INFORMATION TECHNOLOGY AND COMMUNICATION DEPARTMENT
GOVERNMENT OF ANDHRA PRADESH ANDHRA PRADESH INFORMATION TECHNOLOGY INVESTMENT REGION (AP ITIR)
UPDATED PROJECT PROPOSAL - DPR
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| i
Ta$#e o) !o*te*t" Ta$#e o) !o*te*t" ............................................................................................................... i A!ro*+," .......................................................................................................................... iii '- I*trod.!t/o* 0 $a!12ro.*d ........................................................................................ 5 1.1. introduction ................................................................................................................. 5 1.2. this report ................................................................................................................... 5 %- INDUSTRY LANDSCAPE ............................................................................................ 6 2.1. Information Technology /Information Technology enabled Services Industry............. 6 2.1.1. Global IT/ITeS Industry Landscape ...................................................................... 6 2.1.2. Indian IT/ITeS Industry Landscape ...................................................................... 9 2.2. E! "Electronic ard#are !anufacturing$ Industry ............................................... 18 2.2.1. Global E! Industry Landscape Introduction and Evolution of E! Industry . 18 2.2.2. Indian E! Industry Landscape Introduction .................................................. 19 2.%. &''&(T)*IT+ ,&( -*.(- '(-.ES .............................................................. 20 2.%.1. IT / ITeS in -ndhra 'radesh ............................................................................... 20 2.%.2. E! in -ndhra 'radesh .................................................................................... 21 2.%.%. .emand pro/ections #ith 2001 as base year ....................................................... 22 2.%.2. !ethodology and assumptions ........................................................................... 22 2.%.3. (esults ............................................................................................................... 23 (- PROJECT CONCEPT3 DELINEATION 0 INFRASTRUCTURE RE4UIREMENT ........................................................................................................................................... 26 %.1. &45E6TI7ES -*. (E-S&*I*G 4EI*. TE '(&'&SE. -' ITI( ..................... 26 %.2. 4enefits of ITI( to the state and yderabad ............................................................. 27 %.%. Integrating the vie#s of 8ey Sta9eholders ................................................................. 27 %.2. .elineation of -' ITI( .............................................................................................. 28 %.2.1. 8ey drivers for delineation .................................................................................. 28 %.2.2. ITI( .elineation ................................................................................................ 30 %.2.%. .elineated -rea .................................................................................................. 35 %.2.2. .emographic 'rofile .......................................................................................... 40 %.2.3. Socio : Economic 6haracteristics ....................................................................... 42 %.3. 'hasing of Infrastructure .......................................................................................... 43 %.3.1. '-SE ; I ............................................................................................................... %.3.2. '-SE : II ............................................................................................................ %.3.%. 'roposed Land )se ............................................................................................. 44 %.3.2. Livable 'lan : internal infrastructure ................................................................. 46 AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| ii
%.3.3. E<ternal infrastructure ....................................................................................... 52 %.=. 6ompliance to environmental regulations ................................................................. 65 5- Proe!t "tr.!t.re a*d /*"t/t.t/o*a# "tr.!t.re ...................................................... 66 2.1. *otification of ITI( ................................................................................................... 66 2.2. Land -c>uisition ....................................................................................................... 67 2.%. Institutional Structure .............................................................................................. 67 2.3. 8ey strategies for achieving the goals of ITI( ............................................................ 70 6- PREPAREDNESS FOR THE PROJECT ................................................................... 71 3.1. various government initiatives to promote IT/ITES and E! sectors ....................... 71 3.1.1. Information 6ommunication ? Technology "I6T$ 'olicy 2010;2013 ................... 71 3.1.2. Electronic ard#are 'olicy 2012;201@ ............................................................... 72 3.2. various infrastructure pro/ects underta9en to support IT/ITES and E! sectors ..... 75 7- E!o*o,/! a!t/8/t+ a*d $e*e)/t" ................................................................................ 78 =.1. Li9ely investments .................................................................................................... 78 =.1.1. IT/ITES Sectors .................................................................................................. 78 =.1.2. E! Sector ........................................................................................................ 79 =.2. Economic -ctivity ..................................................................................................... 80 =.2.1. (evenue Generation ........................................................................................... 80 =.2.2. E<ports 'otential................................................................................................ 81 =.2.%. Employment Generation .................................................................................... 81 =.2.2. &ther Socio;Economic 4enefits .......................................................................... 81 9- Co,,/t,e*t o) Go8er*,e*t o) A*d:ra Prade": ................................................ 82 @.1. Initiatives of Go-' till .ate ....................................................................................... 82 @.2. 6ommitment of ,inancial (esources ......................................................................... 82 ;- S.pport )ro, Ce*tra# Go8er*,e*t ........................................................................ 83 <- A**e=.re" ................................................................................................................... 84
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| iii
A!ro*+,"
-' -ndhra 'radesh -' Transco Transmission 6orporation of -ndhra 'radesh -'6'.6L -ndhra 'radesh 6entral 'o#er .istribution 6ompany Limited -'II6 -ndhra 'radesh Industrial Infrastructure 6orporation -''64 -ndhra 'radesh 'ollution 6ontrol 4oard -'S(T6 -ndhra 'radesh State (oad Transport 6orporation -')-. -ndhra 'radesh )rban -reas ".evelopment$ -ct 4&6 4ase &<ygen 6orporation 4'& 4usiness 'rocess &utsourcing 4''- 4uddha 'urnima 'ro/ect -uthority 6TS 6ogniAant Technology Solutions .!' .isaster !anagement 'lan E! Electronic ard#are !anufacturing EI- Environment Impact -ssessment ELI-' Electronic Industries -ssociation of -ndhra 'radesh ELS( Elevated Level Service (eservoir E!-' Environment !anagement -ction 'lan EBS Economically Bea9er Sections G!6 Greater yderabad !unicipal 6orporation G& Government &rder G&-' Government of -ndhra 'radesh G&I Government of India G'6. Grams per capita per day G6L yderabad Gro#th 6orridor Limited !.- yderabad !etropolitan .evelopment -uthority !BS ? S4 yderabad !etropolitan Bater Supply ? Se#erage 4oard ).- yderabad )rban .evelopment -uthority +SE- "no# ITs-'$ yderabad Soft#are E<porters -ssociation I6-& International 6ivil -viation &rganiAation I.- Industrial .evelopment -reas I*6-' Infrastructure 6orporation of -ndhra 'radesh AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| iv
IT Information Technology IT?6 Information Technology and 6ommunications ITES Information Technology Enabled Services ITI( Information Technology Investment (egion ITI( .- Information Technology Investment (egion .evelopment -uthority LIG Lo# Income Group L'6. Litres per 6apita per .ay !IG !iddle Income Group !L. !illions of Litres 'er .ay !!TS !ulti;!odal Transport System *-SS6&! *ational -ssociation of Soft#are and Service 6ompanies * *ational igh#ay *-I *ational igh#ay -uthority of India *'- *on;processing -rea &(( &uter (ing (oad '- 'rocessing -rea '6'I( 'etroleumC 6hemicals and 'etrochemical Investment (egion ''' 'ublic 'rivate 'artnerships '#6 'rice#aterhouse6oopers S6( South 6entral (ail#ays S.D Special .evelopment Done SED Special Economic Done SI- Social Impact -ssessment SI'4 State Investment 'romotion 4oard T6S Tata 6onsultancy Services T(?4 TransportC (oads and 4uildings ).- )rban .evelopment -uthority
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 5 '- INTRODUCTION 0 >AC?GROUND 1.1. I*T(&.)6TI&* To promote investment in Information Technology "IT$C Information Technology enabled services "ITES$ and electronic hard#are manufacturing "E!$ unitsC the Government of India has envisaged a transparent and an investment friendly policy for setting up information technology investment regions "ITI(s$ : a GaAette notification dated 21.03.2001 published a policy resolution for setting up of ITI(s. There has been an increasing recognition of the importance of policy initiativesC enabling legislation and conducive regulatory environment in facilitating gro#th of economic activity. SimultaneouslyC there has been a gro#ing realiAation that economic gro#th helps governments in achieving various ob/ectivesC including but not limited toC poverty alleviationC employment generation and mobiliAation of financial resources for important programs of the government in the social sectors viA. education and health. The Information Technology Investment (egions "ITI(s$ is such an initiative being encouraged by the Government of India : different states are at various stages of planning these investment regions. 4ased on the policy guidelines of the central governmentC the government of -ndhra 'radesh "Go-'$ had notified Information Technology and 6ommunications "IT?6$ department as the nodal department for ITI( development in -ndhra 'radesh. IT?6 department had prepared and submitted a detailed 'ro/ect 'roposal for approval to the central government in 5anuary 2010. The -ndhra 'radesh ITI( proposal #as then presented to a igh 'o#ered 6ommittee "'6$ at the GoI levelC in -ugust 2012C for final approval. The '6 has recommended -' ITI( for In;'rinciple approval and suggested that a .etailed 'ro/ect (eport ".'($ shall be submitted for ,inal -pproval from 6abinet 6ommittee for Economic -ffairs "66E-$. 1.2. TIS (E'&(T This is updated -' ITI( 'ro/ect 'roposal : .'( submitted for the entire 202 s>. 8m delineated by IT?6 department for the -' ITI(.
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 6 %- INDUSTRY LANDSCAPE This chapter provides an overvie# of the Information Technology "IT$C Information Technology enabled Services "ITeS$ and Electronic ard#are !anufacturing "E!$ industries. It includes a brief snapshot on the global as #ell as the Indian scenario in the industry sectors mentioned above. This chapter also assesses the role played by -ndhra 'radesh in the gro#th of these industries in India. ITC ITeS and E! industries constitute the focus industries areas for Information Technology Investment (egions (ITIR)- 2.1. I*,&(!-TI&* TE6*&L&G+ /I*,&(!-TI&* TE6*&L&G+ E*-4LE. SE(7I6ES I*.)ST(+ LogicallyC understanding and appreciating the Information Technology and Information Technology Enabled Services and 9ey definitions #ould be the initial step. -s per The -merican eritage Science .ictionaryC Information technology "IT$ is defined as the technology involved #ith the transmission and storage of informationC especially the developmentC installationC implementationC and management of computer systems #ithin companiesC universities and other organiAationsE In the broadest senseC Information Technology "IT$ refers to both the hard#are and the soft#are that are used to storeC retrieveC and manipulate information. The Information Technology -ssociation of -merica "IT--$C defines IT as Ethe studyC designC developmentC implementationC support or management of computer;based information systemsC particularly soft#are applications and computer hard#are.E Information Technology is also considered as a branch of engineering that deals #ith the use of computers and telecommunications to retrieveC store and transmit information. IT industry #as instrumental in digitising and connecting the #orld and deals #ith the use of electronic computers and computer soft#are to convertC storeC protectC processC transmitC and securely retrieve information. Information Technology enabled Services "ITeS$C is a form of outsourced service #hich has emerged due to involvement of the IT in various fields such as ban9ing and financeC telecommunicationsC insuranceC manufacturingC etc. Some of the popular constituents/sub; segments of ITeS in India are medical transcriptionC bac9;office accountingC insurance claim processingC credit card processing and many more. This is also called 4'& or 4usiness 'rocess &utsourcing as these business processes are increasingly standardiAed and out;sourced to third party organiAations. &ver the years and #ith developed e<pertise in the basic business process outsourcing activitiesC several Indian ITeS organiAations have moved into the higher end roles of 8no#ledge 'rocess &utsourcing "8'&$ and various process fine tuning and re;engineering/ re; designing solutions for client organiAations. 2.1.1. GL&4-L IT/ITES I*.)ST(+ L-*.S6-'E Globally IT/ITeS industry has emerged in last fe# decades and is a large industry employing millions of people across continents. Today in such a short span of timeC Information Technology has penetrated to almost all industries in the #orld. -part from industriesC it has also penetrated to all #al9s of life ma9ing it impossible to thin9 a #orld #ithout information technology. 7arious estimations are available for the 9ey >uantitative parameters "siAeC gro#thC etc.$ for the Information Technology industry and it varies depending on the purpose as #ell as the definition used #hile estimating the same.
( AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 7 I*d."tr+ "/@e3 !#a""/)/!at/o* a*d 2roAt: -s per the Economic Intelligence )nit "EI)$C the Global Information Technology spendC "includes the global mar9et for 'ac9aged Soft#are and IT Services spend$ #as pro/ected to reach )S F G1% billion in 2012. The industry gre# globally at a 6-G( of 3.2H from 2003 to 2012. The IT Services spendC contributing the ma/or part of about =2HC gre# at a lo#er rate of 2.@H #hile pac9aged soft#are sales gre# at =.@H during the same period. The industry contracted during the financial crisis period but started loo9ing up from 2010. 4oth 'ac9aged Soft#are as #ell as IT Services pea9ed during 2001 and had e<perienced de; gro#th in 200G. 4oth these segments reached/crossed the previous high levels of mar9et siAe in the year 2011. Even though global economy is e<pected to gro# less impressively during 2012C it is strongly in the path of recovery from the do#nfall in 200G #hich is a good sign for the global IT industry. -s per the predictions of EI)C the 'ac9aged Soft#are and IT Services industry is e<pected to reach )S. 10@3 billion by the year 2012 at a 6-G( of 2.=H bet#een 2012 and 2012 .uring the same periodC pac9aged soft#are sales and IT services sales are pro/ected to reach )S. 201 billion and )S F =@2 billion #ith 6-G( of =.2H and %.@H respectively. Since 2010C companies have #itnessed a resumption of spendingC #ith mar9et leaders li9e &racle ")S$ reporting a rise in sales of soft#are products to ne# customers. Sales of pac9aged soft#are are e<pected to rise by %.=H this year and forecasted to gro# by 3.1H and =.3H in 201% and 2012 respectively. Spending on IT services is e<pected to gro# by 1.0H this year before gro#ing by %.2H in 201% and 2.0H in 2012. There are reasons #hy soft#are #as e<pected to be fairly resilient in the do#nturn. In the enterprise sectorC soft#are systems no# underpin the business processes of the #orldIs biggest corporations. Soft#are vendors also en/oy the safety net of their annual maintenance feesC #hich amount to about 20H of original licensing costs. *everthelessC sales of ne# soft#are by the biggest providers fell sharply in 200GC #ith customers demanding contracts that did not re>uire them to ma9e maintenance payments over as long a period as earlier. There are various other pressure points that #ill continue to be felt by the soft#are industry/developers. !ore soft#are #ill be offered to customers over the #ebC sometimes for free. The most famous e<ample so far is GoogleIs suite of applicationsC #hich imitates !icrosoft &ffice. Such Ecloud computingE #ill be one of the most significant IT developments in coming years. In case of geographical contributionC the global IT Services and 'ac9aged Soft#are industry is highly s9e#ed geographically #ith around 10H of the output coming from the )S and Europe. E8o#.t/o* o) ITBITeS /*d."tr+ Information TechnologyJ ; Information Technology has evolved in the last fe# decades #ith an amaAing speed and influence. It has not only revolutioniAed the #ay businesses #ere done across the globe but also brought in a paradigm shift in the individualIs communication space. The recent technological developmentsC including the pressC the mediaC the telephone and the Internet have reduced the physical barriers to communication and allo#ed humans to net#or9 on a global scale. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 8 The concept of information technology #as first used in 1G11C as a rechristening of the old fashioned phrase Edata processingE. It no# covers a #ide area and not /ust the domain of science relatedC but even encompasses other fields such as -rts and 6ommerce. It has no# become a model for using the technology covered by different services such as office productivity applications to process and maintain documents and recordsC various #eb portals etc. 4ut todayC information technology is the core of modern society and has reached a vital position in the #orldC #hich has become a #ell;connected global village. Information Technology enabled ServicesC #hich started #ith basic data entry tas9s over a decade agoC is #itnessing an e<pansion in its scope of services. It no# offers services such as 8no#ledge 'rocess &utsourcing "8'&$C Legal 'rocess &utsourcing "L'&$C Games 'rocess &utsourcing "G'&$ and .esign &utsourcingC among others. &utsourcing dates bac9 to the 1G=0s from #here it has gro#n to different levels from the timesharing data process model to 4usiness 'rocess &utsourcing "4'&$ and then to 8no#ledge 'rocess &utsourcing "8'&$. (ecentlyC companies have adopted a business strategy of outsourcing entire business activitiesC such as technology operationsC customer relationshipC logisticsC finance and document processing to other organiAations. The history of outsourcing started in the )nited StatesC #hen it #as struc9 #ith economic stagnation and rising inflation rates. SinceC then the )S companies started outsourcing their service related /obs to cheaper locations to regain their profitability. GlobaliAation of economies supplemented by technological advances has led to the evolution of the outsourcing industry in India. The evolution and #ide spread adoption of Internet across the globe is one of the main gro#th drivers for this industry. &rganisations across the #orld are loo9ing to reduce costs and increase efficiencies in #hat they do. Thus I&utsourcingI has been a preferred business model and #ill continue to be an important trend. The &utsourcing mar9et has been driven by t#o types of companies ; those under financial distress and needed some >uic9;hit balance sheet relief and those that used outsourcing as a mind;set and strategic lever. In the beginningC companies in )nited States of -merica started outsourcing information technology activities to lo# cost locations such as India. &utsourcing to India is cheaper than outsourcing to other locations in the #orld and this #as the primary reason for companies outsourcing their business activities to India. Bith their confidence in India gre#C fe# of these companies also started their offshore facilities in India. TodayC India is considered to be among the most preferred destinations in the #orld. (easons for preferring India lay in its vast s9illed human resourcesC good infrastructure and climatic conditions that are suited to the clientsI business activities. India has been 9no#n for its huge talent pool and has proved to be one of the most significant destinations for global companies to outsource their bac9 office operations. .ue to IndiaIs additional edge in 9no#ledge based servicesC India has emerged as a favourite destination for outsourcing of 9no#ledge processes too. Today outsourcing industry is moving to#ards high level of specialiAation as #ell as higher end processes from the traditional lo# end business processes. *o# several 4'&s AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 9 have progressed in the value chain to offer high end consulting services thus creating #orld#ide opportunities in terms of enhanced revenuesC product/service innovation and economic gro#th. 2.1.2. I*.I-* IT/ITES I*.)ST(+ L-*.S6-'E Indian IT ? ITeS industry has been a consistent gro#th driver for Indian economy for last 1 ;2 decades. It has sho#n enough resilience even during one of the most troubled periods in last couple of years #hen most developed countries faced one of the #orst financial crisis in recent times. Indian IT ? ITeS industry is increasingly contributing to countryIs G.'C employment and e<ports. The 9ey factors contributing to the huge gro#th and success of this sector are continued e<pansion to diversified mar9etsC different service offeringsC incorporation of best practicesC continuous s9ill up;gradation and emergence of Indian !ultinational 6ompanies. Some of the recent industry highlights "SourceJ *-SS6&! and .epartment of Information TechnologyC Govt. of India$ are given belo#J India is considered as a premier destination for global sourcing of IT;ITeS. It accounts for more than 30H of the global outsourcing mar9etC estimated at )S. G3 billion in 2011. India is mentioned to have more than =0H of the global technology services mar9et "IT ServicesC Engineering Services and (?.$ of about )S F 31 billion Indian contribution to Global 4usiness &utsourcing mar9et is considered to be about %2H of the mar9et siAe of about )S F %@ billion. -mongst the ITeSC 4'& is the fastest gro#ing sector #ith a 6-G( of 2GH "bet#een 2002;200G$ The total number of IT and ITeS;4'& professionals employed in India has gro#n from 0.21 million in 1GGG; 2000 to 2.@@ million in 2011;12 Indirect employment attributed by the sector #as estimated at 1.G million in year 2011;12 8ey sectors of 4an9ingC ,inancial Services and Insurance "4,SI$C igh technology and Telecom contribute almost =0H share of total ITeS e<port revenues It is e<pected that the future gro#th #ill come from ealthcareC (etail and )tility sectors. In ITC India has built a valuable brand e>uity in the global mar9ets and Indian talent and solutions/services offered by Indian IT companies are accepted globally. India #as amongst the first movers in the IT;4'& space. 6urrently India is facing huge competition from emerging players li9e !e<icoC 7ietnamC 'hilippinesC !alaysia and 6hina. o#everC there is an opportunity for India to tap the 8no#ledge 'r>cess &utsourcing "8'&$ mar9et and to move up the value chain and tap the huge gro#th potential #ith the s9illed manpo#er available. In ITeSC India has emerged as the most preferred destination for 4usiness 'rocess &utsourcing "4'&$C a 9ey driver of gro#th for the soft#are industry and the services sector. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 10 I*d."tr+ "/@e a*d !#a""/)/!at/o* 'resently India contributes around G.2H to the global IT ? ITeS "#hich includes IT soft#areC and IT servicesC #ithout IT ard#are$ industry and is valued at )S. G0.= billion. "'lease note here that if the IT ard#are is also includedC India contributes only to about 3H of the global industry$. The Indian IT;ITeS industry gre# #ith a 6-G( of around 1@.3H in the past five years "200=;0@ to 2011;12$. The global economic do#nturn #hich started in early part of 2001 and continued in 200G resulted in slo# revenue gro#th for most Indian ITC ITeS and E! companies. 4ut #ith the Global economy pic9ing up there is a huge mar9et potential to be tapped. The Indian economy #hich #as gro#ing at an enviable rate of 1.2H in 2010;11 gre# at a moderate rate of =.3H in 2011;12 "SourceJ 6S&$. In spite of thisC Indian IT and ITeS industry #as able to sustain a respectable gro#th momentum. Gro#th rateC although respectableC has also been aided in certain years due to rupee depreciation. -ccording to *-SS6&! annual reportC the Indian IT;ITeS/4'0 industry gre# by over 12.@H to reach a total turnover of )S. G0.= billion in 2011;12. The year #as mar9ed by e<pansion into ne# service lines and ne#er geographies by Indian players. The Indian soft#are and services e<port gre# from )S. 3G.0 billion in 2010;11 to reach )S. @1 billion in 2011;12C a gro#th of 20.1H. The IT services e<ports are estimated to gro# by 11.1H to reach )S. %G.1 billion in 2011;12 from )S. %%.3 billion in 2010;11. The employment gro#th in the sector is indicative of the strong fundamentals of the Indian industry. The gro#th of the Indian IT and Electronic ard#are industry is sho#n in E<hibit 2.1 belo# E<hibit 2.1J Electronic ? IT 'roduction 'rofile
SourceJ -nnual (eport of .epartment of Information TechnologyC Government of India Indian IT ? ITeS industry is e<port driven and computer soft#are e<ports dominate the e<port revenue #ith Electronic ard#are contributing only a small share. The gro#th in soft#are e<ports from India is depicted in E<hibit 2.2 belo#.
