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Policy Resolution for Setting up of Information Technology Investment Regions (ITIRs)

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..... year 2015. III. To promote investment in the Information Technology (IT) / Information Technology Enabled Services (ITES) / Electronic Hardware Manufacturing (EHM) units, the Government has decided to attract major investment by providing a transparent and an investment friendly policy and set up Information Technology Investment Regions (hereinafter referred to as the ITIRs). These would be endowed with excellent infrastructure and investor-friendly policy environment. Such ITIR would reap the benefits of co-siting, networking and greater efficiency through use of common infrastructure and support services. Such a complex would boost, augment exports and generate employment. CONCEPT OF INFORMATION TECHNOLOGY INVESTMENT REGIONS 1. ITIRs would be specifically delineated investment regions with a minimum area of around 40 square kilometers planned for the establishment of Information Technology I Information Technology Enabled Services and Electronic Hardware Manufacturing Units (EHM Units) facilities along with the associated services and infrastructure. 2. ITIRs would be a combination of production units, public utilities, logistic, environmental protection m .....

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..... as well as development of ITIRs. 7. Government of India will ensure the availability of external physical infrastructure linkages to the ITIR including Road (National Highways), Airports, Telecom and Rail, in a time bound manner. This infrastructure will be created / upgraded through Public Private Partnerships to the extent possible. Central Government will provide the necessary viability gap funding through existing schemes. Wherever necessary, requisite budgetary provisions for creation of these linkages through the public sector will also be made. 8. In the case of ITIRs, creation of new Airport infrastructure could be considered in the Public Private Partnership model and in accordance with the Policy on Airport infrastructure. Wherever necessary mass transport connectivity could be provided to the nearest Airport. The State Government would have to set apart requisite Land for airport infrastructure in the ITIR. 9. Setting up of Educational facilities is most important. While the State Government would be responsible for setting. up most of the educational institutions, the Central government would also provide certain facilities. Higher educational and research f .....

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..... pecified therein. Conversion of Phase-I, however, will be taken up immediately upon selection of the project developer Either through existing legislation or through enactment of appropriate legislation, the notified land use for the entire ITIR shall be frozen. This is essential for ensuring that the land earmarked for roads and other public uses in the ITIR is not put to alternative uses, thereby rendering infructuous any part of the Master Plan. In other words, land reserved for various uses in the ITIR including for public amenities and roads would have to be kept free by law so that future development is not obstructed.. The development of an ITIR shall be undertaken in two phases viz: Phase I Phase I should be a well-defined project with specified rights and obligations to be discharged by the selected developer within a specified timeframe. This would require the developer to make investments in acquisition of land, building of infrastructure etc. The feasibility report and master plan should lay down the broad standards and specifications for creation of all common facilities so that these are built as expected. It should be clearly stipulated that the developer s .....

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..... ess as per the regulations of the State Electricity Regulatory Commission. ii. Provision of bulk requirements of water; iii. Road connectivity (state roads) and Mass transit connectivity to the nearest airport; iv. Sewerage and effluent treatment linkages, from edge of ITIRs, to the final disposal sites; v. Appropriate infrastructure to address the health, safety and environmental concerns. vi. It should be ensured that the norms and standards prescribed by the Ministry of Environment and Forests notifications of September 2006 are adhered to. 16. Social infrastructure is important and would cover: i. Appropriate and adequate residential facilities ii Educational facilities iii. Health facilities iv. Local Commercial facilities v. Recreational facilities vi. Socio-cultural and Entertainment facilities vii. Most of the facilities would be set up by the developer / State Government. However, the Central Government would also assist as indicated in para 9. 17. The State Government may also notify additional package (s) of incentives for the development of the ITIRs and for the Information Technology / Information Technology Enabled Services / Electron .....

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..... he central Ministries concerned, that the proposal is as per this Policy and then place it before the High' Powered Committee for its recommendations. 24. Department of Information Technology will place the recommendations of the High Powered Committee before the Cabinet Committee on Economic Affairs for decision. 25. The following guidelines will be kept in view while considering an ITIR proposal: i. Potential generation of additional economic activity and future growth, including generation of additional employment ii. Potential investment from domestic and foreign sources for production of goods and services. iii. Potential linkages for Information Technology / Information Technology Enabled Services / Electronic Hardware Manufacturing Investment facilities both domestically and internationally. iv. Willingness and commitment of the State Government. v. Interest of major leading units. vi. Present infrastructure linkages to the proposed site, and estimated cost of required addition / up gradation. vii. Land Availability, especially close to airport. viii. Maintenance of ecological balance and sustainable development in the region and ensure conformity wit .....

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..... rough Developer(s) (iii) Selection of Developer/Co-developers and entering into concession agreements with them for the development and maintenance of infrastructure internal to the ITIR. (iv) Promotion of investment, both foreign and domestic, into the ITIR. (v) Promotion of production within, and exports from, the ITIR. (vi) Granting approvals for, and facilitating clearances to units within the ITIR. (vii) Review of the functioning and performance of the ITIR. (viii) Regulation of levy of user or service charges or fees or rent for the use of infrastructure / properties in the ITIR (ix) Exercise of authority to delegate, enter into or create Special Purpose Vehicles (SPVs) for specialized services. (x) Any other functions as may be prescribed by the State Government. DEVELOPER AND CO-DEVELOPER 32. The Developer is a legal entity — Government, private or a Public Private Partnership that develops, builds, designs, organizes, promotes, finances, operates, maintains or manages a part or whole of the infrastructure and other facilities in the ITIR. The Developer would be selected by the State Government / Management Board through a transparent mechanism. 3 .....

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..... hnology/Information Technology Enabled Services / Electronic Hardware Manufacturing units that will support the IT industry in the investment region for services, manufacturing, stocking, trading including logistics and utilities with local linkages, and for which site is available as per the approved detailed Master Plan, will be eligible for being set up in the ITIR, and may apply to the Management Board in such form as will be specified by the authority concerned. 38. The Management Board, or the authority to which such powers are delegated wilt allot sites to units through a transparent process as specified. 39. An Electronic Hardware Manufacturing unit located in ITIR, whether in Special Economic Zones or elsewhere, may produce / export goods except those prohibited either for services or export under the EXIM Policy or any other Act in force. 40. In case the Developer, or any Co-developer, is unable to discharge his functions, or violates the terms and conditions of the concession agreement, the same may be transferred to a new Developer / Co-developer under terms and conditions to be provided in the concession agreement between the Developer / Co-developer and th .....

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..... of the State Governments concerned may be invited to the meetings of the Committee as required. The Committee may also take into account the views of the representatives of Industry, as may be deemed appropriate. Annexure-B Format for Project Proposal The Project Proposal to be provided by the State Government, along with its application to the Department of Information Technology, Government of India for setting up ITIR for Information Technology / Information Technology Enabled Services (IT/ITES)/Electronic Hardware Manufacturing (EHM) units. Such proposal may also include setting up of integrated modern township. Such application would inter alia, include the following information: (i) The legal framework in the State under which the IT Investment Region is proposed to be formed, including whether this would be under an existing Act or under a new legislation to be enacted for this purpose - (ii) Particulars of integrated township, if proposed. (iii) Clear delineation of Information Technology / Information Technology Enabled Services and Electronic Hardware Manufacturing areas. (iv) The location along with demarcation of the identified areas with map and .....

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