Dholera Emerges as Key Hub as Gujarat Receives ₹17 Lakh Crore in Data-Centre Proposals

Gujarat has received proposals totalling nearly 17 GW of data-centre capacity under the Viksit Gujarat Data Centre Policy 2026–29. If all the proposed projects materialise, they could bring more than ₹17 lakh crore in investment to the state.

Gujarat Science and Technology Minister Arjun Modhwadia shared the figures in the Gujarat Assembly. He said domestic and international companies have shown interest in establishing data centres in Gujarat as demand for artificial intelligence, cloud computing and digital storage continues to grow.

The state has set a target of developing 7.5 GW of data-centre capacity, which is significantly higher than India’s currently installed capacity of approximately 1.5 GW. Proposals received by the state have already reached nearly 17 GW, although these should not yet be treated as completed or confirmed investments.

Dholera has been identified as one of Gujarat’s major data-centre hubs. Projects established in Dholera will be eligible for an additional 2.5% capital subsidy under the policy. The region’s planned infrastructure, industrial land, renewable-energy potential and connectivity with Ahmedabad make it an important location for large digital infrastructure projects.

The Gujarat government is also considering a wider digital-connectivity network involving proposed submarine cable landing stations at Dholera, Chorwad or Diu, Porbandar and Surat. A submarine cable landing station could improve access to international data networks and make Dholera more attractive to hyperscale data centres, cloud-service providers and global technology companies. However, the Dholera cable landing station is currently at the planning stage.

The policy requires eligible data centres to source at least 51% of their electricity from green and renewable-energy sources. This could support Dholera’s position because of the renewable-energy infrastructure available in and around the region, including the Dholera Solar Park.

The policy also offers capital and interest subsidies, SGST reimbursement, electricity-related concessions and reimbursement of stamp duty and registration fees. Assistance is available for captive desalination plants, while selected building and development regulations have been relaxed to support large data-centre campuses.

The proposed data-centre ecosystem could create employment in engineering, cybersecurity, network management, facility operations and maintenance. It may also generate indirect opportunities in construction, renewable energy, logistics, equipment supply and professional services.

The ₹17 lakh crore figure represents the potential investment value of the proposals received by Gujarat. The projects must still progress through approvals, land allocation, financing and construction before becoming operational. Details about individual companies, project locations and development timelines are expected to emerge as the proposals advance.