6-G( K 1@.3H AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 11 E<hibit 2.2J E<ports from India
SourceJ -nnual (eport of .epartment of Information TechnologyC Government of India .omestic mar9et for IT and ITeS is still small in India and most of the products/services are e<port;oriented. The revenue from the domestic IT mar9et #as e<pected to touch )S. 1=.@ billion in 2011;12 as compared to )S. 12.% billion in 2010;11. TraditionallyC )S and )8 have been the largest e<port mar9ets for the industry accounting for almost 10H of all e<ports. o#ever the focus is gradually shifting to other geographiesC especially to 6ontinental Europe. India is also loo9ed upon as an (?. hub for many multinational companies #ith over =00 companies sourcing their product development and engineering services from their Indian subsidiaries. I*d/a ad8a*ta2e India is the second fastest gro#ing economy in the #orld #ith its Gross .omestic 'roduct "G.'$ gro#ing at an average rate of 1.2H "200%;2012$ "refer E<hibit 2.%$. In spite of the global financial crisisC companies from developed economies have sho#n confidence in IndiaIs future and are interested in gro#ing their business in the country. In factC the Indian stoc9 mar9et #as amongst the first fe# to bounce bac9 after the global financial crisis in 2001;0G. E=:/$/t %-(C A8era2e GDP GroAt: (%&&(-'%)
SourceJ I!,C 6risil AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 12 Bith the largest number of listed companies L10C000 across 21 stoc9 e<changesC India has the third largest investor base in the #orld. It also has the fourth largest billionaire population in the #orld. -verage household income in India is e<pected to triple in ne<t 2 decades #ith pro/ected 6-G( of 3.%H. This is significantly more rapid than %.=H gro#th in the past 20 years. This presents an opportunity for the gro#th of huge domestic mar9et in the times to come. TodayC India is amongst the #orldIs youngest nations #ith a median age of 2= years "0;12 yearsJ 2G.@H. 13;=2 yearsCJ=2.GHC =3M yearsJ 3.3H$C as compared to 23 in 5apanC %@ in )S- and %= in 6hina "refer E<hibit 2.2$. India is pro/ected to stay the youngest #ith its #or9ing;age population estimated to rise to @0H of the total demographic by 20%0 ; the largest in the #orld. E<hibit 2.2J !edian -ge "+ears$
SourceJ The Borld ,act 4oo9 -ccording to a previous industry estimateC global sourcing amounted to )S F 23 billion savings for customers in 2001. The outsourcing model has established itself as a successful business model. India is increasingly being loo9ed upon as a preferred destination for setting up subsidiaries due to its impeccable record of access to vast s9ill baseC cost competitivenessC strong >uality orientationC availability of high >uality infrastructureC enabling policies of the governmentC mature industry eco;systemC commitment to address security concernsC availability of private e>uity to support local entrepreneursC economic stability and global 22N@ service delivery model. Some of the above points have been elaborated belo#J O Access to vast skill base: ; &ver L 2.3 million graduates are added to the #or9force every yearC including %00C000 engineers and 130C000 IT professionals. ; &ne of the largest English spea9ing manpo#er in the #orld. ; -vailability of >uality delivery management talent from international ban9s and consulting firms. O Strong Puality &rientation L IS& G001C 6&'6C = Sigma are some of the established >uality initiatives. L 10 out of the #orldIs 11@ SEI 6!! Level 3 companies are from India. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 13 O -vailability of igh Puality Infrastructure ; 6oncerted efforts to provide dedicatedC international >ualityC cost effective real estate at soft#are par9sC Special Economic Dones "SED$ and IT Investment (egions "ITI($. -vailability of high >uality international and national dedicated telecom infrastructure. O 6ost 6ompetitiveness ; The cost impact of sourcing from Indian IT and ITeS industry can be significant due to lo#er #agesC cost of livingC real estate and other costs "refer E<hibit 2.3$. - company based in )S or Europe can save %0;20H cost by off shoring operations. India also provides the most economical manufacturing #or9force. E<hibit 2.3J Labour cost ")S. per month$
Fa!tor" !o*tr/$.t/*2 to !o*t/*.ed ".!!e"" o) ITBITeS /*d."tr+ The ma/or cities in India #hich houses IT ? ITeS are 4angaloreC 6hennaiC yderabadC !umbaiC 'uneC .elhi and 8ol9ata. o#everC leading companies are no# diversifying and moving delivery center locations beyond Tier 1 cities to Tier 2 and % citiesC to achieve better cost competitiveness and less employee turnover. Some of the 9ey factors for the concentration and gro#th of IT/ITeS industry in these cities areJ Established connectivity to international and other domestic cities Bell;established physical infrastructure e.g. po#erC #aterC telecom etc. "o#ever. cost of infrastructure for these locations seems to be an area of immense concern for service;providers and clients$ -vailability of #ell;>ualifiedC ade>uate and lo#;cost manpo#er Bell;developed social infrastructure to support residing population Bell defined real estate la#sC regulations on o#nership and transfer of property -ccording to a study conducted by GartnerC India has a high rating across many parameters considered to ascertain a countryIs suitability for captive and outsourced offshore IT #or9. The parameters and their ratings are as follo#sC AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 14 Para,eter Rat/*2 Language 7ery Good
Government Support E<cellent
Labour pool E<cellent
Infrastructure Good Educational System Good
6ost 7ery Good
'olitical and Economic Environment 7ery Good
6ultural 6ompatibility Good Global and Legal !aturity 7ery Good
.ata and Intellectual 'roperty Security and 'rivacy Good La*2.a2eC Bith more than %3 languages and more than %00 dialects in active useC India is a multilingualC multi;religiousC multicultural country. o#everC India has a strong foundation in the use of EnglishC #hich is the de facto business language across the country. India has the second largest English spea9ing scientific professionals in the #orldC second only to )S. It is also ran9ed 1@th in the I!. global competitiveness ran9ing for English language s9ills. Go8er*,e*t S.pportJ The government of India is ta9ing special care to boost the IT Industry. The .epartment of Information Technology ".IT$ endeavours to increase the countryIs e;readiness by focusing on 9ey emerging technologies. To boost the IT IndustryC the .IT also aims to focus on IT education and IT;based educationC technologiesC systems and applicationsC broadbandC smart cardsC radio fre>uency identificationC and net#or9ing technologies. eavy investments have been earmar9ed for establishing 4io IT 'ar9sC IT investment regions and the Trans Eurasia Information *et#or9. There is a strong focus on using IT to drive improved governance and transparency in government interactions #ith the citiAens. This #ill boost both the Indian governmentIs use of IT and the overall domestic IT industry. La$o.r Poo#J -ccording to a study conducted by I!. GlobalC India ran9ed @th in IT s9ills . -ccording to .ITC employment generated by IT industry in the year 2011;12 stood at 2.@@ millionC #hich is the largest pool of offshore talent in the #orld. The reverse Ebrain drainE bac9 to India of Indian nationals #ho have education and #or9 e<perience in other countries has accelerated over the past yearsC and remains a stronghold of high;end e<patriate talent returning to the country. Even as global enterprises increasingly loo9 to broaden the base in their choice of countries from a ris9 mitigation perspectiveC the siAeC >uality and scale of the Indian labour pool continues to differentiate it from all other countries. I*)ra"tr.!t.reJ The government is laying emphasis on augmenting the infrastructure in the country #ith spending of 1H of its G.' on infrastructure in 2011. The latest budget AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 15 underscores an investment of )S. G3= billion in the 12th ,ive +ear 'lan "2012;1@$ to#ard improving high#aysC portsC airportsC po#er plants and other infrastructure. Telecommunications infrastructure recently under#ent a ma/or change #ith the rollout of %G licenses to the telecom players. -irports in India have undergone the most dramatic transformation in Tier 1 cities. - ma/or revamping of airports in some 9ey IT cities is complete or is near completion. Ed.!at/o*a# S+"te,J -ccording to a study by I!. GlobalC India ran9s 20th in Educational SystemC based on educational systemIs ability to meet the needs of competitive economy. It is also ran9ed 1%th on management education and 22nd on university education. India has one of the largest numbers of higher education institutions in the #orldC comprising at least =%2 universities and %%C02% colleges as on .ecember 2011. It also has the second;highest number of engineering graduatesC after the ).S. Education is a high priority for the Indian government. This is reflected by the fact that in 2012 a budget of F 10.G2 billion #as allocated to#ards the education sector in the 12th ,ive +ear 'lan Co"tC Bith recession gradually abatingC salaries have been rising andC as a resultC attrition levels have also risen. -ccording to a survey by To#ers BatsonC India is e<pected to lead salary increases in -sia/'acific in 2012. The overall increase in the cost of e<perienced #or9ers in India has meant that the country is no longer the least;e<pensive option on a purely resource;cost basisC compared #ith some other developing countries. &n an absolute basisC the annual salary of a programmer #ith about three yearsI e<perience is F12C000 to F1@C000.Increased levels of attrition in the IT industry is adding to the overall cost. o#everC even #ith salary escalationC India has a reasonable cost differential. (eal estate prices have been going up sho#ing double digit gro#th over the years due to the rising cost of construction materialC ta<es and rising interest rates. Leading India providers continue to diversify delivery centre locations beyond Tier 1 cities to Tier 2 and % citiesC to achieve more;competitive labour rates. Po#/t/!a# a*d E!o*o,/! E*8/ro*,e*tC IndiaIs G.' gro#th moderated to =.3H in the fiscal year 2011;12. .espite having a moderate gro#th rate in 2011;12C India #as one of the fastest gro#ing economies not only in -sia 'acific regionC but in the #hole #orld. India is considered a stable nation #ith a progressive economic mind;set and a stable government. igh economic gro#th continues to attract investments into IndiaC thereby fuelling the overall gro#th of the industry. 4ut there are clear areas for improvement for the country. -ccording to Transparency InternationalIs 2012 corruption perceptions inde<C India is ran9ed G3 out of 11% countries "#ith 1 being the best and 11% the #orst$. India has several country / region specific agreements and treaties #ith other countries. It has been recogniAed as 9ey to ).S. strategic interests. ).S.C ).8.C 6anada and -ustralia are the countries #here large number of Indians #ith technical s9ills and professional e<pertise migrate. The country has emerged as a ma/or po#er in the global economyC #hich gives it a better voice in international affairs. IndiaIs gro#ing economic strengthC military pro#essC and scientific and technical capacityC as #ell as the siAeC populationC AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 16 strategic location and above all the democratic system of the country strengthen its position in the global stage. C.#t.ra# Co,pat/$/#/t+J India has a strong general cultural affinity #ith most English spea9ing Bestern countriesC #hile a cultural compatibility challenge e<ists #ith mar9ets in the non;English;spea9ing #orldC such as 5apan and much of Bestern Europe. -ccording to I!. Global studyC India ran9s 12th in the Iopenness and acceptanceI to foreign ideas. It ran9s eighth in fle<ibility and adaptability of people #hen faced #ith challenges. Increasing recognition of India as a ma/or global economy is facilitating IndiaIs cultural assimilation #ith other countriesC through greater bilateral relationships at a people;to;people as #ell as government;to;government level. G#o$a# a*d Le2a# Mat.r/t+J Indian legal system continues to have an adverse effect on business ris9C #ith e<amples of court cases prolonging on for years. The Borld 4an9Is E.oing 4usiness 2012E report places India 112 out of 11% countries for Eenforcing contracts.E India has 3@ bilateral investment treaties #ith nationsC including the ).8.C ,ranceC GermanyC !alaysia and !auritius. India and the ).S. do not have a bilateral investment treatyC although they have a double;ta<ation avoidance treaty. The IT -ct "amended$ of 2001 has brought in ma/or modifications in current Indian cyber la# that made it more stringent and comprehensive. India #as placed 2@th in a recent #orld audit ran9ing democracy out of 130 countries "#here 1 is the best$. India is putting efforts into strengthening e<isting bilateral ties #ith neighbouring nations for better trade prospects. 4olstering of these ties is liable to increase the presence of foreign players in the country. Bor9 is under #ay to further improve the legal system and financial net#or9C #hich has a long #ay to meet international business standards. Data a*d I*te##e!t.a# Propert+ Se!.r/t+ a*d Pr/8a!+J The .epartment of Information Technology has come up #ith a cyber;security strategy to address the strategic ob/ectives for securing countryIs cyberspace. -ccording to the 4usiness Soft#are -llianceC '6 soft#are piracy in India has declined from @1H in 200= to =2H in 2010. In the -sia/'acific regionC this places India ahead of 6hina "@1H$C Indonesia "1@H$C Thailand "@%H$ and 7ietnam "1%H$. *-SS6&! continues to lobby the Indian government for improved la#s around data security and privacy to bring it up to par #ith global standardsC and has set up the .ata Security 6ouncil of India as a Self;(egulatory &rganiAation to establishC populariAeC monitorC certify and enforce privacy and data protection standards for IndiaIs IT;enabled services/business process outsourcing;4'& industry. -lthough India does have a sound data protection and security in placeC the country is coming up #ith various acts and la#s to fight the cyber crimes in the country. -lthough piracy is still commonplaceC intellectual property protection is improvingC as a result of government and IT industry initiatives. The lac9 of ade>uate la#s and enforcement mechanisms remains the biggest challenge to achieving global standards in I'C security and privacy protection. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 17 ?e+ !:a##e*2e"B /"".e" )a!ed $+ t:e /*d."tr+ Bhile Indian IT;ITeS industry is #ell positioned to continue its leadership position in global offshore outsourcingC it needs to overcome certain challenges to ensure that the industry gro#th is sustainable. Some of the ma/or challenges faced are listed belo#J O !aintain confidentiality of sensitive client data such as ban9C health and other private details O !aintain a competitive edge over lo# cost destinations such as 'hilippinesC !alaysiaC 6hinaC (ussiaC East European countries "i.e. 'oland and ungary$ and South -merican countries "i.e. 4raAilC !e<ico and 6hile$ O !atching the supply of trained manpo#er to meet the spiralling demand O .iversification to ne# areas of business O Infrastructure bottlenec9s in areas such as seamless internet connectivityC uninterrupted po#er and #ater supplyC transport connectivity O Ta< oliday #ithdra#als F.t.re O.t#oo1 Indian IT sector is e<pected to be driven by strong demand and Indian e<pertise and its advantageous position in the IT space. Increasing affluence of domestic consumers and globaliAation of 9ey segments are e<pected to enhance the domestic spend on IT services. Indian IT;4'& sector has tremendous untapped potential for gro#th as it currently accounts for less than 3H of the global mar9et Some of the 9ey observations on the outloo9 of the IT industry areJ O The economic slo#do#n presents a challenge to soft#are vendorsC as enterprises are tempted to focus more on the bottom line. .espite the slo#do#nC the soft#are and service sector #ould gro# at a pro/ected 6-G( of 1%H for 200G; 201%. O In terms of sectorsC the most obvious gro#th opportunities are in the public sector and among S!Es. .espite the difficult economic conditionsC the local mar9et is li9ely to sustain vendor investmentC #ith the S!Es becoming more sophisticated in their demand for customiAed soft#are and applications to increase business fle<ibility. O India is slo#ly emerging as a global centre for outsourcingC #ith large )S and European companies focusing on offshore soft#are development to lo#er costs. Several sectors that promise outsourcing opportunities in this global economic slo#do#n are auto ancillaries and pharmaceuticals. O In the broad domestic soft#are mar9etC telecomC governmentC manufacturing and retail are 9ey verticals driving demandC #ith enterprises focusing on improvement of customer;service e<perienceC efficiency and decision support. O The leading sectors for E('/E(! applications are manufacturingC retail ban9ingC financial servicesC telecomC IT services/call centresC insuranceC state and central government agencies. -s services become increasingly importantC particularly in competitive industries such as telecomC more companies are adopting 6(! solutions. O There seems to be a paradigm shift in the character of the Indian IT industryC #ith India gradually moving up the value chain from a lo#;cost service provider to an integrated higher value global IT services vendor. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 18 India is at the forefront of the rapidly evolving 4usiness 'rocess &ffshoring "4'&$ mar9et and is #ell established as a Idestination of choiceI. aving gro#n manifold in siAe and matured in terms of service delivery capability and footprint over the past decadeC the Indian 4'& industry is no# at an infle<ion point L and faces a uni>ue opportunity to enhance its role as a full;serviceC value;adding partner. There is significant headroom in the addressable 4'& opportunity for buyers and providersC and there are siAeable untapped opportunities across a #ide spectrum of segments. -lsoC Indian 4'"$ industry is favourably positioned to benefit from its established delivery capabilitiesC #hich bear a 9ey influence on buyersI decision to e<pand their global sourcing e<posure. &ver the ne<t five yearsC the right choices by sta9eholders of the Indian 4'& industry could affect a fivefold gro#th. The aspired target is aggressiveC but it is achievableC and #ill bring huge payoffs to India;s economyC employment and role in the global mar9etplace. The Indian 4'& industryIs gro#th and increasing maturity is reflected across multiple dimensions. In /ust over a decadeC the industry has gro#n to reach nearly )S. 13.G billion ",+ 2012$ in e<port revenues and )S. 2.@ in domestic revenues. It employs about 1.0 la9h peopleC and accounts for more than %@H of the #orld#ide 4'& mar9et share in revenue terms. .omestic 4'& has emerged as a ma/or segment in this pie. ,rom being predominantly voice basedC 4'& has added other comple< processes li9e 8'&C L'&C 6linical research in their product offerings. There is very little to differentiate companies from the product point of vie# and therefore offering very high >ualityC personaliAedC 22/@ customer service #ould be critical for sustaining gro#th in this industryC #hich in turn #ill re>uire scaleC fle<ibility and e<pertise. There could be consolidation in the industry in the coming years as big companies #ould #ant to e<pand their offering by ac>uiring niche players in the industry. There is threat in 7oice based 4'& segment in India from countries li9e 'hilippinesC !e<ico and other Eastern Europe 6ountries as these countries have greater cultural affinity to#ards )S and Europe. 4ut this threat could be mitigated by the immense gro#th seen in the domestic Telecom sector and 4,SI sector. Introduction of %G licenses in telecom sector #ould further increase subscriber base in IndiaC hence #ould increase demand for voice based 4'& catering to domestic mar9et. Similarly investment seen in other sectors such as ban9ingC insuranceC and consumer business #ould further create demand for 4'& in India. 2.2. E! "ELE6T(&*I6 -(.B-(E !-*),-6T)(I*G$ I*.)ST(+ IElectronicsI refers to the branch of science #hich ma9es use of the controlled motion of electrons through different media. The global Electronics Industry comprises of various au<iliary sectors namely electronic componentsC computer and office e>uipmentC telecommunicationsC consumer appliances and industrial electronics. Electronic ard#are !anufacturing "E!$ Industry refers to the segment of industry #hich deals #ith the manufacturing of Electronic components. 2.2.1. GL&4-L E! I*.)ST(+ L-*.S6-'E I*T(&.)6TI&* -*. E7&L)TI&* &, E! I*.)ST(+ ElectronicsC reported at )S. 1.@3 trillionC is the largest and fastest gro#ing manufacturing industry in the #orld. It is e<pected to reach )S. 2 trillion by 2012 and )S. 2.2 trillion by 2020. 6urrentlyC the demand in the Indian mar9et stands at )S. 23 billion and is AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 19 pro/ected to gro# to )S. 123 billion by 2012 and )S. 200 billion by 2020. ,urtherC e<ports are e<pected to increase from the current )S. 2 billion to )S. 13 billion by 2012 and )S. 10 billion by 2020. .omestic consumption is e<pected to gro# e<ponentially at a 6-G( of 22H for the period 200G:2020. This #ill be driven by a surge in income levelsC the aspirational value of electronics goodsC demand from a resurgent corporate sector and the governmentQs focus on e;governance. Size of the global electronics industry vis--vis other major industries O 2.20 times the siAe of &ilC 'etrol and !inerals Industry O 2.@3 times the siAe of 6hemicals and 'lastics Industry O 2.23 times the siAe of ,oodC 4everages and Tobacco industry O 2.22 times the siAe of Transportation industry O 2.20 times the siAe of Electricity. #ater and Gas industry 2.2.2. I*.I-* E! I*.)ST(+ L-*.S6-'E I*T(&.)6TI&*
The Electronics Industry in India started to ta9e shape in the mid 1G=0IsC catering to the re>uirements of the Space and .efence sectors. These sectors #ere under rigid control of the Government and hence the gro#th of Electronics industry #as limited. In the 1G@0IsC developments in consumer electronicsC such as transistor radiosC 4lac9 ? Bhite T7C calculators and other audio products added traction to the industry. In the 1G10IsC advent of colour televisionsC computers and digital telephony led to the beginning of a continuous and rapid gro#th phase for the industry. In the 1GG0IsC electronics industry continued to boom due to the rapid pace of digitaliAation across all sectors. In the mid 1GG0Is IndiaIs focus shifted to soft#areC coupled #ith fe# policy changes such as a steep fall in custom tariffs suddenly made the hard#are sector vulnerable to international competition. In 1GG@C the IT- agreement #as signed at the BT& #here India committed itself to total elimination of all customs duties on IT hard#are by 2003.
