(MENAFN- KNN India)
Lucknow, Oct 11 (KNN) The Uttar Pradesh government has officially granted 'Industry' status to the Information technology (IT) and IT-Enabled Services (ITES) sectors, marking a significant milestone in the state's ambition to emerge as a major tech hub in North India.
This policy shift, announced on October 4 by Anil Kumar Sagar, the principal secretary (industry), enables IT companies to purchase land at industrial rates and benefit from reduced power tariffs, a move designed to attract global tech giants to cities like Noida.
The IT and ITES companies will now enjoy access to land at lower industrial rates, a much-needed financial relief as land prices for IT plots in Noida previously ranged between Rs 26,000 and Rs 73,220 per square meter, much higher than industrial rates.
For instance, industrial plots were available at Rs 28,000 to Rs 30,000 per square meter. With this change, IT companies will now pay industrial rates for land, a move that could substantially cut their real estate costs.
In addition to land benefits, the power tariff reduction will also alleviate operating expenses. IT firms consuming over 150 kW of electricity will now pay industrial rates of approximately Rs 7 per unit, compared to the previous commercial rate of Rs 8.30 per unit. This shift will particularly benefit data centers and large technology-driven companies with high energy consumption.
The decision is part of a broader strategy by the Uttar Pradesh government, which has identified the IT sector as a critical driver in its vision of becoming a USD 1 trillion economy within the next five years.
With a strong focus on creating a conducive environment for tech companies, the state also plans to streamline regulatory processes, provide uninterrupted power supply, and establish IT parks with cutting-edge infrastructure.
Noida, already recognised as a burgeoning IT hub, ranks sixth in the country for software exports, with sectors ranging from software services to emerging technologies like artificial intelligence, gaming, and animation. The new 'Industry' status is expected to accelerate this growth, creating new jobs and boosting investment.
Industry leaders and officials, including Noida Authority CEO Lokesh M, have welcomed the move, viewing it as a critical step toward making Uttar Pradesh a premier destination for technology investments in India.
(KNN Bureau)
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