The Andhra Pradesh cabinet on Tuesday approved the allotment of 21.6 acres of land in Visakhapatnam to IT services firm Tata Consultancy Services (TCS) at a nominal price of just 99 paise. In a way, this is like giving it away completely for free. No other organization has ever been allotted this kind of land in the state.
In October last year, IT Minister Nara Lokesh visited Tata House and met Tata Group Chairman N Chandrasekaran and requested TCS to set up a large development centre in Andhra Pradesh.
It was in this context that the AP government took a key decision on this. TCS has come forward to invest Rs. 1,370 crore in this Vizag unit. This is likely to create 12,000 jobs. Earlier, Prime Minister Narendra Modi had brought Tata Motors to Sanand in Gujarat by allocating land for 99 paise, which was a milestone for the Gujarat auto industry.
Now, the government feels that by allocating this land to TCS, it has the potential to become a milestone for the IT sector in AP as well. 21.16 acres of land at IT Hill No. 3 at Rushikonda in Visakhapatnam has been allotted to TCS at a nominal lease price (99 paisa).
Through this move, the Andhra Pradesh government aims to make Visakhapatnam an important technology hub. This land allocation was possible as a result of Lokesh efforts. TCS is likely to start operations in Visakhapatnam within 90 days. Initially, it will operate from a rented building, and the construction of a permanent campus may take 2-3 years to complete.
The state government has set a target of creating at least 5 lakh jobs in the IT sector in the next five years. The decision is being seen as a significant step towards positioning Andhra Pradesh as a major technology destination. Other tech companies are also reportedly looking towards Visakhapatnam to expand their operations.
The cabinet further gave the green signal to allot 3.5 acres in Visakhapatnam IT Hill and 56 acres in Kapuluppada to Ursa Clusters Private Limited.
Meanwhile, the Cabinet also discussed the establishment of the State Center for Climate in Cities system. The DPRs for the establishment of 199 agricultural feeders in 3 districts were approved. The Cabinet gave the green signal for the establishment of solar, wind and green energy projects in various areas.