In recent yearsC the electronic industry is gro#ing at a bris9 paceC due to the booming domestic salesC especially from consumer electronics segment. -ccording to industry estimatesC the siAe of Indian electronics mar9et #as about )S. 20 4illion in 200G #ith the gro#th rate hovering at greater than 20H during the previous couple of years. It represented a miniscule 2.=H of the global industry siAe during that year. 6urrentlyC about %12th of the Indian demand for electronics mar9et is met through imports. The domestic production in India #as around )S. 23.2 billion in 2011. o#ever #ith the demand in the Indian mar9et gro#ing at a rapid paceC significant investments are flo#ing into segment for augmenting manufacturing capacity. "SourceJ EL6I*-$ Global players such as SolectronC ,le<tronicsC 5abilC *o9iaC Elcote> and many others have established manufacturing bases in the country. In consumer electronicsC 8orean companies such as LG and Samsung have made commitments by establishing large manufacturing facilities and no# en/oy a significant share in the gro#ing mar9et for products such as TelevisionsC 6./.7. 'layersC -udio e>uipment and other entertainment products. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 20 2.%. &''&(T)*IT+ ,&( -*.(- '(-.ES 2.%.1. IT / ITES I* -*.(- '(-.ES -ndhra 'radesh is the fourth largest state in terms of area and fifth largest economy in India and has been one of the fore;runners in the IT gro#th in the country. yderabad is no# being referred to as R6yberabadQ : as the city has one of the largest concentrations of soft#are technology companies in India including @ills 4usiness SolutionsC -ccentureC -ppLabsC InfosysC !icrosoftC 6S6C &racleC BiproC GEC iGateC -.'C .ellC .eloitteC S46C -nalog .evicesC (hythm and ues StudiosC I4!C SatyamC 4irlasoftC 6ypress SemiconductorsC Sat*av TechnologiesC T6SC -maAonC GoogleC 'C 6apgeminiC 6omputer -ssociatesC PualcommC 6ogniAant Technology Solutions"6TS$C )4SC !indTreeC 6LC 'olarisC 4an9 of -mericaC 7eriAonC 6ovansys and Sierra -tlantic etc. 4esides yderabadC other ma/or cities li9e 7isa9hapatnam and 7i/aya#ada are also emerging as potential IT hubs because of cost advantage and other enabling factors. 4esides government support in providing fiscal incentives and infrastructure supportC the state also boasts of contributing the highest number of IT professionals to the talent pool. Bith the largest number of IT/ITES SED notifiedC the state has seen almost 30H gro#th in e<ports in soft#are sector and also contributing more than 30H to the stateQs overall e<ports. The recent *-SS6&! study on assessment of 30 Indian cities as potential hubs for IT industry has listed yderabad as one of the SLeaderT cities because of enabling success factors li9e high availability of talent poolC enabling business environmentC presence of recogniAed IT;4'& companiesC IT par9sC SEDs and government support. &ther factors that contribute to the success of the state as a #hole and yderabad in particular are e<cellent road and rail connectivity #ith the ma/or metros. *o# #ith a ne#ly developed international airport #ith #orld;class facilitiesC the city has direct flight connections to LondonC -msterdamC 4ang9o9 and the !iddle East. -ndhra 'radeshQs success in the field of information technology and business process outsourcing over the past decade remains unparalleled. Total e<port revenues earned by this sector have gro#n from I*( 1000 crore ")S. 3= million$ in 1GG1;1GGG to I*( %=C000 crore ")S. 1.3 billion$ in 2010;11C a 6-G( of %3 per cent. The domestic IT;4'& sector is sho#ing increased traction too. -ndhra 'radesh : through its uni>ue value proposition : cost effectivenessC abundant talent and maturing service deliveryC has emerged as the cornerstone for this sectorC steadily increasing its mar9et share to over 30H of the global sourcing industry. It is estimated that India based resources account for about =0;@0H of the offshore delivery capacities available across the leading multinational IT;4'& players. &ver the last 10 yearsC the technology and 4'& industry has been an engine of gro#th for the Indian economy. 4et#een 1GG1 and 2001C it >uadrupled its share of IndiaQs G.' and e<ports to 2H and 1=H respectively. In additionC the industry has also had a strong multiplier effect on national G.' and consumer spending by #ay of capital e<penditureC operating e<penses and e<penditure by the individuals employed in the industry. &ver the last 10 yearsC the technology and 4'& industry has been an engine of gro#th for the -ndhra 'radesh economy. 4et#een 2000 and 2011C it >uadrupled its share of IndiaQs G.' and e<ports to 1.3H and 1=H respectively. In additionC the industry has also had a strong multiplier effect on State GS.'C Employment and consumer spending by #ay of capital e<penditureC operating e<penses and e<penditure by the individuals employed in the IT industry. -' is the first state to initiate some of the 9ey e;Governance pro/ects in the country 'resently the share of IT e<ports of our state is 12.2H of *ational IT e<ports. IT Employment in -' occupies 11.2H of *ational IT employment. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 21 -' IT sector contributes 0.13H share to the *ational G.' "*ational G.' share is 3.@H$. -' ran9s 2th in IT performance in the country. ,or the year 2011;2012C -' gro#th rate is 1=H as against *ational gro#th rate of 13.@H. The total IT turnover from the State for the year 2011;2012 is (s.3%C22= crores "E<portsJ(s. 20C=2= crores M .omesticJ(s.12C=00 crores$ . IT contributes to %GH of total e<ports from -'. -' has 3= IT SEDsC out of %3% approved IT SEDs in the country. &ver =00C000 English spea9ing graduates and nearly half of it are technical /engineering graduates. 586 'rogramJ ,irst of its 9ind initiative in the countryC bridging the gap bet#een industry and academia. 'resence of best engineering and !anagement colleges such as IIT C IIITC IS4 and !SIT etc. Bell connected to International destination through #orld class airports : state of the art sea ports #ith bul9 cargo handling capacity. PARTICULARS '<<< %&'% INCREASE *o. of IT companies 1G2 12=1 7-6 t/,e" Employment 12C000 %11=22 %7 t/,e" E<ports "(s.6rores$ 212 20=2= '5( t/,e" 4uilt;up Space "sft$ 200C000 =0 million (&& t/,e" The gro#th of the IT sector in -ndhra 'radesh has led to tremendous pay;offs in terms of #ealth creation and generation of high >uality employment. .irect employment in the IT services and 4'& segment touched nearly %11C=22 by the end of ,+ 2012.This also translates to the creation of over 1 million indirect /ob opportunities attributed to the gro#th of this sector in diverse fields such as commercial and residential real estateC retailC hospitality and transportationC etc. Bhile the sector has maintained a 6-G( of over %0H in the past decadeC the global economic do#nturn in 200@;0G has impacted the gro#th IT. The Industry has been sho#ing promising gro#th from late 200G on#ards. Leading Industry analysts Gartner in its recent report have estimated that the #orld#ide technology spending #ill be to the tune of )S. %C=@0 billion and IT being an e<port led sector #ith a 9ey thrust on ban9ingC financial and insurances servicesC e<ports are e<pected to gro# by over 10HC domestic mar9et by %0H. -ndhra 'radesh I6T Sector has demonstrated maturity by reducing costsC focusing on ne# mar9etsC investing in sales and developmentC domain e<pertiseC enhancing operational e<cellence and thrust on customer centricity. 2.%.2. E! I* -*.(- '(-.ES -ndhra 'radesh also has large share in electronic production in India contributing about @.3H of electronic production in the country and has about %00 electronic industries. -' State ran9s *o.3 in the *ational Electronic industry -' reached (s.=300 crore production and (s.=30 crore e<ports during 200G;2010 ouses about %00 electronic industries #ith =0C000 employee base and in highly specialiAed lines. !a/or segments in Electronic ard#are e<isting in -' include Industrial ElectronicsC 6ommunication ? broadcast e>uipmentsC 6omputers ? 'eripheralsC Strategic electronics ? components "SemiconductorsC Solar ? .isplays$ etc. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 22 In terms of opportunitiesC the electronics hard#are industry can significantly boost -ndhra 'radeshQs GS.'C generate employmentC moderniAe processes and enable -ndhra 'radeshQs mission of inclusive gro#th. It is estimated that the Indian domestic manufacturing companies can e<pand the production to )S. 100 billion by 2012 and )S. 200 billion by 2020 #ith a very significant contribution to G.'C at 20H for 2020C at par #ith other economies. The Electronic ard#are Industry aspires to seiAe 20H of the manufacturing opportunities Indian domestic sector provides. The electronics hard#are industry can increase employment in the state significantly as most of its segmentsC such as electronic system manufacturingC are human capital; intensive. The electronics hard#are industry has a high potential for domestic value additionC especially in some of its segmentsC e.g.C semiconductor design and electronics system/product design. There is a large opportunity evolving for Electronics hard#are industry in e;governance initiatives of the state and central government. .evelopmental schemes and initiatives launched by the Government such as Sarva Shi9sha -bhiyaan "SS-$C (estructured; -ccelerated 'o#er .evelopment and (eform 'rogramme "(;-'.('$ and !ahatma Gandhi (ural Employment Guarantee -ct "!G(EG-$. The governmentQs allocation of funds for developmental schemes and initiatives is close to )S. 23 billion. o#everC IT intervention is re>uired to ensure the effective implementation of these schemes and initiatives. 2.%.%. .E!-*. '(&5E6TI&*S BIT 2001 -S 4-SE +E-( Bith a large base of 2 million professionals #or9ing in the IT;4'& sector and e<port revenue from the 4'& sector reaching )S. 10.G billion and gro#ing at about %0H per annumC the Indian ITES industry accounted for a =%H share in the global outsourcing mar9et in ,+ 2001. The siAe of the Indian mar9et as measured by revenue from IT/ITES and E! is about )S. =2 billion #ith the e<port mar9et being pegged at =%H of total revenue at )S. 21 billion and domestic mar9et at )S. 2%.2 billion. 2.%.2. !ET&.&L&G+ -*. -SS)!'TI&*S - linear regression analysis #as used to predict the gro#th of IT and E! revenueC based on the G.' gro#th for the past 10 years. The share of -ndhra 'radesh in IT / ITES e<ports and E! production #as e<trapolated based on past data. 4ased on the pro/ected demand for IT / ITES and E!C the land re>uirement #as calculated based on industry norms li9e space re>uirement per employee and revenue per acre of land for IT and E! respectively. 8ey assumptionsJ Time horiAon : 23 years &ptimistic G.' gro#th rate : @.3H 'essimistic G.' gro#th rate : =.0H Share of -' IT e<ports to gro# from 13H currently to 20H of Indian IT e<port over the ne<t 23 years. Share of yderabad in -' IT revenue : 13H "linearly reduced to 10H for the ne<t 23 years attributable to gro#th of IT sector in other cities in the state$ (evenue per employee assumed to gro# at a 6-G( of 2 H E! production assumed to gro# linearly to contribute @H to the national G.' by 20%% -' share of electronics revenue to gro# from present @H to 13 H in the ne<t 23 years *umber of IT employees #or9ing in offices : 10H "remaining 20 H in IT campuses$ Space re>uirement per employeeJ 100 s>. ft. in offices and %00 s>. ft. in campuses AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 23 2.%.3. (ES)LTS The regression analysis for the IT sector yielded the follo#ing resultsJ (egression analysisJ Indian IT e<ports The regression analysis for IT e<ports and G.' gro#th of India yielded the follo#ing resultsJ (egression e>uation : +1 K ;%1.2 M 0.01=UN1 #hereV +1 K IT e<ports of India N1K G.' of India ( 2 K 0.G1% (egression analysisJ Indian IT production "e<ports M domestic$ The regression analysis for IT production and G.' gro#th of India yielded the follo#ing resultsJ (egression e>uation : +1 K ;21.0@ M 0.11UN1 #hereV +1 K IT production in India N1K G.' of India ( 2 K 0.G12 The above regressions and other estimates gave a 6-G( of 11H for IT e<ports in -ndhra 'radesh. ,igure 1 belo# sho#s the pro/ected IT e<ports form -ndhra 'radesh and India. IT e=port"
The E! industry is e<pected to gro# at much faster rate and contribute about @H to the G.' by 20%% in #hich the share of -ndhra 'radesh is e<pected to be about 13H. E<hibitJ sho#s the gro#th of E! in India and -ndhra 'radesh. E<hibitJ (evenue from E! 'roduction
'ro/ected revenue for E! in -ndhra 'radesh AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 26 (- PROJECT CONCEPT3 DELINEATION 0 INFRASTRUCTURE RE4UIREMENT To promote investment in information technology "IT$C information technology enabled services "ITES$ and electronic hard#are manufacturing "E!$ unitsC the government of India has envisaged a transparent and an investment friendly policy for setting up information technology investment regions "ITI(s$ : a GaAette notification dated 21.03.2001 published a policy resolution for setting up of ITI(s. These ITI(s are e<pected to provide : 6onducive business environmentV Transparent investor friendly policyV and E<cellent infrastructure. )nder the GaAette notification dated 21.03.2001C the GoI #ill consider applications from state governments for establishing ITI(s and approve feasible proposals. Government of India #ill ensure the availability of e<ternal physical infrastructure lin9ages to the ITI( including Nat/o*a# H/2:Aa+"3 a/rport"3 te#e!o, a*d ra/# in a time bound manner. The 9ey provisions of the GaAette notification areJ The state government #ould need to identify a suitable location and *ot/)+ t:e #o!at/o* a" ITIR .*der a re#e8a*t e=/"t/*2 a!t orC if re>uiredC enact a ne# legislation to notify the ITI(. The state government should !o*"t/t.te a ,a*a2e,e*t $oard for development of the ITI( #ith the functions as specified in the GaAette notificationC .*der t:e re#e8a*t "tate a!tD or /) *e!e""ar+3 .*der a *eA a!t. The ITI( delineation should be based on the follo#ing criteriaJ o !inimum area of 20 s>uare 9ilometreC and the area has to be contiguousV o !inimum 'rocessing -rea of 20H o ITI( could include ; SEDsC industrial par9sC ,TBDs or E<port &riented )nitsC e<isting settlementsC industries and services centres o Internal infrastructure #ould be built and managed by a developer or a group of developers o .evelopment of ITI( to be underta9en in t#o phasesJ 'hase I of ma<imum 20H of notified area 'hase II #ith a development timeframe of 13;20 years The concerned state government can provide additional pac9age of incentives for the development of ITI(. The e<ternal infrastructure to be created through '''s "GoI #ill supportC if re>uiredC through viability gap funding$. %.1. &45E6TI7ES -*. (E-S&*I*G 4EI*. TE '(&'&SE. -' ITI( The 9ey goals and ob/ectives proposed to be met in the proposed ITI( are : (educe travel times : ta9e #or9 to the #or9ersV AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 27 -ctive living : #al9ing distance of par9s and green areasV 'roper infrastructure planning : roadsC #aterC drainageC railC metroC solid #asteV 'romote green cities : reduce carbon footprintsV and 'reserve heritage areas : connect #ith the pastV %.2. 4E*E,ITS &, ITI( T& TE ST-TE &, -*.(- '(-.ES The development of an ITI( #ill provide a boost to the state government in terms of : 4etter planning for the ITI( #ould lead to better infrastructure and promote strategies to reduce the carbon footprint of the development. 'rovision of better infrastructure in the ITI( #ould help in further leveraging the cluster effect of the IT industry : thus attracting ne# investment into IT/ITES/E! sectors in the state. ITI( shall have lin9ages #ith the ne# IT policy of the state to further enhance sustained gro#th of the IT industry. 'rovide stimulus to e<port gro#th as #ell as generate direct and indirect employment. 'rovisions can be made to ensure that green buildings and green spaces are promoted so that people residing and #or9ing in the ITI( can live in a healthy environment. %.%. I*TEG(-TI*G TE 7IEBS &, 8E+ ST-8E&L.E(S There #ere a series of meetings held #ith t:e I*)ra"tr.!t.re S.$-Co,,/ttee )or,ed $+ t:e 2o8er*,e*t o) AP ; members of #hich include business leaders "in the IT industry$ and other 9ey sta9eholders in the sector. These meetings provided feedbac9 and vie#s on development of the ITI( in an inclusive environment. 8ey areas of concerns and recommendations of the industry includeJ ; .evelopment of #orld class infrastructure : transportC #aterC se#erage and drainage ITI( to be bicycle friendlyV Bater shed management : due considerations to e<isting #ater bodies and their interconnections through natural drainage channelsV 'revent development of urban heat lands : promoting the concept of green buildingsV Efficient #aste managementV and -ccessibility of social infrastructure : #al9;able distance of green areas.
