacity: 7.5 GW
Focus on hyperscale data centres, cloud infrastructure, AI-powered digital services, and digital connectivity.
Department of Science and Technology designated as the nodal agency for project approvals and implementation.

Incentives Under the Policy

The policy offers an attractive package of fiscal and non-fiscal incentives, including:

Capital subsidy and interest subsidy
Power tariff subsidy of ₹1 per unit for 20 years
100% reimbursement of SGST and electricity duty for 20 years
Stamp duty exemption
Financial assistance for desalination plants
Faster single-window approvals
Additional Floor Space Index (FSI)
Relaxed building regulations
Open access to electricity
Assured power and water supply

Green Energy and Infrastructure Focus

To promote sustainable digital infrastructure, data centre operators must source at least 51% of their electricity from renewable energy.

The policy identifies Dholera Special Investment Region (SIR) as the primary hub for hyperscale data centres and provides an additional 2.5% capital subsidy for eligible projects located there.

The government has also planned two new Cable Landing Stations, which will strengthen Gujarat’s international internet connectivity by linking submarine communication cables to terrestrial networks.