Inside Gujarat's Plan To Build The World's Largest Data Centre City
GS3Economy · S&T · Environment · Security· Infrastructure (energy, ports, roads, railways)· Prelims + Mains·
Why in news
Gujarat launched the Viksit Gujarat Data Centre Policy 2026-29 to establish a massive digital ecosystem and transform Dholera into a global data centre hub.
Background
The policy targets a 7.5 GW data centre capacity with a projected investment of Rs 6 lakh crore. It includes infrastructure support like new transport links and a dedicated desalination plant for water supply.
Facts for Prelims
- FactTarget capacity: 7.5 GW of data centre capacity by the end of the policy period.
- FactProjected investment: Rs 6 lakh crore under the Viksit Gujarat Data Centre Policy.
- PlaceDholera: The designated site for the world's largest data centre city in Gujarat.
- BodyDepartment of Science and Technology: The nodal body overseeing policy implementation.
For Mains
Q. Discuss how the development of large-scale data centre hubs contributes to India's goal of becoming a global leader in Artificial Intelligence and cloud computing infrastructure.
Dimensions to cover in your answer
- Infrastructure bottleneck: High power and water requirements necessitating dedicated desalination and grid upgrades
- Digital sovereignty: Balancing private investment with data localization and security protocols
- Economic multiplier: Transitioning from traditional manufacturing to high-value digital services and AI-led growth
Keywords: Digital Infrastructure · Cloud Computing · Capital Assistance · Fiscal Incentives · Data Localization · Viksit Bharat
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