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 28 %.2. .ELI*E-TI&* &, -' ITI( %.2.1. 8E+ .(I7E(S ,&( .ELI*E-TI&* 3.4.1.1. -.7-*T-GES &, +.E(-4-. yderabadC better 9no#n as itec 6ity of IndiaC has seen phenomenal economic gro#th in the last fe# years and has strengthened its position as one of the best investment destinations for IT ? ITES industry. yderabad is emerging as one of the fastest gro#ing IT cities of the country and is the fourth largest e<porter of soft#are products and services. The *-SS6&! study on assessment of 30 Indian cities as potential hub for IT industry has listed H+dera$ad a" o*e o) t:e #eader /* t:e "e!tor $e!a."e o) /t" e*a$#/*2 )a!tor" #/1e :/2: a8a/#a$/#/t+ o) ta#e*t poo#3 e*a$#/*2 $."/*e"" e*8/ro*,e*t3 pre"e*!e o) re!o2*/@ed IT->PO !o,pa*/e"3 IT par1"3 SEE" a*d 2o8er*,e*t ".pport. yderabad has 21 universitiesC professional collegesC more than =G1 engineering collegesC 1G20 )G collegesC @1% !6- collegesC 1@2 'olytechnic collegesC premiere institutes li9e IIT yderabadC IIITC IS4C 4ITS only to name a fe#C #hich form a rich resource base for the IT industry. &ther factor that contribute to the success of the state as a #hole and yderabad in particular is its e<cellent airC road and rail connectivity #ith the ma/or metros. (egionallyC yderabad lies on the convergence of national and state high#ays and trun9C air and rail routesC #hich lin9 it #ith other metropolitan centres and 9ey centres of importance in the country. The #ell;developed national and regional rail;road net#or9 crisscrossing the city has improved the access of yderabad to a number of 9ey gro#th centres #ithin and outside the state. In relation to the other metrosC it is located at a distance of @%G 9m from !umbaiC @02 9m from 6hennaiC 3== 9m from 4angaloreC 123% 9m from .elhi and 131= 9m from 6alcutta. !ore than 21 flightsC 1=0 trains and nearly 2C000 buses connect yderabad every day #ith other parts of India. yderabad has %C000 9m of road net#or9 including arterial roadsC sub;arterial roadsC local streets and 21 flyovers. It boasts of an optic fibre lin9ed telephone e<changes #ith telephone density of 11.1 per 100 people. Bith the ne#ly developed international airport #ith #orld;class facilities fully functionalC the city is directly connected to LondonC -msterdamC 4ang9o9 and the !iddle East. %.2.1.2. S'-TI-L .E7EL&'!E*T T(E*.S I* TE 6IT+ ,rom 1G10s on#ardsC gro#th #as observed in the #estern part of the city in the 4an/ara ills and 5ubilee ills area. Subse>uently gro#th has further moved to#ards !adhapur and beyond #ith establishment of itech 6ity housing IT ? ITES companies. The gro#th of yderabad is predominantly happening in peripheral areas due to availability of land and government initiatives to provide infrastructure facilities for gro#th. !ost of these mega pro/ects have in turn provided a boost to the development of peripheral areas in yderabad. -s sho#n in the map belo#C the gro#th in yderabad has been seen primarily in three directions of 'atancheruC Shamshabad "after the development of International -irport$ and Ghat9esar "proposed large developments li9e the Infosys centre etc$. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 29 F/2.re 'C GroAt: tre*d" /* H+dera$ad
%.2.1.%. ST-8I*G B&(8 T& TE B&(8E(ST The present IT development is predominantly in the 6yberabad area. This development is not supported by ade>uate social infrastructure. ThereforeC many IT employees reside in areas #hich are at a distance and commute daily to #or9. The ITI( has been delineated in areas #hich are already developed and have residential settlements : li9e areas surrounding 6.-C )ppalC 'ocharam and !ahesh#aram. The ITI( notification #ill accelerate IT developments in the notified areas and encourage developers to develop further social infrastructure supporting the processing area. These developments #ill eventually help in reducing the travel time of the IT employees. %.2.1.2. ENISTI*G IT/ITES/SED .E7EL&'!E*TS I* TE 6IT+ The IT industry in -ndhra 'radesh has been identified as a 9ey driver of the state economy in the forthcoming decade and yderabad is e<pected to be at the forefront of this development. Bith this as the bac9dropC the state has focused on developing an enabling environment and support infrastructure to become a leading IT destination. ITI( is a step in this direction to further strengthen the e<isting IT industry in yderabad. yderabad can boast of being one of the first cities in India #hich initiated coordinated and comprehensive development strategies to#ards development of the IT industry leading to the development of the techno;to#nship called itech 6ity in !adhapur in the late 1GG0s. This initiative combined #ith aggressive mar9eting of the state government has paved the path for IT investment in yderabad. The state government promoted similar developments in and around !adhapurC encouraged by the success of itech 6ity. enceC the development has spread to the surrounding areas of !ani9ondaC Gachibo#liC 8o9apetC (aidurg and Gopanpally. -ll these areas are being governed by the 6yberabad .evelopment -uthority "6.-$. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 30 Simultaneous to the development of 6yberabad area and surroundingsC ,ab 6ityV ard#are 'ar9V -'II6 Bor9 6entre and !ahesh#aram Electronic SED are coming up in the southern part of the 6ity. The gro#th in the South #as accelerated by the development of the yderabad International -irport in Shamshabad. 4esidesC Genpact and 'ra/ay Technopar9 #ere established in the eastern part of the city. The prospects of gro#th in the east have increased due to the ac>uisition of 230;acre land by Infosys for their campus. The IT/ITES concentrations in yderabad are mapped in the follo#ing map : F/2.re %C ITBITES !o*!e*trat/o*" /* H+dera$ad
%.2.2. ITI( .ELI*E-TI&* The concept of ITI( in yderabad has been developed considering : - mi< of bro#n;field and green;field development : inclusion of e<isting developments and vacant land #ith potential for gro#th in future 6urrent agglomerations being connected through the gro#th corridor AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 31 !aster 'lan of the proposed ITI( #ill be integrated #ith the !.- !aster 'lan Integration #ith the e<isting and proposed settlements Integration #ith the natural features ThereforeC the ITI( has been delineated #ith three agglomerations being lin9ed by t#o connectors along the &((. The boundaries of all the three agglomerations and the connectors are e<plained in the follo#ing sections and the area details of the three agglomerations are given belo# : Eo*e IC Done 1 is proposed in the north;#estern part of ITI(C centring on itech city. The total siAe of this Done is ;7-9& "F 1,- Eo*e IIC This is proposed in the southern part of ITI( including ard#are par9C ,ab city and -'II6 Bor9 centre. It covers parts of !ahesh#aram mandal. The total siAe of this Done is 9<-%% "F 1,. Eo*e IIIC Done III is designated in the north;eastern part of the ITI( area covering parts of 'ocharam and )ppal !unicipality #ith an interconnecting corridor along *ational igh#ay 202. The total area of this Done is '&-%6 "F 1,- Eo*e IVC Done I7 is located in the #estern part of ITI( interconnecting Done I and Done II area along the &((. The total area of Aone I7 is ''-6& "F 1,- Eo*e VC Done 7 is located in the eastern part of ITI( interconnecting Done II area and Done III along the &((. . The total area of Done 7 is '5-(% s> 9m. Area deta/#" o) ITIR A22#o,erat/o* Na,e Tota# Area (a!re) Tota# Pro!e""/*2 Area (A!re) Tota# Area ("F- ?,) Tota# Pro!e""/*2 Area ("F-1,) Pro!e""/*2 area G Eo*e I - 6yberabad ? surrounding area 21222.0 =@21.2 1=.@ 2@.2 %1H Eo*e II - Shamshabad International -irport ? !ahesh#aram 1G3@3.= G2=2.1 @G.2 %1.% 21H Eo*e III - )ppal ? 'ocharam 23%2.1 103@.= 10.% 2.% 22H Eo*e IV - &(( 6onnector from 6yberabad to Shamshabad International -irport area 2121.@ 1%%2.2 11.3 3.2 2@H Eo*e V - &(( 6onnector from Shamshabad International -irport area to )ppalC 'ocharam %3%1.3 1@@G.2 12.% @.2 30H Tota# 5<<'%-7 %&(67-6 %&%-& ;%-5 5'G
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 32 %.2.2.1. I*TEG(-TI&* BIT !.- !-STE( 'L-* ,or coordinated development of the proposed ITI(C integration of ne# !.- !aster 'lan is very important. This master plan has been notified after thorough consultations #ithin the government and #ith the public. ThereforeC #e do not propose any changes in the e<isting master plan. ITI( .evelopment -uthority may at a later date decide to ma9e changes in this plans to ma9e suitable modifications for the re>uirements of IT/ITES/E! sector. %.2.2.2. '(&6ESSI*G ? *&* '(&6ESSI*G -(E-S Each Done of the ITI( is planned #ith integrated non;processing areas to serve residentialC commercialC educationC healthC recreational and other social infrastructure re>uirements. (egarding the processing area : In Done IC it has been observed that a lot of IT related industries and associated social infrastructure in and around itech city has already ta9en place and also a lot more are under development. The ITI( !aster 'lan recogniAes the same and suitable provisions have been made #ith regards to processing area. In Aone IIC the processing areas are ard#are 'ar9C ,ab 6ityC -'II6 #or9 centre and other already planned SEDs. In Aone IIIC the processing areas are allotted in e<isting IT developments li9e the proposed Infosys campus and (ahe/a !indspace. In Aone I7 and 7C #hich are corridors along &((C #e have provided bet#een 30 to @0H of the total area as processing area in ITI( master plan because gro#th corridor e<plicitly allo#s setting up of IT/ITES units. -s of no# there are no IT/ITES units proposed in this area. U*/t Eo*e I Eo*e II Eo*e III Eo*e IV a*d V Tota# Tota# De#/*eated La*d )or ITIR -cres 21C222 1GC3@= 2C320 =C%=% 2GCG0% Pro!e""/*2 Area -cres =C@22 GC2=2 1C03G %C112 20C%3G No*-pro!e""/*2 Area -cres 12C@02 10C112 1C211 %C22G 2GC322
>roA* F/e#d Pro!e""/*2 Area De8e#op,e*t -cres G02 %13 =0 ; 1C%2@ Gree* F/e#d Pro!e""/*2 Area De8e#op,e*t A!re" 63;%& <3&9< <<< (3''5 '<3&'% Area a##otted )or HardAare A!re" 655 7366( ;& - 93'97 Area a##otted )or IT A!re" 63%99 %36%7 <'< (3''5 ''3;(6 AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 33 %.2.%. 4)IL.I*G (EG)L-TI&*S/,-(/,SI I* -' ITI( ,-(/,SI has been done a#ay #ith not only in -' ITI( area but also in the entire State of -ndhra 'radeshC as per the common buildings rules have been issued vide G.&.!s.*o.1=C datedJ 0%.0%.200= and subse>uently G.&.!s.*o.1=1C datedJ0@.02.2012."'l see the -nne<ures$ The only parameters that #ill be considered #ill be abutting the road #idthC area of the plot and the re>uired height the builder proposed to construct. 4asedC on these three parametersC the set bac9s are prescribed. ThereforeC there is no ,-(/,SI concept. The said building rules are the most progressive and liberal in the country and other states also are trying to emulate the same. %.2.%.1. I*TEG(-TI&* &, ENISTI*G SETTLE!E*TS The e<isting village habitation areas are proposed to be included and integrated into the non; processing areas of the ITI(. This #ill serve the follo#ing purposesJ 'revent stress on the urban infrastructure of the nearby to#ns and cities 'revent any restriction on the e<isting village sites to gro# spatially Enable the villages to retain their inherent characteristics both social and physical Strengthen the physical and social infrastructure of the villages thereby improving the >uality of lifeC literacy ratesC health and such other related aspects of the villagers. 6reate an environment for appropriate vocational training institutes to improve the s9ill of the e<isting and future generations in the settlements to serve the s9illed/semi;s9illed manpo#er needs of ITI(. S9ill improvement by these institutes #ill also mitigate the economic losses of the villagers due to their agricultural / other lands being ac>uired for the pro/ect. This #ill also be advantageous to the pro/ect since local #or9force #ould be eventually available for the pro/ect. The advantages of availability of local #or9force include the presence of their social fabric to meet their social needsC stability and social security of the #or9force and hence provide stability of employment. Gather public support for the pro/ect since the public is included as an integral part of the pro/ect. %.2.%.2. I*TEG(-TI&* &, *-T)(-L ,E-T)(ES The reserve forest areas in the region are effectively integrated into the !aster 'lan in such a #ay that they create a good ambience for the surrounding activity areas. The various #ater bodies are being retained in the !aster 'lan and ade>uate buffers are also being provided so that they serve as green recreational areas. In !.- !aster 'lanC some of the #ater bodies sho#n are considered as reclaimable and processing / non;processing activity area is indicatedV the same assumptions has been retained in the proposed ITI( !aster 'lan. The settlement / habitation areas have been considered as part of non processing areaV ho#ever in order to maintain the uniformity of design / construction of housingC it is considered that in case the e<isting habitations needs to be dismantledC ne# housing #ill be provided to the affected people as a part of (?( pac9age. %.2.%.%. 6I(6)L-TI&* &, T(-,,I6 I* ITI( The proposed &(( divides the delineated area. The ma/or % industrial Aones ITI( have an entry point from the State igh#ay / &uter (ing (oad #ith an ade>uately planned entry plaAa. -'S(T6 bus terminals at ard#are 'ar9C Bor9 6entreC ,ab 6ityC i;tech cityC 'ocharam industrial area and other ma/or activity centre areas AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 34 4us service to various nodes of yderabad cityC viA.C 6harminarC -fAalgun/C 8otiC !ehdipatnamC Secunderabad StationC -meerpetC La9di;9a;pulC SecretariatC S( *agarC 8u9atpallyC 4egumpetC Tarna9aC etc. .istrict bus services to other citiesC viA.C all district head>uarters ? ma/or cities li9e 7isa9hapatnamC 7i/aya#adaC TirupatiC BarangalC GunturC 8urnoolC *iAamabadC 8arimnagar etc. ,or facilitating mass transport movement bet#een the sectors and the main yderabad cityC all primary roads are proposed to have an e<clusive 2;lane dedicated bus;#ay as part of the central medianC #hich could be upgraded as L(T "Light (ail transit$ system at a future date - Truc9 Terminal has been proposed at the /unction of the &(( and the Srisailam igh#ay at Tu99uguda. .edicated transport Aone has been proposed in Done I. SimilarlyC a viable bus system needs to be proposed for the inter;sectoral movement along the secondary road net#or9. This #ould be ta9en up as part of the detailed area level planning #hen the sectors develop. Traffic islands in the form of rotaries "of radius =0 feet$ are proposed at strategic /unctions. The intersections of all 'rimary (oads and Secondary (oads #ould have similar rotaries. 'roposals are under consideration for e<tending the yderabad !!TS "!ulti modal transport system$ #ithin Done I7 all along the &(( from Shamshabad to 6yberabad up to ayatnagar through the -irport and ard#are 'ar9. In Done II and Done III agglomerationsC road net#or9 has substantially developed. In Done IIC a three level hierarchical road net#or9 is planned as given belo#. Primary Circulation Network The alignment of the &uter (ing (oad of @3 m indicated in the !.- !aster 'lan is retained and rest of the land use is planned suitably. The primary roads are proposed to cater to the smooth movement of the inter;city traffic and besidesC #ould help in coping #ith the increased traffic movement bet#een the various sectors and functional areas of ITI( area. The rights;of;#ay currently in possession have provisions to cater for mass transit system "to be designed separately$. Secondary Circulation Network -ll inter;sector level circulation roads that lin9 the sectors are %= m "120 feet$ right;of #ay and inclusive of G m "%0 feet$ service roads on either side. Some of the ma/or e<isting village roads have also been proposed to be upgraded as secondary roads to %= m #ide. Arterial and sub-arterial roads The arterial and sub;arterial roads comprise the connecting roads #ithin the sectors and the neighbourhood and #ithin the ma/or activity areas and shall be #ithin the frame#or9 of the above primary roads and secondary roads net#or9. The arterial roads proposed are 23 m "121 feet$ right;of;#ay #ith a =;lane carriage#ay. The sub;arterial roads proposed are %0 m "100 feet$ right;of;#ay #ith a 2;lane carriage#ay. These also include some of the e<isting village roads other than those mentioned above. &ther transport re>uirements AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 35 %.2.2. .ELI*E-TE. -(E-
Eo*e I H C+$era$ad 0 S.rro.*d/*2 area" (!o8er/*2 appro=/,ate#+ ;7-9 "F- 1,) F/2.re (C De#/*eated area .*der Eo*e I
)nder this agglomerationC the follo#ing t#o areas have been consideredJ -rea under 6yberabad Surrounding areas
6yberabad : better 9no#n as itech city : is the ne#ly;created e<clusive Aone developed by the government of -' to give a boost to the development of IT infrastructure.
Located in the #estern suburbs of yderabadC 6yberabad is spread over 32 s>. 9m.C comprising 1@ revenue villagesC out of #hich 1= revenue villages are in Serilingampally !unicipality and one in !ani9onda 5agir gram panchayat. Serilingampally has a population of about 1.3 la9h spread over 22 #ards and 131 localities. It houses ma/or IT companies in yderabad and falls #ithin the /urisdiction of 6yberabad .evelopment -uthority "6.-$.
Surrounding areas of 6yberabadJ The surrounding areas of 6.- have also seen phenomenal gro#th of IT ? ITES sectors in the last 2;% years. This gro#th has spilled over beyond itech 6ity and onto surrounding areas. The ma/or emerging locations and IT hubs in surrounding areas areJ TellapurJ ).- (esidential 6omple< in partnership #ith Tishman Speyers. 8o9apetJ IT SED *arsingiJ &(( /unction and S9y Scraper Done !anchirevulaJ (eliance 6orporate &ffice
4oundary of Done I
The proposed ITI( delineation boundary runs along the notified 6yberabad boundary along eastern and #estern part till the end of 8othaguda (eserve forest and it then further runs south#ards along 6!6 to hit &ld !umbai igh#ay opposite Gachibo#li Sports 6omple<. It then runs along yderabad 6entral )niversity boundary to hit Lingampally crossroads on &ld !umbai igh#ay. It then runs along this road till Tellapur 5unction and ta9es diversion to#ards south and then #est to hit the %0m #ide 7attinagulapally road. The delineation runs along the same to hit proposed &((. It runs along &(( till 8hanapur 4io 6onservation Done. ,rom this /unction it moves north#ards along proposed %0 m #ide road to hit %0 m #ide perpendicular road encompassing outer boundary of financial .istrict. The delineation runs along this road to hit &(( near 8o9apet /unction. ,rom here the delineation moves south#ards along %0 m #ide e<isting road encompassing 8o9apet SED and proposed SSD in *arsingi to hit &(( : G6 above !usi (iver.
Eo*e II - S:a,":a$ad I*er*at/o*a# A/rport area a*d Ma:e":Aara, (!o8er/*2 appro=/,ate#+ 9<-% "F- 1,) The /urisdiction of Shamshabad Inernational -irport area is over an area of about 231 s>. 9m. and covers @0 revenue villages and 1G hamlets : all these are in the (anga (eddy district. ,rom #ithin the Shamshabad Inernational -irport area areaC around 3C200 acres fall under the yderabad International -irport at Shamshabad. The airport site is located about 219m south#est of yderabad city and near the *ational igh#ay *o. @ to 4angalore.
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 37 F/2.re 5C De#/*eated area .*der Eo*e II
>o.*dar+ o) t:e S:a,":a$ad I*ter*at/o*a# A/rport area a*d Ma:e":Aara, a22#o,erat/o* The delineated area starts from Srisailam igh#ay near 'ahadi Sarif area and runs along the 2@0m #ide earmar9ed (6I institutional and special reservation Aone. The delineation moves east#ards along earmar9ed -'II6 Bor9 6entre boundary to touch 23m #ide road near !uthyala 8unta and then it hits &((;G6 and runs along the same to ta9e diversion near 8ammaguda Settlement along proposed 22m #ide road. The delineation then moves south#ards encompassing -dibatla SED #ith e<isting 'irangi *ala forming the southern boundary of ITI( .elineation. It then ta9es south #est direction along proposed 22m #ide road encompassing -dibatla Settlement to hit %=m #ide road. The delineation runs along proposed roads encompassing the outer boundary of -'II6 Bor9 6entre till Shi9am (avira 6heravu and then moves do#n straight encircling boundary of ,ab 6ity and then ta9es diversion to#ards the #est along proposed 22m #ide road to hit Srisailam igh#ay near Srinagar Settlement. It then moves south along Srisailam igh#ay till !an9al I.- and then along Shamshabad Inernational -irport area boundary to /oin and move along Sirigiripuram and !ahesh#aram village boundaries encompassing both to hit main road connecting !ahesh#aram 7illage to Srisailam igh#ay. The delineation ta9es a north#ards direction along moving along boundaries of survey numbers 233C 22GC 2%1C 2%@C 2%=C 2%2C 2%%C 223C 222C 2=2. 2=3C 2=1C 2=G and %= along the e<isting nala. It hits Srisailam igh#ay above ,-4 6ity to move north#ards encompassing -'II6 ard#are 'ar9 to hit ';10 State igh#ay. ,rom hereC it moves along peripheral roads encompassing -'II6 earmar9ed SEDs to hit Srisailam igh#ay near 'ahadi Sarif.
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 38 Eo*e III - Uppa# a*d Po!:ara, (!o8er/*2 appro=/,ate#+ '&-( "F- 1,) F/2.re 6C De#/*eated area .*der Eo*e III
>o.*dar+ o) Uppa# a*d Po!:ara, a22#o,erat/o* This agglomeration contains t#o distinct areas interconnected by the State igh#ay to Barangal. The delineation of )ppal area starts at the inner ring road at ubsiguda 5unction near 66!4 6ampus. It moves along the main road connecting *acharam I.-. It ta9es south east diversion opposite *acharam cheruvu along %0m #ide road encompassing part of I.- to connect radial road connecting !allapur I.-. !oving along this radial road it again hits I(( opposite Genpact. The delineation then moves along I(( beyond )ppal 'ublic school boundary and the it moves #est on 11m #ide road #ithin )ppal I.- area. !oving along this road it encompasses part of I.- and then crosses the Barangal igh#ay to move north#ards to hit bac9 I(( near ubsiguda. 'ocharam delineation starts from Barangal igh#ay #ith the road forming the southern boundary. The delineation moves along the =0m #ide main road connecting 6herlapally ta9ing diversion near first +:tuning along %0m proposed road. It moves along the road alignment to encompass Sans9riti To#nship "Singarore To#nship$C 8.(ahe/a IT 'ar9 and proposed Infosys SED to hit bac9 Barangal igh#ay.
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 39 Eo*e IV - Co**e!tor H O.ter R/*2 Road (ORR) (!o8er/*2 appro=/,ate#+ ''-6 a*d '5-( "F- 1,) F/2.re 7C Eo*e IV ORR Co**e!tor H Eo*e I to Eo*e II
F/2.re 9C Eo*e V ORR Co**e!tor H Eo*e II to Eo*e III
The Government of -' is underta9ing ma/or infrastructure facilities in and around yderabad : one of them is the orbital lin9age to decongest traffic flo# on the e<isting ma/or arterials. The &uter (ing (oad is vie#ed as road;cum;area development pro/ect since the aim is the development of #ell;planned and #ell;connected urban settlements around the yderabad metropolitan area. The 1=3 9m long &uter (ing (oad connects 'atancheru : Shamshabad ; ayathnagar ; !edchal : 'atancheruC thus providing connectivity to various State igh#ays and *ational igh#aysC and to provide a bypass to the city of yderabad. The importance of the proposed corridor being : AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 40 (elieves congestion on the metropolitan area and inner ring road and meets future demand. 'rovides orbital lin9age to radial arterial roads 6reates options for development of further satellite to#nships 'rovides lin9age to the proposed !(TS and bus system 'rovides >uic9 access to the International -irport from strategic parts of the city 6onnects various ne# urban nodes outside the city li9e itec 6ityC Games villageC IIITC IS4C ard#are 'ar9C Singapore To#nshipC ,inancial .istrict etc. 6onsidering the anticipated gro#th in the region and development of the proposed satellite to#nships around the &(( and beyondC and the traffic thereby generatedC an 1;lane divided carriage #ay is planned for a design life of 20 years. -n area of 1 9m on either side of the outer edge of the &(( is declared as Gro#th 6orridor #hich allo#s development of multi;use Aones along the &(( #ith built up restriction only on land under G.&.111. -s specified by -ndhra 'radesh Government &rder "G&$ no. 111 "issued by the 6ommissionerate by Industries$C no development (industrial or commercial) is allowed within the non-polluting zone viz the area !alling within a radius o! "# km !rom the $imayat Sagar or the %sman Sagar lake boundaries %.2.3. .E!&G(-'I6 '(&,ILE There is a mi< of urban and rural areas in the notified ITI(. The ITI( comprises 1 mandals in the (anga (eddy district and one mandal "(amachandrapuram$ in !eda9 district. -lmost G3H of the Serilingampally mandal falls in the /urisdiction of the ITI(C ma9ing it the largest settlement #ithin ITI( #ith a population of 123C=G3 as per 2001 6ensus. *early 20H of area of other mandals has been delineated as ITI(. The mandalsC along #ith population details are depicted in the table belo# : Ta$#e 'C Pop.#at/o* deta/#" o) Ma*da#" )a##/*2 .*der ITIR a" per %&&' Ce*"." Na,e Tota# Pop.#at/o* N.,$er o) Ho."e:o#d Se= rat/o Ser/#/*2a,pa##+ Tota# '6(3(75 (%375% <(7 (ural ; ; ; )rban 13%C%=2 %2C=22 G%= Ha+at:*a2ar Tota# ;'3&9& '93&;% <&6 (ural =1C200 12C02= G%0 )rban 12C1@0 %C0%= @13 Saroor*a2ar Tota# (<'3(6; ;(3;7; <%< (ural 2=C1@@ 3C2%3 G%1 )rban %=3C111 @1C=%% G21 AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 41 Na,e Tota# Pop.#at/o* N.,$er o) Ho."e:o#d Se= rat/o Rae*dra*a2ar Tota# ';;3%<< (637(< <%& (ural %2C13= =C3G2 G23 )rban 132C12% 2GC02@ G12 Ma:e":Aara, Tota# 6;35<< ''3;6& <(7 (ural 31C2GG 11C130 G%= )rban ; ; ; I$ra:/,pat*a, Tota# 793'<; '(3757 <6; (ural =@C1G1 1%C=2= G31 )rban ; ; ; Ra,a!:a*drap.ra, Tota# ;&3''6 '9357& <5% (ural 12CG%@ 2C321 G22 )rban =@C1@1 12CG12 G23 G:at1e"ar Tota# ;;3<(6 ';3676 <(7 (ural @0C=3@ 12C113 G%3 )rban 11C2@1 %C=10 G22 Uppa# Tota# '';3&;6 %73%96 <%7 (ural ; ; ; )rban 111C013 2=C2@3 G2=
4ased on the pro/ected economic activity and the natural gro#th rate of the residing population in the ITI(C the e<pected population in ITI( at the end year 20%3 is as follo#sJ
%.3. '-SI*G &, I*,(-ST()6T)(E -s per the re>uirement of the GaAette *otification and for efficient planning and development of the ITI(C the proposed ITI( is divided into t#o phases. 'hase I #ill involve physical development in the area demarcated for 'hase 1C developing the policy frame#or9 of the ITI(C constituting governing and administrative bodiesC provision of re>uisite infrastructure and detailed master planning. ,or narro#ing do#n ? identification of the activities under 'hase IC the follo#ing considerations are importantJ The industrial development happenings in and around i;tech cityC ,ab cityC hard#are par9C -'II6 #or9 centreC 'ocharam ? )ppal industrial area currently and their observable gro#th plans. The #ide spread social infrastructure gro#th in the yderabad ; Secunderabad municipal area and in the outs9irts as satellite clusters. The mar9ed improvement in road transport net#or9ing by -'S(T6 ? private operators lin9ing the 6entral yderabad areaC satellite clusters of social infrastructure and areas of industrial development activities. !edium and long term plans of (?4 department of -' Government for road net#or9 development in the proposed ITI( region. !edium and long term plans for metro rail net#or9ing. 8eeping the above in vie# and also considering the fact that the social infrastructure development in and around 6entral yderabad area is fairly good and #ide spreadC it #as felt that the industrial development activities may be of concentration in phase I and ma/ority of the development of non processing areas can be considered in phase II. .ra#ing % sho#s the conceptual !aster 'lan for the proposed ITI(. .ra#ing 3 sho#s the phasing plan of the proposed ITI(.
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 44 %.3.1. '(&'&SE. L-*. )SE The total area available for ITI( is 201.GG s>. 9m. out of #hich reserve forest accounts for 3.2= s>. 9m and #ater bodies for 3.2@ s>. 9m. -s these t#o areas are restricted for useC the land use plan for the remaining areas of the ITI( is depicted in Table 2 belo#.
Table 2J 'roposed Land )se
De"!r/pt/o* Tota# SF- 1,- A!re G Total -rea 201.GG 2GCG12.=2 100.00H Industries "'rocessing area$ 12.%1 20C%3=.2= 20.@1H (esidential "including E<isting Settlement$ %1.1% GC222.0G 11.11H 6ommercial =.=1 1C=%%.%= %.2@H (oads 22.3= =C0=1.11 12.1=H )tilities 1.20 %23.G3 0.=GH Greens 11.== 2C111.22 3.@@H E<isting ,orestC Bater 4odiesC Green Done 23.2@ =C2G%.@3 12.=1H ealth care ? institutional %.0% @21.@% 1.30H (ecreation =.31 1C=01.=3 %.22H AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 45 Logistics 2.22 33%.31 1.11H TOTAL %&'-<6 5<3<'%-7% '&&-&&G The !.- !aster 'lan is the basis for all our #or9ings. KI*d."tr/e"L /" a #a*d ."e !#a""/)/!at/o* a" per Ma"ter P#a*- 5&-9;G /" area o* t:e ,ap A:/!: :a" $ee* ,ar1ed a" KI*d."tr/e"L area /* t:at Ma"ter P#a*- 'rocessing -rea is calculated based on e<isting pro/ectsC upcoming pro/ects and land available for further e<pansion related to IT/ITES and E! industries out of this SIndustriesT area. There are some allotments in this SIndustriesT area #hich do not belong to IT/ITES and E! sectors. Land use details pertaining to each Aone are mentioned in Table 3 belo#.
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 46 %.3.2. LI7-4LE 'L-* : I*TE(*-L I*,(-ST()6T)(E The proposed ITI(C being located to the south of yderabad and #ithin the influence Aone of the yderabad !etropolitan .evelopment -reaC in the normal course may have to share the same basic and primary infrastructure facilities as that of yderabad. o#ever as per the GaAette notificationC the planning and development of the primary infrastructure net#or9 for the ITI( is lin9ed #ith the focused development of the Investment (egion and the implementation can be #ith financial support of GoI and the physical development through the various -' Government functional agencies li9e yderabad !etropolitan Bater Supply and Se#erage 4oardC -'T(-*S6&C -'II6C IT?6 .epartment etc. The general internal infrastructure and utilities envisaged areJ (oads 'o#er Supply Bater Supply and BT' Se#erage System and ST' Solid #aste management system Telecommunication Site Grading "limited to the common infrastructure needs$ Surface .rainage Signage Bal9#ays %.3.2.1. (&-. *ETB&(8 - proper internal road system of arterialC primaryC secondary and local distribution roads needs to be connected to the individual sector entry points by the developer. In order to ma<imiAe lead values and minimiAe land ta9en by ma/or and minor roadsC a proper hierarchy of roads is to be planned to ensure smooth traffic movement inside the ITI(. Three main categories of roads are proposed for the internal road transportation net#or9 and the details are indicated in Table The ma/or arterial roads are the three;lane carriage#ays in both directions. The primary roads are the t#o;lane carriage#ays in both directions. The secondary roads and tertiary roads are single lanes in both directions. Ta$#e 7C H/erar!:+ o) Road" 6ategory (oad Bidth "m$ 6arriage#ay Bidth "m$ *o. of lanes -rterial (oad 23 11.0M11.0 = lane "#ith 2.0m central divider$ 'rimary (oad %0.00 @.3M@.3 2 lane "#ith 2.0m central divider$ Secondary (oad 22.0 3.2 M 3.2 T#o lane Tertiary (oad : I 11.0 2 M 2 T#o lane Tertiary (oad : II 13.0 %.3 M %.3 T#o lane Tertiary (oad : III 12.0 %.3M%.3 T#o lane Tertiary (oad : I7 G.0 %.@3M%.@3 T#o lane 'edestrian #al9#ays are provided for all categories of roads. -ll services for drainsC se#ersC #aterC po#er and telecom should be contained #ithin the road reserves. *ecessary signageC street name boardsC Aone guiding maps and visitors guidance map etc. shall be positioned at necessary locations. The pro/ect envisages utilisation of the e<isting Srisailam State igh#ay ? some of the district / village roads by #idening and strengthening #herever essential and possible. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 47 %.3.2.2. '&BE( S)''L+ Electric sub;stations are suggested at Electric Sub;stations suggested at Golconda 8hurdC *adergulC SardarnagarC !an9halC and in the Sector s>uares of the respective Sector clusters *adergulC (aviralC and in the Sector s>uares of the respective Sector clusters. The total po#er re>uired for the entire ITI( area is given belo# in Table @. Ta$#e 9C PoAer De,a*d /* ITIR .escription -rea in acres )ltimate .emand "!B$ Tota# 2GCG12 %C%21 T:e tota# )/*a# poAer de,a*d )or t:e ITIR area /" (3(5; MI- %.3.2.%. B-TE( S)''L+ Bater supply net#or9C fire hydrants and booster pumps along the common roads and at strategic locations shall be provided. )nderground sumps along #ith over;head tan9s / ELS(s and #ater treatment plants are located at strategic points as denoted belo# for efficient #ater supply and drin9ing #ater #ill have to be connected #ith this pumping system #ith ade>uate pipelines. Bater balancing has been done ta9ing into consideration potable and non;potable #ater re>uirement and the availability of treated #ater. SITES for ELS(s suggested at ard#are 'ar9C i Tech 6ityC 'ocharam/)ppal Industrial -rea !an9halC ShamshabadC *adergul and at the 6entral S>uares of the respective sector clusters in Shamshabad International -irport area. Site for !a/or Service (eservoir suggested at !angalpally at *agar/una Sagar igh#ay and Sardarnagar respectively. The estimation of average daily #ater demand #ill be based on the type of land use as #ell as the fire fighting re>uirements. The planning parameters and design criteria considered in the estimation of #ater demand for the #ater distribution scheme is detailed in E"t/,at/o* of Bater .emand. Total #ater demand for the entire ITI( area is calculated as follo#s and given in table. Ta$#e ;C E"t/,ated Da/#+ Iater De,a*d )or ITIR .escription -rea in acres 'otable #ater demand "!L.$ *on 'otable #ater demand "!L.$ Total #ater demand "!L.$ Total 2GCG12 1G3 23@ 232
T:e tota# Aater reF./red )or t:e ITIR area /" 56% MLD3 o) A:/!: '<6 MLD /" pota$#e Aater a*d t:e re,a/*/*2 %69 MLD /" *o* pota$#e Aater- T:e reF./re,e*t o) pota$#e Aater ":a## $e "er8/!ed )ro, t:e "tora2e re"er8o/r a*d t:e *o* pota$#e Aater t:ro.2: re!+!#/*2- -t the detailed engineering stageC based on the actual occupant industries profileC the treated se#age can be reused for non potable purposes. The balance potable #ater can be ta9en from the service reservoir located in !angalpally near *agar/una Sagar igh#ay.
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 48 &ater Pumping Station - #ater pumping station is re>uired for pumping the clear #ater from the underground tan9 to respective over head tan9s. (e>uired number of ELS( shall be proposed in order to cater the entire ITI( and the siAing being in proportionate to the demand. - gridiron system of pipe net#or9 is recommended for the proposed #ater distribution net#or9. Bithin the gridiron system of pipe net#or9C all primary and secondary mains are looped and interconnected. This arrangement eliminates dead ends and permits #ater circulation in such #ay that a heavy discharge from one main allo#s dra#ing #ater from other pipes. This also helps in preventing #ater from developing tastes and odorous due to stagnation. In addition to the #ater supply for industrial cluster / plotsC the piping system also includes to #ater supply for fire fighting. Bhenever fire occursC it is desirable to use stand by booster pumps to increase pressure in the entire system. %.3.2.2. SEBE(-GE S+STE! The ob/ectives of the se#erage / sullage system are to cater for the anticipated pea9 discharge re>uirements and to treat the #aste to the discharge standards re>uired. The estimation of the se#age / sullage discharge is to be based on the land use distribution such as industrialC commercialC residentialC recreationalC institutional etc.
Se#erage Treatment 'lant ? Sullage Treatment 'lantsC domestic se#erage net#or9C sullage net#or9 and se#age pumping stations shall be planned at the (aviral 6heruvu and central s>uares of the sector clustersC and near !angalpally at *agar/unasagar igh#ay. The treated #aterC to the e<tent re>uired for non potable purposes shall be pumped to overhead tan9s and re;circulated by gravity. E<cess treated #ater shall be discharged into the (aviral 6heruvu through properly designed piping systems. Ta$#e <C Tota# SeAera2e Ge*erat/o* /* ITIR .escription -rea in acres 'otable #ater demand "!L.$ *on 'otable #ater demand "!L.$ Total #ater deman d "!L.$ Se#erage Generatio n "!L.$ Sullage Generatio n "!L.$ Total Se#age generated #ith 10H infiltration "!L.$ Total 2GCG12 1G3 23@ 232 1%2 112 %3G Sewerage schemes ' treated water conveyance system The se#erage system basically comprises the collection system of pipe net#or9C Se#age 'umping Stations "S'S$ and se#age treatment plants. The se#age #ill be pumped through rising main to the gravity se#er. The se#age from the respective industrial cluster #ill be collected at the terminal pumping station #here the ST' is located and #ill be treated. The total se#erage treatment plant scheme consists of pumping stationC silting chamberC bar screenC grit chambersC aeration tan9sC secondary clarifierC sludge sumpC sludge thic9enerC thic9ener over flo# sumpC and treated #ater sump. The total design criteria for the above tan9s for the treatment plant shall be based on the Smanual on se#erage and se#age treatmentT prepared by 6entral 'ublic ealth and Environmental Engineering &rganiAationC !inistry of )rban .evelopmentC *e# .elhi. The se#age #ill be treated at the ST' and the treated #ater #ill be discharged in to the (aviral 6heruvu after ta9ing permission from -'S'64. The average depth of cutting for the se#er laying #ill be in the range of %.3m to 2.0m. Sub/ect to the soil dataC the proposed se#erage scheme may have to be ad/usted accordingly. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 49 If the soil is roc9y at shallo# depthC then vacuum se#erage system for the affected area can be considered. .etailed soil study is important and needs to be carried out to facilitate do#n; stream design #or9s. %.3.2.3. S&LI. B-STE !-*-GE!E*T 4ased on the population and the per capita #aste generationC the total municipal solid #aste "!SB$ generated for the ITI( has been estimated a"".,/*2 56& 2p!d Aa"te 2e*erat/o*" and the total solid #aste generation estimated for the ITI( area is about 796 TPD. .etails of !SB generation are given in Table 10. Ta$#e '&C So#/d Aa"te 2e*erat/o* /* ITIR Estimated employees to reside in ITI( 1C%=%C000 ,loating population W 10H 1%=C%00 Total 'opulation 1C2GGC%00 Co*"/der/*2 per !ap/ta Aa"te 2e*erat/o* o) 56& 2 per da+3 tota# MSI /* TPD =@3
Solid waste collection ' transportation The !SB from householdC commercial and institutional area #ill be collected daily through push cartsC auto tippersC (6 vehicles ? dumper placers for the entire ITI( area. The collected #aste shall be transported either to the transfer station for segregation ? compaction or directly to the processing and landfill site depending on its nature and treatment.
Solid &aste ( Processing Solid #aste management is one of the most essential services for maintaining the >uality of life and for ensuring better standards of health and sanitation. The type of solid #aste generated #ill be both biodegradable and non;biodegradable in nature. The domestic #aste generated mainly from the residentialC commercial and institutional area shall be biodegradable in nature. enceC a comprehensive system needs to be evolved to scientifically dispose the biodegradable #aste and inert #aste in accordance #ith !SB 2000 (ules. Established scientific disposal of domestic biodegradable #aste is in practice and one such method is bio composting. The compost obtained can be mar9eted or used as manure for the entire ITI( area. Baste to energy recovery methods can also be e<plored.
Solid &aste - )isposal The inert and re/ect materials after treatment shall be collected and transported to suitable land fill sITES #hich are to be identified as part of separate solid #aste management pro/ect for the ITI( area during the detailed master planning e<ercise. SB! facilities need to be established and operated by local competent authorities / authoriAed agencies approved by -' Government.
%.3.2.=.1. SITE G(-.I*G The terrain of the land is fairly plain #ith limited contour variations. -s the proposed ITI( shall have different Aones and #ithin each Aone having processing ? non processing areasC complete #ith their associated developed plotsC ready built office spaces etc. it is advisable to avoid levelling the ground to maintain single platform level considering the contour variation. o#ever the common infrastructure facilities #hich are to be created by the developer such as roadsC greens ? bluesC utilities etc. needs land preparation including site grading. The e<tent of site grading depends on the contour. -ll earth#or9s need to be carried out #ith appropriate technical considerations to avoid erosion or possibility of localiAed slip failure. 'rovision for temporary surface drainage system is to be made to minimiAe delay in #or9 progress during #et #eather condition. %.3.2.=.2. .(-I*-GE The drainage system needs to be designed to cater for the entire ITI( area based on the topography. The system needs to handle storm #ater drainC drains from the individual sector / cluster / Aone. %.3.2.=.%. ST(EET LIGTI*G Street lighting is covered under the infrastructure. In the scheme of illuminationC lighting has been conceived in % different forms. Street lights for the entire roads 'ost :top;lanterns for the ma/or path #ays ,lood lighting from to#ers for all open areas -ll the above lighting in combination #ill illuminate the entire ITI( sufficiently. The Lighting (e>uirements for the individual plots of industrial Aone and .istribution net#or9 #ithin individual plots of industrial Aone are to be done by the user industries. -ll the road and streets should be provided #ith street lighting not only to assist pedestrians and traffic but also to increase safety and security in the area. It is recommended that all lighting should be by high;pressure sodium lanterns mounted on po#er poles or on streetlight columns. -verage illumination should be about 20 flu<. %.3.2.=.2. L-*.S6-'I*G ? SE6)(IT+ This includes #or9s associated #ith the landscaping #ithin ITI( area covering tree strips along the roads ? peripheryC public greeneryC poc9et par9s etc. %.3.2.=.3. TELE6&!!)*I6-TI&* -ll telecommunication services in ITI( are e<pected to be provided through the .epartment of Telecommunications ".oT$ and other private operators. 7alue added telecom services are covered in the infrastructure costing. Internal communication system for the occupant units is not covered under the general infrastructure costing. -ll communication services #ill be provided to subscribers at standard rates. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 51 %.3.2.=.=. SIG*-GES - proper design needs to be done during implementation stage for the design of individual signs. Bherever possibleC signs are to be mounted on other constructed elementsC such as buildingsC #allsC fences and 9ios9s. Bhere several signs are re>uired at a single locationC it is helpful to mount them on the support. Signs shall be carved in stone or terracotta in order to merge them #ith the surroundings. 'ainted signs are to be avoided since they #ill re>uire repainting and the materials and colour may not blend #ith the green landscape. If painted signs cannot be avoidedC the colour scheme should be earthy bro#nC blac9C and yello# ochre. Bhere local information is fre>uently changedC #all mounted or freestanding display units in transparent plastic or toughened glass to be used. The selection factors to consider include mounting heightC scaleC materialsC font siAe and colours. The 6hoice of font and height of the sign #ill be related to speed of the movement of the user. Separate focus lights #ill be used to light the signs. The -dvertisement signs should be #ell designed and should not dominate the visual environment in the form of hoardings. %.3.2.=.@. B-L8B-+S -esthetically designed #al9#ays along #ith lush green environment on either side are to be planned. -de>uate circulation and green belt corridors #hich include pedestrian #al9#aysC approach roads as #ell as service corridorsC green beltC plantation schemesC path #aysC public gardensC #ater supplyC se#age mainsC fire hydrants and storm #ater drains are to be provided. %.3.2.=.1. 6&ST &, I*TE(*-L I*,(-ST()6T)(E The estimated cost for provision of internal infrastructure #ithin the ITI( is given in Table 11. The cost calculation does not ta9e land ac>uisition cost into consideration. Ta$#e ''C I*ter*a# I*)ra"tr.!t.re (R"- !rore) M De"!r/pt/o* I*)ra"tr.!t.re Co"t 1 (oad #or9s including drainC culvert etc 2C%20 2 Se#erage net#or9 including ST' 1C012 % Solid Baste management 103 2 Bater supply including BT' =C%33 3 Electrical #or9s including TransformerC street lighting 2C111 = Telecom net#or9 123 @ (ain#ater harvesting ? landscaping 13= 1 Land .evelopment cost including land cost 11@ Tota# '(3&<(
%.3.%.1.1. (-5I7 G-*.I I*TE(*-TI&*-L -I('&(T The yderabad (a/iv Gandhi International -irport is located in ShamshabadC to#ards the south of yderabad. The airport is spread over an area of 22 s>. 9m. and #as developed through public private partnership bet#een G!(C !alaysia -irportsC Go-' and -irports -uthority of India. The airport #as designed as per the I6-& "International 6ivil -viation &rganiAation$ standards and is capable of handling the largest /umbo aircrafts including the -irbus -;%10. It began commercial operations in !arch 2001 #ith an initial capacity of 10 million passengers annually. The total cost of the pro/ect is (s. 2C%@0 crore and #hen fully operational in 2011C it #ill have a capacity to cater to 20 million passengers annually. 4esidesC it #ould have a cargo handling capacity of 100C000 tonnes per year. The airport is located ne<t to the proposed ITI( and #ould serve as an important nodal point for both domestic as #ell as international connectivity. The airport has 2;lane access through the Srisailam high#ay to the ITI( and also from the &((.
%.3.%.1.2. ENISTI*G (&-. 6&**E6TI7IT+
Nat/o*a# H/2:Aa+ H 9 *;@ "7aranasi : 8anya9umari$ is one of the ma/or national high#ays of India and is also part of the *-IQs flagship pro/ect of *orth South : East Best 6orridor under *ational igh#ay .evelopment 'rogram II "*.' II$. The high#ay passes through yderabad and provides road connectivity to ma/or neighbouring cities li9e *agpur and 4angalore. Located close to the proposed ITI(C the * #ill provide road connectivity to the other ma/or IT city of India i.e. 4angalore and to the centre of the yderabad city. It #ill also provide road connectivity to the Shamshabad -irport and hence the traffic has increased considerably on the high#ay. To ease the traffic flo#C the 129m long '.7. *arasimha (ao Elevated E<press#ay #as constructed to provide a fast approach to the city centre. Sr/"a/#a, H/2:Aa+ The Srisailam high#ay connects the state capital yderabad to the religious to#n of Srisailam in 8urnool district. Srisailam is an important pilgrimage to#n for indus and the high#ay is one of the most important connections to the city. The T(?4 .epartment of the government of -ndhra 'radesh has submitted a proposal to *-I for upgradation of this road into a *ational igh#ay. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 53 The Srisailam high#ay passes through the proposed ITI(C and hence #ill be an important lin9age bet#een the ITI( and yderabad city. The road #ill also see a substantial amount of traffic originating because of the International -irport and hence it has been proposed for upgradation into an 1;lane high#ay. Na2ar.*a Sa2ar H/2:Aa+ *agar/una Sagar is another important 4uddhist site #ith religious and historical significance. It is connected to yderabad by the *agar/una Sagar high#ay. 4esides its religious importanceC the *agar/una Sagar dam is an important source of irrigation #ater for -ndhra 'radesh. The high#ay lies to#ards the east of proposed ITI( #ill serve as connectivity bet#een the ITI( and the yderabad city. O.ter R/*2 Road The yderabad &uter (ing (oad "&(($ is being developed by yderabad Gro#th 6orridor Limited "G6L$ as a road-cum-area developmentQ pro/ect. ; the &uter (ing (oad "&(($ 'ro/ect encompassing about 131 9ms divided in % phases at a pro/ect cost of (s.==G= crores connecting *;GC *;@ and *;202 is envisaged. &ut of thisC the 'hase;I &(( 'ro/ect of 22 9ms has already been completed at a pro/ect cost of (s.=GG crores and opened to traffic in 5uly 2011. In 'hase;IIC road net#or9 covering a length of 3G 9ms has been completed and opened to traffic in !arch 2011 and the balance is to be completed by mid 2012. 'hase;III &(( 'ro/ect to an e<tent of @1 9ms at a cost of (s.%331 crores is under active implementation.
The area #ithin 1 9m on either side of the &(( has been designated as the &(( Gro#th 6orridor : to promote planned development along the &((. It is defined as a special development Aone "S.D$ and classified as a multi;purpose use Aone. The classification as multi;purpose Aone allo#s all types of developments : residentialC commercial "though limited on roads 11m #ide and above$C socialC institutional and #or9 centres "e<cept industries$. .evelopment in the Gro#th 6orridor is allo#ed e<cept in areas specifically earmar9ed for roadsC open space and recreationalC transportation and public utilities. The Gro#th 6orridor also lays emphasis on provision of housing for economically #ea9er section by providing for reservation of 3H space for Seconomically #ea9er sectionsT housing. F/2.re ;C A#/2*,e*t o) t:e O.ter R/*2 Road
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 54 Rad/a# Road" 7arious radial roads have been proposed to connect the Inner (ing (oad inside the core city #ith the &uter (ing (oad. The T(?4 department has proposed a total of 22 radial roads connecting various parts of the city and the &((.
&ut of the 11 radial roads proposed in the -'ITI( areaC (oad *o.21C "from 6handrayangutta to Srinagar "Tu99uguda$$ at a cost if (s.22.22 crores and (oad *o.2G "from Lamiguda N (oad to !amidipally$ at a cost of (s.31.32 crores has already been completed Bor9 in five radial roads connecting the &(( 'ro/ect in the ITI( area to an e<tent of %1 9ms at a pro/ect cost of (s.%01 crores has also been completed by 5uneC 2011 and three radial roads covering a road length of %%.21 at a cost of (s.20@.31 crores are under implementation and are e<pected to be completed by !arch 201%. The internal roads in ITI( and also being developed in phases.
In the above mapC the bro#n lines connecting the I(( and the &(( depict the radial roads plannedC #hich are going to be formed by upgrading the e<isting stretches and the green lines connecting the I(( and the &(( depict the ne# stretches of radial roads to be formed.
The 5apan 4an9 for International 6ooperation has provided financial assistance to fe# radial roads.
Ra/#Aa+ #/*e" to ot:er !/t/e" The nearest ma/or rail#ay station to the proposed ITI( is the yderabad rail#ay station. yderabad city has % ma/or stations namely SecunderabadC *ampally and 8acheguda. The rail#ay line to 4angalore is along the *;@ and the nearest rail#ay station to the proposed ITI( is at Shamshabad #hich is a small rail#ay station. M.#t/-Moda# Tra*"port S+"te, The transportation #ithin the city limits also uses the suburban rail#ay system named the !ulti;!odal Transport System "!!TS$. It #as built on e>uity contribution by Go-' and South 6entral (ail#ay "S6($ and is operated by S6(. It started operations in 200% and basically lin9s ITE6 city to the core of the city and various suburbs. It runs 12 services a day and covers 2@ stations connecting SecunderabadC *ampallyC ,ala9numa and Lingampally. There are no dedicated trac9s for the !!TS and presently it runs over the e<isting rail#ay net#or9. The closest !!TS station to the proposed ITI( is the ,ala9numa station at a distance of about 12 9m.
The !!TS can be fast and convenient means of travel for many people living outside the ITI(. It has been planned to e<tend the !!TS from ,ala9numa to the -irport. The closest rail#ay station to the airport is )mdanagar at a distance of = 9m. *e# trac9 has to be laid from )mdanagar to Shamshabad to connect the airport to the e<isting net#or9. The service has to be e<tended from ,ala9numa to )mdanagar and Shamshabad.
%.3.%.2. -SSESS!E*T &, ENTE(*-L I*,(-ST()6T)(E (EP)I(E!E*TS Subse>uent to e<tensive consultations #ith sta9eholdersC their technical analysis and assessmentC the follo#ing e<ternal infrastructure pro/ects are proposed under the -' ITI( pro/ect in t#o phases :
P:a"e ' Proe!t Co"t /* R"- !rore ,ala9numa : )mdanagar : (a/iv Gandhi International -irport ; *e# Line from )mdanagar to -irpot and .oubling from ,ala9numa : )mdanagar M Electrification 13
(.( *o.= "from *anal *agar /unction to 6) .ept$ (.(.*o.@ "from 'an/agutta to Edulanagulapally$ (.(.*o.1 "from !oosapet to 4EL 5n "I(( 5n on *; G$C (.(.*o.%0 "from 6) .epot to near to 7attinagulapally$ 220
22087 SS at Golconda #ith %<100 !7- 'T(Qs and 220 97 .6 line : 20 8! appro<. 22087 SS at (aidurg #ith %<100 !7- 'T(Qs and 220 97 .6 )G cable : 3 8! appro<. 21@ AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 56 )pstream 20087 SS at !ani9onda #ith %<%13 !7- 'T(Qs and 200 97 Puad !oose line ;30 8! appro<. )pstream 20087 SS at !ahes#aram %<%13 !7- 'T(Qs and 200 97 Puad !oose line ;10 8! appro< Tota# P:a"e I <5% P:a"e II 'ro/ect Co"t /* R"- !rore Srisailam state high#ay lin9ing 6handrayangutta and Srisailam 1G3 Srisailam high#ay to Sagar high#ay ; 2 lane to 2 lane 1@2
(.(.*o.G "from 'an/agutta to !uttangi "*;G ';$ (.(.*o.11 "from Survey of India to !aAneerguda (ly Stn$C (.(.*o.1G "from )ppal 5n to -no/iguda "*;202$ (.(.*o.2= "from !idhani 5n to *ear 'ungulur$ (.(.*o.2@ ".(.L 5n to *immiguda$ %10
22087 SS at Sardarnagar #ith %<100 !7- 'T(Qs and 220 97 .6 line : 3 8! appro<. 22087 SS at *adargul #ith %<100 !7- 'T(Qs and 220 97 .6 )G cable : 10 8! appro<. 1@2 E<tension of !etro (ail from ,ala9numa to Shamshabad International -irport %C000 Tota# P:a"e II (3<%'
Rad/a# Road" !o**e!t/*2 O.ter R/*2 Road H E=ter*a# a""/"ta*!e reF./redC
RR No Le*2t: E"t/,ated Co"t (Appro=) PHASE-I (.(.*o.= ; from *anal *agar /unction to 6) .ept '6-6 1," ; P:a"e-IC under 5**)(! (s.100 crores (.(.*o.@ ; from 'an/agutta to Edulanagulapally %' 1," ; P:a"e-IC under 5**)(! (s.130 crores (.(.*o.1 ; from !oosapet to 4EL 5n "I(( 5n on *;G$ ''-6 9ms P:a"e-IC under 5**)(! (s.10 crores AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 57 (.(.*o.%0 ; from 6) .epot to 7attinagulapally '5-( 9ms ;P:a"e-IC under 5**)(! (s.110 crores R"-55& !rore" PHASE-II (.(.*o.G "on * G$ : strengthening of e<isting road from 'an/agutta to !uttangi The total road length is %< 1," and it is proposed to be ta9en up in P:a"e-II of ITI( (s. @0 crores (.(.*o.1G ""*;202$ : strengthening of e<isting road from )ppal 5n to -no/iguda. The total road length is '(-< 1," and it is proposed to be ta9en up in P:a"e-II of ITI( (s.20 crores (.(.*os.11 ; ,rom Survey of India to !aAneerguda (ly Stn '5-6 9ms ; P:a"e-II- .*der JNNURM (s.10 crores (.(.*o.2= ;,rom !idhani 5n to *ear 'ungulur '6-6 1," ; P:a"e-II- .*der JNNURM (s.100 crores (.(.*o.2@ ; ,rom .(.L 5n to *immiguda '6 1," ; P:a"e-II- .*der JNNURM (s.G0 crores R"-(;& !rore"
In the original -' ITI( 'roposal furnished to .eit+ in early 2010C by Govt of -'C as part of creation of e<ternal infrastructure in the -' ITI( regionC it is proposed to set up = : 220 9v substations each at a total cost of (s.110 crores at (aidurgC Golconda ,-4 6ity "(aviryal$ and !ahesh#aram "!an9hal$CSardar *agar and *adurgul locations to cater to the po#er re>uirements of IT/E! clusters in in ITI( region. Subse>uently vide our letter dated %1;0@;2012C #hile indicating that out of the proposed si< substationsC t#o substations planned at ,-4 6ity "(aviryal$ and !ahesh#aram "!an9hal$ can be funded under the Electronic !anufacturing 6luster Scheme of .eityCGoI. it #as indicated that #hile t#o substations at (aidurg and Golconda #ould be ta9en up in 'hase;I and the other t#o substatuions i.e.Cat *adurgul and Sardar *agar can be ta9e up in phase II. This #as also discussed and in principle agreed to in the meeting of igh 'o#ered 6ommittee"'6$ of Secretaries of GoI under the chairmanship of the 6abinet Secretary on 0%;01;2012.
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 58 Ta9ing into consideration the estimated demand : supply positionC from 201% to 2022C and after critical evaluationC Transmission 6orporation of -ndhra 'radesh LimitedC "-' T(-*S6&$C there is no# a tentative revised ? updated re>uirement of ; substations in -'ITI( region as mentioned here underJ "(upees in 6rores$ S#- No- Na,e3 Lo!at/o* 0 Capa!/t+ o) t:e ".$"tat/o* ReF./re,e*t o) S/te )or SS Te*tat/8e Co"t E"t/,ate D.r/*2 PHASE-I /,p#e,e*tat/o* per/od o) APITIR 1 22087 SS at Go#!o*da #ith %<100 !7- 'T(Qs and 220 97 .6 line : 20 8! appro<. 10 -cres =2.00 2 22087 SS at Ra/d.r2 #ith %<100 !7- 'T(Qs and 220 97 .6 )G cable : 3 8! appro<. 10 -cres 13.00 % )pstream 20087 SS at Ma*/1o*da #ith %<%13 !7- 'T(Qs and 200 97 Puad !oose line ;30 8! appro<. =0 -cres 130.00
2 )pstream 20087 SS at Ma:e"Aara, %<%13 !7- 'T(Qs and 200 97 Puad !oose line ;10 8! appro< =0 -cres 120.00
R"- 5'9-&& Cr D.r/*2 PHASE-II /,p#e,e*tat/o* per/od o) APITIR 1 22087 SS at Ra8/ra# #ith %<100 !7- 'T(Qs and 220 97 .6 line : 10 8! appro<.
10 -cres %1.00 2 22087 SS at Sardar*a2ar #ith %<100 !7- 'T(Qs and 220 97 .6 line : 3 8! appro<.
10 -cres %2.00 % 22087 SS at Ma*1:a# #ith %<100 !7- 'T(Qs and 220 97 .6 line : 20 8! appro<. 10 -cres 2=.00 2 22087 SS at Nadar2.# #ith %<100 !7- 'T(Qs and 220 97 .6 )G cable : 10 8! appro<. 10 -cres 120.00 R"- %6;-&& Cr In this regardC it is stated that in the IT/ITES/E! clustersC #herein the above substations are proposed to be located in the -'ITI( regionC appropriate e<tent of -' Industrial Infrastructure 6orporation"-'II6$ land has been earmar9ed and shall be made available as and #hen is re>uired by -' T(-*S6& and as such *o ne# ac>uisition of land for this purpose is envisaged. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 59 o#everC as agreed in the '6 meeting and as mentioned aboveC the t#o substations planned at ,-4 6ity "(aviryal$"6ost (s.%1 crores$ and !ahesh#aram "!an9hal$"(s.2= crores$ C at a total cost of (s. 12 crores$ can be ta9en into consideration for sanction and funding under the Electronic !anufacturing 6luster Scheme"E!6$ of .eityCGoIC as per *otification datedJ 22;10;2012. -s such after removing these t#o substations from the -'ITI( proposalC the re>uested funding re>uirement for the "/= substations from G&I"!inistry of 'o#er$ e<ternal infrastructure funding for the proposed -'ITI( (egion comes to (s.3G1 crores "'hase I : (s.21@ crores M 'hase II ; (s.1@2 crores$. E=te*"/o* o) MMTS #/*e )ro, Fa#a1*.,a to S:a,":a$ad - E=ter*a# a""/"ta*!e reF./redC MMTS or M.#t/-Moda# Tra*"port S+"te, is a commuter rail system in yderabad. It #as built on an e>ual e<penditure basis by G&-' and the South 6entral (ail#ay and is operated by the latter. It started its operations in -ugustC 200%. The first phase covered a distance of 2% 9m of Secunderabad ; yderabad ; Lingampally "21 9m$ and Secunderabad ; ,ala9numa "13 9m$ at a cost of (s 1@1 crore.
It isC presentlyC running 12 services a dayC covering 2@ stationsC connecting SecunderabadC *ampallyC ,ala9numa and LingampallyC over the e<isting rail#ay net#or9. The second phase of !!TS is envisaged to cover ,ala9numa to )mdanagar ; = 9m. There is an e<isting rail lineC #hich can be used to operationaliAe the service. 6onsidering the pro/ected #or9ing population of 12.3 la9hC the proposed non processing area can accommodate housing only for %0;%3H of the #or9ing staff and the balance may have to commute. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 60 The pro/ect envisages !!TS lin9 from ,ala9numa to Shamshabad -irport covering a distance of 12 9m. o#everC ne# trac9 needs to be formed from )mdanagar to Shamshabad covering a distance of = 9m. Ta$#e '%C I*8e"t,e*t reF./re,e*t to e=te*d MMTS )ro, U,da*a2ar to S:a,":a$ad
De"!r/pt/o* Va#.e U*/t rate /*!#.d/*2 #a*d de8e#op,e*t !o"t" /* R"- !rore Tota# /* R"- !rore -lignment length for !!TS ; double line from ,ala9numa to )mdanagar to Shamshabad in 9m 20 2.23 13 Tota# !o"t ;6
-n elevated metro system is planned in yderabad to serve the passenger traffic to various points in and around yderabad. The S'7C yderabad !etro (ail Limited "!(L$ has finaliAed the 'hase I of the !etro line costing (s. 12C1%2 crore. It is estimated to be completed in 3 years from date of grounding the pro/ect.
The total length of the !etro is about @1 8m. !iyapur to L 4 *agar "21.1@ 9m$ 5ubilee 4us Station to ,ala9numa "12.@1 9m$ *agole to Shilparamam "2@.31 9m$
-ll the routes #ill be started simultaneously. There is a critical path #hich forms a loop and has the interchanging stations. It #ill run along the central median of roads and is e<pected to carry about 1=.%1 la9h passengers per day by 2011 and 2=.@= la9h passengers per day by 2021. There #ill be one !etro (ail scheduled every third minute &ne (ail #ill have =C == metre or 200 feet coaches. The train #ill have a ma<imum capacity of carrying 2000 people at a time.
The pro/ect proposes the e<tension of the !etro (ail from ,ala9numa to Shamshabad #hich is about 12 to 13 8ms. This elevated metro line #ill reduce the congestion of traffic to Shamshabad.
F/2.re ''C Propo"ed e=te*"/o* /* t:e Metro Ra/# #/*e
Investment requirement to extend Metro Rail from Falaknuma to Shamshabad De"!r/pt/o* Va#.e U*/t rate /*!#.d/*2 #a*d de8e#op,e*t !o"t" /* R"- Crore Tota# /* R"- !rore -lignment length for !etro (ail line : from ,ala9numa to Shamshabad in 9m 12 230 %C000 Tota# !o"t (3&&&
a$ The proposal #as got prepared by .!(6 for connectivity to Shamshabad International -irport and the feasibility is dependent on ridership. b$ The route proposed #as from ,ala9numa via La<miguda to Shamshabad International -irport for a length of about 12 9m and it is a elevated !etro (ail. c$ Stabling facility at terminal point and a part of underground !etro (ail at the -irport is to be considered. d$ The appro<imate cost for 12 9m elevated !etro (ailC part underground !etro (ail and stabling facility at present day estimates #or9s out to a total pro/ect cost of (s.%000 cr. "appro<imately (s.230 cr. per 9m is ta9en as bench mar9$. e$ The implementation phase #ill be strictly not in accordance #ith 'hase;I of -'TI( as this e<tension #as not considered in 'hase;I implementation of !etro (ail pro/ect implementation milestones. -s suchC after due submission of the detailed proposal by !etro (ailC and approval of Go-'C the e<tension proposal for connectivity to International -irport #ill be formulated for further approvals from GoI and for re>uisite financial assistance. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 62
.ue to the aboveC it is to be noted no# that there is change or additionality in the cost of provision of e<ternal infrastructure re>uirement re>uested from GoI as mentioned here under "in (s. 6rores$ Item/'ro/ect 6ost proposed in the &riginal 'roposal of -' ITI( in !arch 2010 Estimated 6ost no# proposed in the )pdated -'ITI( 'ro/ect 'roposal;.'( (eason/5ustification .evelopment of si< 220 87 substations in ITI( 110 'hase : IJ 21@ 'hase : IIJ 1@2 6ost escalation is due to increase in cost of provision of e<ternal infrastructure in respect of t#o additional po#er pro/ect re>uirements .i.e.C "i$)pstream 20087 SS at !ani9onda #ith %<%13 !7- 'T(Qs and 200 97 Puad !oose line ;30 8! appro< and "ii$ )pstream 20087 SS at !ahes#aram %<%13 !7- 'T(Qs and 200 97 Puad !oose line ;10 8! appro< #hich #ill have to be ta9en up in 'hase : I of -'ITI( pro/ect implementation E<tension of !!TS from ,ala9numa;)mdanagar : (a/iv Gandhi International -irport ; *e# Line from )mdanagar to -irport and doubling from ,ala9numa;)mdanagar M Electrification 211 13 To be ta9en up in 'hase : I
-lignment length to !etro (ail line : from ,ala9nama to Shamshabad International -iport ; 'hase;II %000 a$ The proposal #as got prepared by .!(6 for connectivity to Shamshabad International -irport and the feasibility is dependent on ridership. b$ The route proposed #as from ,ala9numa via La<miguda to Shamshabad International -irport for a length of about 12 9m and it is a elevated !etro (ail. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 63 c$ Stabling facility at terminal point and a part of underground !etro (ail at the -irport is to be considered. d$ The appro<imate cost for 12 9m elevated !etro (ailC part underground !etro (ail and stabling facility at present day estimates #or9s out to a total pro/ect cost of (s.%000 cr. "appro<imately (s.230 cr. 'er 9m is ta9en as bench mar9$. e$ Since the implementation phase #ill be strictly not in accordance #ith 'hase;I construction this could be considered in 'hase XII of -'ITI( implementation
This #as not envisaged in original proposal. o#ever 9eeping in vie# the proposed traffic re>uirementsC re>uest for provisional of appropriate funds due to enhanced cost escalation. -s suchC this can be ta9en up in 'hase II of implementation of -'ITI( and only in principle approval solicited no#.
Srisailam high#ay to Sagar high#ay : 2 lane to 2 lane 1@2 1@2 To be ta9en up in 'hase II of -'ITI( Srisailam high#ay connecting 6handrayangutta to !ohabatnagar ; 2 lane to 1 lane 1G3 1G3 ;do; *;@ from 4angalore to Srisailam high#ay ;2 lane to 2 lane G=
;; *;@ i.e. from 4angalore igh#ay to Srisailam igh#ay touching the ITI( region near Shamshabad area "22 9ms length : #idening of 2 lane to 2 lane AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 64 is already being ta9en up as a priority road through internal funds )pgradation of 11 (adial (oads
'hase;IJ (.( *o.= "from *anal *agar /unction to 6) .ept$ (.(.*o.@ "from 'an/agutta to Edulanagulapally$ (.(.*o.1 "from !oosapet to 4EL 5n "I(( 5n on *;G$C (.(.*o.%0 "from 6) .epot to near to 7attinagulapally$
'hase;IIJ
(.(.*o.G "from 'an/agutta to !uttangi "*;G ';$ (.(.*o.11 "from Survey of India to !aAneerguda (ly Stn$C (.(.*o.1G "from )ppal 5n to -no/iguda "*;202$ (.(.*o.2@ ".(.L 5n to *immiguda 1C231 'hase : I J 220 'hase;II ; %10 (eduction in the cost estimates are due to the reason that out of the 11 (adial (oads proposed in the &riginal 'roposalC2 radial roadsC i.e.C (oad *o.21C "from 6handrayangutta to Srinagar "Tu99uguda$ at a cost if (s.22.22 crores and (oad *o.2G "from La<miguda N (oad to !amidipally$ at a cost of (s.31.32 crores has already been completed Bor9 in five radial roads connecting the &(( 'ro/ect in the ITI( area to an e<tent of %1 9ms at a pro/ect cost of (s.%01 crores has also been completed and three radial roads covering a road length of %%.21 at a cost of (s.20@.31 crores are under implementation and are e<pected to be completed by !arch 201%. Tota# %';< 53;7( P:a"e I -<5% !r N P:a"e II H (<%' !r
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 65 %.=. 6&!'LI-*6E T& E*7I(&*!E*T-L (EG)L-TI&*S 'reliminary Environmental (is9 assessment has been summariAed in the 'ro/ect 'roposal #hich includes potential environmental ris9sC a brief analysis of the nature of impacts and associated management measuresC and the identified ris9 category. Some of the measures to be ta9en are listed belo# : -s per the provisions of EI-;200= *otification and its amendments thereofC issued by !inistry of Environment ? ,orests "!oE?,$C G&IC the Environmental 6learance "E6$ is re>uired for all the 6onstruction pro/ectsC if the total built;up area of the pro/ect is Y20000 s>.mtrs. If the total built;up area of the pro/ect is Y20C000 s>.mtrs and Z1C30C000 s>.mtrs.C Environment !anagement 'lan "E!'$ has to be prepared for obtaing E6. If the total built;up area of the pro/ect is Y1C30C000 s>.mtrs. of built;up areaC Environment Impact -ssessment "EI-$ report has to be prepared for obtaing E6. -ll the 6onstruction pro/ects are e<empted from the process of public hearing. The proponent is re>uired to provide ST' for treatment of se#age and plan for recycle and reuse the treated #aste #ater. The proponent is re>uired to develop greenbelt / treesC as per -'B-LT- -ct. To o$ta/* EC3 the proponent is re>uired to submit one set of duly filled application i.e.C ,orm;1C ,orm;1-C Standard TemplateC E!' / EI- report "as applicable$ to the SEI--C -'. The procedure to obtain E6 is available in the #ebsite of -''64 viA.C ###.appcb.ap.nic.in and the proforma of above documents may also be do#nloaded from the #ebsite. -fter obtaining E6C the proponent is re>uired to obtain 6onsent for Establishment "CFE$ from -''64 before starting any construction activity at site.
-fter obtaining 6,E and after finishing construction of the pro/ectC the proponent is re>uired to obtain 6onsent for &peration "CFO$ from -''64.
-'II6 as the -' ITI( .evelopment -uthorityC shall scrupulously follo# the above guidelines in this regard during the implementation phases of -' ITI(. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 66 5- PROJECT STRUCTURE AND INSTITUTIONAL STRUCTURE 2.1. *&TI,I6-TI&* &, ITI( -s per the ITI( gaAette notification of the Government of India ITI(C Government of -ndhra 'radesh needs to *ot/)+ t:e "/te a" ITIR .*der a re#e8a*t e=/"t/*2 a!t or3 /) reF./red3 )or,.#ate a *eA a!t- Government of -ndhra 'radesh has analysed various options available and proposes to notify the ITI( under the e<isting act : A*d:ra Prade": Ur$a* Area" (De8e#op,e*t) A!t3 '<96 (APUDA)- The A*d:ra Prade": Ur$a* Area" (De8e#op,e*t) A!t3 '<96C provides for the development of urban areas in -ndhra 'radesh. - separate authorityC yderabad ITI( .evelopment -uthorityC #ill be established under the pro8/"/o*" o) Se!t/o* (AC #hich allo#s the State Government to constitute a Special -rea .evelopment -uthority for any area in the StateC as a special caseC #here such an area is classified as an urban area or other#iseC in the interest of specific development ob/ectives that may be conducive to the overall planned development of the State. This Section %- #as added in the A*d:ra Prade": Ur$a* Area" (De8e#op,e*t) (A,e*d,e*t) A!t3 %&&'. The purpose for allo#ing Special )rban .evelopment -uthorities #as to promote the achievement of special ob/ectives or orderly gro#th and environmental up;gradation in priority areas. It #as also envisioned that such Special -uthorities #ould be useful in carving out selected areas #hich needed special planning controls and a high level of infrastructural and managerial input. ,inallyC it #as hoped that the creation of such enclaves and their successful operation #ould catch the imagination of people and eventually help in e<tending similar disciplineC efficiency and managerial e<cellence to entire cities.
Section 1% of the -ndhra 'radesh )rban -reas ".evelopment$ -ctC 1G@3C establishes the procedures to be adhered to once an area is notified by the State Government to be a Rdevelopment areaQ. Section 1%"1$ states that As soon as may be after the commencement of this Act, here !overnment consider it necessary to do so for purposes of proper development of any urban area or "roup of urban areas in this #tate they may, by notification, declare such urban area or "roup of urban areas to be a development area for the purposes of this Act$.
Section 3 of the -ct provides the ob/ect and po#ers of an -uthorityC #hich states that to promote and secure the development area concerned accordin" to plan and for that purpose, the Authority shall have the poer to ac%uire, by ay of purchase or otherise, hold, mana"e, plan, develop and mort"a"e or otherise dispose of land and other property, to carry out by or on its behalf buildin", en"ineerin", minin" and other operations, to e&ecute orks in connection ith supply of ater and electricity, disposal of seera"e and control of pollution, other services and amenities and "enerally do anythin" necessary or e&pedient for purposes incidental thereof.$ AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 67
2.2. L-*. -6P)ISITI&* - separate -' ITI( .evelopment -uthorityC #ith -'II6 and other sta9eholdersC #ill be notified under Section % "-$ of the A*d:ra Prade": Ur$a* Area" (De8e#op,e*t) A!t3 '<96- This -uthority #ill be authorised to ac>uire and dispose of land according to 6hapter 7 of the -ct. The -ndhra 'radesh government proposes to ac>uire land only for the purpose of development of internal and e<ternal infrastructure li9e roadsC and common utility areas. *o ne# ac>uisition is planned for either processing area or non;processing area pro/ects specifically for ITI(. Section 11 "1$ provides thatC 'f, in the opinion of the !overnment( any land is re%uired for the purpose of development or for any other purpose under this Act, the !overnment may ac%uire such land under the provisions of the )and Ac%uisition Act, 1*+4$. Section 11 "2$ further elucidates that #hen land is ac>uired and ta9en possession of by the GovernmentC the land may be transferred to the -uthorityC for the purpose for #hich the land had been ac>uired on payment by the -uthority of the compensation a#arded under the La*d A!F./"/t/o* A!t3 ';<5 and of the charges incurred by the Government in connection #ith the ac>uisition. Should the -uthority choose to ac>uire land in a manner other than #hich is prescribed under the Land -c>uisition -ctC 11G2C the -uthorityC under Section 11;-C needs to Sobtain the previous approval of the .istrict 6ollectorC herefore. Bhile according to his approvalC the .istrict 6ollector shall determine the value at #hich the land is to be ac>uired and every such ac>uisition shall be sub/ect to the previous sanction of the Government as may be prescribedT. ,or the processing areas of ITI(C the -ndhra 'radesh Industrial Infrastructure 6orporation "-'II6$ is already in possession and have made lands available to an e<tent of more than 21=G acres in the three IT clusters in ITI( "i.e. G1G acres in 6yberabad clusterC 2=00 acres *ear International -irport clusterC =30 acres in )ppal ? 'ocharam cluster$. ,urtherC in the ITI( areaC t#o Governments promoted IT SEDs to an e<tent of 13G acresC @ IT campus SEDs in @11 acresC 12 IT SEDs by private infrastructure developers on Government allotted lands in 12= acres and 1% IT SEDs developed by private infrastructure developers on their o#n lands in an e<tent of 101= acres are being developed. -s suchC the re>uisite land for delineated area of the proposed ITI( is already #ith the -' Industrial Infrastructure 6orporation "-'II6$ and if any land is further re>uired to ma9e the pro/ect viableC Government shall ma9e the same availableC on need based re>uirementC for the purpose of development of ITI( as per the e<isting provisions of land ac>uisition. 2.%. I*STIT)TI&*-L ST()6T)(E The follo#ing institutional structure for governing -' ITI( is in placeJ "a$ *ominated Information Technology ? 6ommunications .epartment as *odal -gency for the Govt of -' for creationC monitoring and management of their proposed ITI(. "b$6onstituted a !anagement 4oard for the purpose of creation of ITI( comprising of 'rl Secy to GovtC !unicipal -dmn ? )rban .evelopment "!-?).$C (evenueC 6ommissionerC Greater yderabad !unicipal 6orporation "G!6$C 6ommissionerC yderabad !etropolitan .evelopment -uthority "!.-$C 6hairman ? !anaging .irectorC -' Industrial Infrastructure 6orporation "-'II6$C -' Transmission AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 68 6orporation "-'T(-*S6&$C -' 6entral 'o#er .istribution 6orporation "-'6'.6L$ and co;opted members from other agencies/.epts as and #hen re>uired. I 6onstituted State Level igh 'o#er 6ommittee for monitoring the progress of implementation of ITI( comprisingC 6hief Secretary to GovtC Special 6hief SecretaryC EnergyC ,orestsC Science ? Technology .eptC 'rincipal Secretaries of (evenueC TransportC (oads ? 4uildingsC !-?). and co;opted members from other agencies/.epts as and #hen re>uired.
The proposed structure of the State Level Empo#ered 6ommittee and the ITI( !anagement 4oard is described belo#. 2.2. -' ITI( .E7EL&'!E*T -)T&(IT+ Government of -ndhra 'radesh proposes to set up a -' ITI( .E7EL&'!E*T -)T&(IT+ A/t: APIIC a*d ot:er "ta1e:o#der"3 to $e *ot/)/ed .*der t:e APUDA A!t3 "oo* a)ter t:e *ot/)/!at/o* o) AP ITIR $+ GoI- T:e Ma*a2e,e*t >oard A/## der/8e /t" administrativeC regulatory and development po#ers from the -').- -ct. T:e Ma*a2e,e*t >oard ":a## :a8e t:e )o##oA/*2 ).*!t/o*"C Planning* en!orcement and monitoring+ 'reparation and enforcement of the detailed !aster 'lan for the ITI( Granting approvals forC and facilitating clearances to units #ithin ITI( ,n!rastructure development 'roviding the necessary infrastructure #ithin ITI(C either directly or through .eveloper"s$. Selection of .eveloper/6o;developers and entering into concession agreements #ith them for the development and maintenance of infrastructure internal to ITI( E<ercise of authority to delegateC enter into or create S'7s for specialiAed services %peration and management 6o;ordination #ith local bodies (egulation of levy of user or service charges or fees or rent for the use of infrastructure / properties in ITI( (evie# of the functioning and performance of ITI( ,nvestment promotion+ 'romotion of investmentC both foreign and domesticC into ITI( 'romotion of production #ithinC and e<ports fromC ITI( %ther !unctions+ -ny other functions as may be prescribed by the State Government 4ased on the proposed functionsC the government of -ndhra 'radesh proposes the follo#ing structure of the !anagement 4oard. -s also stated in the ITI( gaAette notification government of -ndhra 'radeshC a role for 9ey IT sector sta9eholders in the ITI( is also envisaged. The 9ey sta9eholders and the roles proposed to them in the !anagement 4oard of the ITI( are as sho#n in the follo#ing tableJ E=:/$/tC ?e+ "ta1e:o#der" /* t:e Ma*a2e,e*t >oard o) ITIR a*d t:e/r propo"ed ro#e" AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 69 M Sta1e:o#der Repre"e*tat/8e Propo"ed ro#e /* t:e Ma*a2e,e*t >oard 1. .epartment of IT?6C Government of -ndhra 'radesh Secretary / 'rincipal SecretaryC department of IT?6C government of -ndhra 'radesh Ensuring faster development and implementation of the ITI( master plan. Investment promotion 6oordination #ith the 9ey sta9eholders in the industry. 2. -ndhra 'radesh Industrial Infrastructure 6orporation Ltd "-'II6$ !anaging .irectorC -'II6 .evelopment of the IT/ITES/E! units. -ppointment of developers / co; developers for the processing areas. %. yderabad !etropolitan .evelopment -uthority 7ice;6hairmanC !.- (evie# and modifications to the !aster 'lan of the ITI(. Incorporation of ne# features considering the re>uirements of the IT / ITES / E! industry into the ITI( !aster 'lan. 2. ,inance .epartment 'rincipal SecretaryC ,inance .evelopment and implementation of ''' pro/ects in the ITI(. 3. (evenue .epartmentC Government of -ndhra 'radesh 6ollector (anga (eddy district ,acilitating land ac>uisition
=. -ndhra 'radesh 6entral 'o#er .istribution 6ompany Limited 6hairman and !anaging .irectorC -'6'.6L Implementation of po#er distribution net#or9 @. Transmission 6orporation of -ndhra 'radesh 6hairman and !anaging .irectorC -'Transco Implementation of transmission pro/ects 1. yderabad !etropolitan Bater Supply -nd Se#erage 4oard !anaging .irectorC !BS ? S4 &verseeing and coordination #ith finance department to implement #ater supply se#erage and drainage infrastructure through ''' in ITI( G. (epresentatives of Industry associations *-SS6&! yderabad IT ? ITES Industries -ssociation of -ndhra 'radesh "Its-'$ "formerly +SE-$ Electronic Industries -ssociation of -ndhra 'radesh (epresentatives of IT/ITES/E! industry AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 70 M Sta1e:o#der Repre"e*tat/8e Propo"ed ro#e /* t:e Ma*a2e,e*t >oard "ELI-'$ 10. *ominated members (epresentatives from the legal entities a#arded the developer or co; developer status by the 4oard .evelopers of the housing and infrastructure pro/ects
The infrastructure development in the ITI( #ill be done through an S'7 : #ith -'II6 and !.- as e>uity holders. The S'7 #ill underta9e the follo#ing responsibilities : 6onceptualise pro/ectsC including determining pro/ect feasibility and pro/ect structuring )nderta9e preparatory #or9 for all pro/ects including land ac>uisitionC technical assessmentC preliminary clearances from statutory bodies etc. 4undling / combining of pro/ects ,inancial structuring of pro/ects Implement pro/ects through appropriate modes including ''' in select pro/ects -rrange financing : both debt and e>uity 2.3. 8E+ ST(-TEGIES ,&( -6IE7I*G TE G&-LS &, ITI( The !anagement 4oard of the ITI( #ill develop a detailed !aster 'lan and detail out the development strategies for implementation of the ITI(. The broad strategic frame#or9 of the !anagement 4oard for each function is described in the table belo#J M F.*!t/o* >road "trate2/! )ra,eAor1 '- 'lanningC enforcement and monitoring 'romoting green buildings. Incentives in the form of rela<ations in Aoning and building regulations #ill be provided to buildings that can demonstrate that they have ta9en measures to be energy efficientC or to reduce the carbon footprints during and after construction "e.g. recycling of #asteC #ater harvesting etc.$ %- Infrastructure developmentC operation and management Efficiencies in creation and management of infrastructure through '''. Identify and conceptualise pro/ects for internal infrastructure "solid #aste managementC flyovers/roadsC #ater supply$C underta9e detailed feasibility studiesC structure the pro/ectsC analyse possibility of ''' and implement the pro/ects through suitable routes (- Investment promotion IT and E! companies in -ndhra 'radesh have been provided incentives under the current I6T policy 2010;2013 and Electronic ard#are 'olicy 2012;201@
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 71 6- PREPAREDNESS FOR THE PROJECT 3.1. 7-(I&)S G&7E(*!E*T I*ITI-TI7ES T& '(&!&TE IT/ITES -*. E! SE6T&(S 3.1.1. I*,&(!-TI&* 6&!!)*I6-TI&* ? TE6*&L&G+ "I6T$ '&LI6+ 2010; 2013 Information Technology has been identified as one of the thrust sectors for -ndhra 'radesh #ith specific incentives being offered by the I*)or,at/o* 0 Co,,.*/!at/o*" Te!:*o#o2+ (ICT) Po#/!+3 %&'&-%&'6. Through this I6T 'olicyC -ndhra 'radesh aims to attain leadership in the information economy by developing local enterprise and attracting best;in;class I6T companies and institutionsC focussing on development of human resources and infrastructure. )nder the I6T policy some 9ey areas have been identified as being critical for providing the right ambience for attracting investments into the State and have been provided incentives. The 9ey areas areJ Start ups Small and !edium Enterprises "S!Es$ IT 'roduct/(?. companies -nimationC Gaming and .igital Entertainment Engineering Services Electronic ard#are "non;haAardous$ 'romotion of IT Incubation ,acilities at Engineering 6olleges/ other educational institutions S6/ST entrepreneurs B&!E* entrepreneurs IT SEDs/IT 'ar9s/IT 6ampuses/ITIR >e*e)/t"BI*!e*t/8e" app#/!a$#e to IT SEE"BIT Par1"BIT Ca,p."e"BITIR H "-$ E=e,pt/o* )ro, Eo*/*2 Re2.#at/o*"C IT industryC i.e.C IT/ITES )nits/6ompanies and IT 'ar9s/IT 6ampuses notified by the IT?6 .epartmentC are e<empted from the Doning (egulationsC sub/ect to ensuring environmental safeguardsC and the payment of conversion charges under the provisions of -' )rban -rea .evelopment -ct 1G@3 or -' To#n 'lanning -ct 1G20 as applicable for the location of IT/ITES )nits/6ompanies as stipulated under the (evised 4uilding (ules of !unicipal -dministration ? )rban .evelopment "!$ .epartment and amendments thereon from time to timeC basing on the follo#ing terms and conditionsJ "a$ The conversion / e<emption from land use Aoning regulations for setting up of IT/ITES )nits/6ompanies/IT 'ar9s/IT 6ampuses shall be made applicable only in the follo#ing notified land uses in the !aster 'lan /Donal .evelopment 'lan. i$ (esidential use Aone. ii$ 6ommercial use Aone. iii$ Institutional use Aone/'ublic ? Semi;public )se Done. -n organisation has been established to attract investments in the State ; API*8e"t ; #ith the ob/ectives of aggressively identifying potential investorsC building a strong value proposition and facilitating availability of infrastructure / manpo#er and to develop investment;friendly sector strategies. -' Invest is an integral part of Go-'s targeted approach. -'Invest is the single point of contact that facilitates investments in -ndhra 'radesh and functions along the lines of a corporate under the 6hairmanship of the 6hief !inister. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 72 iv$ Industrial use Aone. v$ 6onservation / -gricultural use Aone. "b$ The conversion / e<emption from land use Doning (egulations as above shall be applicable to the IT/ITES )nits/IT 'ar9s/IT 6ampuses #hich are notified by the Information Technology ? 6ommunications .epartment. I IT/ITES )nits/6ompanies/IT 'ar9s so notified by Information Technology and 6ommunications .epartment are e<empt from payment of conversion charges. "4$ No #/,/tat/o* o* :e/2:t o) $./#d/*2" a*d FARBFSIC sub/ect to payment of 6ity Level Infrastructure Impact ,ee and #ould be governed byC (evised 4uilding (ulesC location norms and clearances from ,ire ServicesC -irport -uthority and shall be in conformity #ith *ational 4uilding 6odeC regulationsC terms ? conditions as per stipulations of !unicipal -dministration ? )rban .evelopment "!$ .epartment and amendments thereon. I 6onse>uent on adoption of (epeal -ct 1GGGC there is no necessity to file any declarations or to obtain permission under Section 20 "1$ of )rban Land "6eiling ? (egulation$ -ctC 1G@=C to hold the e<cess land for future land transactions and is regulated as per the instructions contained in (evenue .eptC 6ir.!emo.*o.1@%@@/)6;I"1$/2001;1C dtJ22.02.2001 and amendments thereon from time to time. ".$ -pproval through Special )nit in )rban .evelopment -uthority/Greater yderabad !unicipal 6orporation #ithin 13 days for draft approval and 1 #ee9 for ,inal approval. "E$ -ll statutory clearances to IT 'ar9s/IT 6ampuses constructed by IT Infrastructure 6ompanies/builders/developers and IT/ITES Industry/6ompanies/)nits for o#n use on lands allotted by -'II6 in their Industrial Local -rea -uthorityC #ould be given by -'II6 e<cept the clearances from ,ire ServicesC -irport -uthority etc.
3.1.2. ELE6T(&*I6 -(.B-(E '&LI6+ 2012;201@
-ndhra 'radesh Electronic ard#are 'olicy of Go-' intends to #ill drive gro#th in the stateQs electronics ecosystem. ?e+ /*/t/at/8e"C 6onvert e<isting clusters such as ,-4 6ity and -eronautical SED into 6enters of e<cellenceC giving fresh impetus on Infrastructure 6reate 2 ubs covering *EBS "*orthC EastC BestC and South$ in and around &((C yderabad consisting of %00 -cres of !ulti product Electronic SEDQs and another 200 acres for the supporting Electronic Industry. 6reate a /oint Government;Industry committee to mar9et India and attract investment in India. IncentiviAing investments in -ndhra 'radesh by creating a model #here the subsidy or rebate given to a Electronic ard#are industry is determined on the basis of the value addition and volumes. (?. #ill be the 9ey focus areas for -ndhra 'radesh. Intellectual 'roperty "I'$ creation by local units #ill be given prime importance. 6ommon facilitation 6entre/Incubation 6entre/6luster should be established #ith full pledged testing facilities to meet the global >uality parameters such as E!6C Safety TestingC (,C !icro#ave TestingC Environmental TestingC and Endurance Testing ? &ther ,unctional Testing. This should be closer to the Electronic ard#are Industries 6luster. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 73 6reating ard#are !anufacturing 6lusters in both SED and non;SED"domestic$ areas in tune #ith the 'olicy Guidelines of Electronic ard#are 'romotion program of !inistry of 6ommunications ? information TechnologyC Govt of India 6reate a fund under the management of a #or9ing committee comprising representatives of industry bodies and governmentC #ith an e>ual sta9e to promote designC manufacturingC assemblingC and Innovation and pac9aging business. &rganiAing e<hibitionsC conferences and ta9ing Electronic ard#are companies located in the state as part of trade delegations to domesticC national and international e<hibitions. Single Bindo# System for necessary permissions and clearances. 6oncerned Industry association inputs/suggestions/approval/ recommendation may be obtained for necessary clearances. (ecogniAing the importance of involving Industry Sta9e oldersC 'residentC ELI-' has been included as a member of 6onsultative 6ommittee on IT Industry "66ITI$ #hich is a industry : Government body for administration of incentives and providing comfort and facilitation for Electronics ard#are Sector. (I) I*!e*t/8e" o))ered to E#e!tro*/! HardAare I*d."tr/e" .*der E#e!tro*/! HardAare Po#/!+ %&'%-'9 "-$ Electronic ard#are Industry units are regulated and governed as per the provision of the -ir -ctC Bater -ctC and E"'$ -ct 1G1=. "4$ Electronic ard#are Industry companies are e<empt from the purvie# of po#er cuts on similar lines of IT/ITES Industry. "6$ Electronic ard#are Industry is e<empt from inspections/certifications under the follo#ing -cts and the (ules framed there under and as administered by the Labour .epartmentC barring inspections arising out of specific complaints. The Electronic Industry "units$ are permitted to file self;certificatesC in the prescribed formats. The ,actories -ct 1G21. The !aternity 4enefit -ct 1G=1. The -' Shops ? Establishments -ct 1G11 " *ot -pplicable$. The 6ontract Labour "(egulation ? -bolition$ -ct 1G@0. The 'ayment of Bages -ct 1G%=. The !inimum Bages -ct 1G21. The Employment E<changes "6ompulsory *otification of 7acancies$ -ct 1G3G ".$ General permission on similar lines of IT/ITES Industry for three shift operations #ith #omen #or9ing in the night for Electronic ard#are Industry. "E$ Electronic ard#are Industry be declared essential service under -' Essential Services !aintenance -ct. (II) Co,,o* I*!e*t/8e" )or a## E#e!tro*/! HardAare !o,pa*/e"C "-$ 100H reimbursement of stamp dutyC transfer duty and (egistration fee paid on sale/lease deeds/ mortgages? ypothecations on the first transaction. "4$ 30H reimbursement of stamp dutyC transfer duty and (egistration fee paid on sale/lease deeds /mortgages? ypothecations on the 2 nd transaction. "6$ -dmissibility of Industrial 'o#er category tariff. ".$ 30H to !icroC 20H to small ? 23H to medium ? 10H to large scale industry limited to (s.%0 la9h 'o#er Subsidy on po#er bills for a period of 3 years from the date of commencement of commercial operations. "E$ (eimbursement/Grant of 30H e<hibition subsidy for participating in the national/international e<hibitions limited to G s> m space. ",$ 20H Investment subsidy limited to (s. 20 la9h for micro ? small industries and additional 3H incentive subsidy for #omenC S6C ST Entrepreneurs. "G$ %H interest rebate limited to (s. 3 la9h per year for 3 years. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 74 "$ 10H subsidy on ne# capital e>uipment for technology upgradation limited to (s. 23 la9h as one time availment by the eligible company. "I$ 30H subsidy on the e<penses incurred for >uality certification limited to (s. 2 la9h "6onformity European"6E$C6hinaC 6ompulsory 6ertificate"666$C)L 6ertificationC IS&C 6!! 6ertificationC S-C () etc.C "5$ 23H subsidy on cleaner/ green production measures limited to (s.10 la9h "8$ 100H Ta< reimbursement of 7-T / 6STC for the ne# units started after the date of issue of this 'olicyC for a period of 3 years from the date of commencement of production for products made in -' and sold in -'. "L$ 23H rebate in land cost limited to 10.00 la9hs in Industrial estatesC industrial par9sC SEDQsC hubsC par9s ? clusters. "!$ 30H reimbursement/ grant of cost involved in s9ill up gradation ? training the local manpo#er limited to (s 2C000/; per person. (III) Spe!/)/! I*!e*t/8e" to Fo!." Area" /* E#e!tro*/! HardAare "e!torC -llocation/ (eservation of 20H of &rder value to electronic hard#are S!Es in State Govt promoted 'ro/ects. Se!tor Spe!/)/! I*!e*t/8e"J The different segments in Electronic ard#are sector needs to be promoted to enable them to compete #ith the Global mar9ets as #ell as domestic consumption. 8eeping in this vie#C the follo#ing specific incentives are offered to focus areas in Electronic ard#are SectorJ;
Startups/ !icroJ a$ (ecruitment -ssistance of (s.2.3 La9hs for recruitment made up to 30 Employees #ithin a period of t#o years. b$ 10H subsidy on ne# capital e>uipment for technology upgradation limited to (s.23 la9hs as one time availment by the eligible company. c$ 'roviding 23H subsidy on lease rentals up to (s.3 La9hs per annum ma<imum up to a period of three yearsC for the plug;and;play built up office space from 1000 sft to 10C000 sftC Industry Shed ranging from 1000 sft to 20C000 sftC leased from Government or 'rivate o#ned IT 'ar9/IT SED/ Industrial 'ar9 Small ? !ediumJ a$ (s.10 la9h as recruitment assistance for employing minimum 200 employees #ithin 2 years of commencement of commercial operations b$ 10H subsidy on ne# capital e>uipment for technology upgradation limited to (s.23 la9h as one time availment by the eligible company. c$ 23 H subsidy on lease rentals up to (s.3 la9h per annum ma<imum up to a period of three yearsC for the plug;and;play built up office space from 1000 sft to 10C000 sftC Industry Shed ranging from 1000 sft to 20C000 sftC leased from Government or 'rivate o#ned IT 'ar9/IT SED/ Industrial 'ar9. (?. (s.13 la9h as recruitment assistance for employing minimum 130 employees #ithin t#o years of commencement of commercial operations. S6/ST Entrepreneurs ? Bomen entrepreneurs J a$ (s.10 la9h as recruitment assistanceC basing on the level of employment generatedC for employing minimum 100 employees #ithin three years of commencement of commercial operations i.e.C (s.3 la9h for first 30 employment generated in the first yearC (s.2.3 la9h to the ne<t 23 employees in the 2 nd yearC and (s.2.3 la9h for the remaining 23 employees employed at the end of third year. b$ 'roviding 23H subsidy on lease rentals up to (s.3 la9h per annum ma<imum up to a period of three yearsC for the plug;and;play built up office space from 1000 sft to 10C000 sftC Industry Shed ranging from 1000 sft to 20C000 sftC leased from Government or 'rivate o#ned IT 'ar9/IT SED/ Industrial 'ar9. c$ 3H of the pro/ect cost #ill be provided as seed capital assistance to !S!E units started by S6/ST entrepreneurs limited to (s.3.00 la9h. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 75 d$ -n additional subsidy of 3H limited to (s.3 la9h for S6/ST entrepreneurs e$ 10H subsidy on ne# capital e>uipment for technology upgradation limited to (s.23 la9h as one time availment by the eligible company. E<isting )nits "other than large scale industries$ a$ 30H subsidy on the e<penses incurred for >uality certification limited to (s.2 la9h. b$ 30H subsidy on the e<penses incurred for patent registration limited to (s.3 la9h.
Encouragement to !S!Es to set up their operations in -'IT(
-s can be seen from aboveC both the I6T 'olicy 2010;2013 and Electronic ard#are !anufacturing 'olicy 2012;201= of Govt of -' provides re>uisite impetus to the !icroC Small ? !edium Enterprises in ITC ITES and E! verticals to setupC gro# and provides level playing filed to sustain their operationsC on par #ith their medium and ma/or counterparts in the -' ITI( area.
,urther vide G& (t *oJ22%V dated %1;01;2010C Government of -ndhra 'radeshC e<tends support by allo#ing preferential treatment to participate and e<ecute e;Governance pro/ects.
&ther Initiatives
- Single #indo# !echanismJ Govt of -' put in place single #indo# mechanism for e<peditious clearance of proposals of I6T industry vide G&!S *oJ2C dated 1%;0%;2010
"ii$ I6T is an Essential ServiceJI6T declared as an essential service under -' Essential Services !aintenance -ct vide G& !S *oJ3C dated 20;02;2010
"iii$ E<emption from Labour La#s and protection for #omen #or9ing in I6T SectorJ Government of -ndhra 'radesh accorded e<emption from certain Labour La#s and provides due protection for #omen #or9ing in I6T Industry through G& !s.*oJ=2C datedJ%0;03;2012
"iv$ 6ommittee for attracting IT Investments into the State of -ndhra 'radeshJ In order to bring in synergy for sustained gro#th of IT sector and to achieve ne# heights #ith regard to promotion o IT in the State of -ndhra 'radeshC a 6ommittee #ith senior officers of the Government vide G& !s. *oJ@1C datedJ03;03;2012
3.2. 7-(I&)S I*,(-ST()6T)(E '(&5E6TS )*.E(T-8E* T& S)''&(T IT/ITES -*. E! SE6T&(S Since the submission of the 'ro/ect 'roposal to Government of India in !arch 2010C the follo#ing are the 9ey initiatives/developments /progress creation of infrastructure pro/ects by the State GovernmentJ ; 'rovision is land for the processing areas of ITI(J the -ndhra 'radesh Industrial Infrastructure 6orporation "-'II6$ is already in possession and have made lands available to an e<tent of more than 21=G acres in the three IT clusters in ITI( "i.e. G1G acres in 6yberabad clusterC 2=00 acres *ear International -irport clusterC =30 acres in )ppal ? 'ocharam cluster$. ,urtherC in the ITI( areaC t#o Governments promoted IT SEDs to an e<tent of 13G acresC @ IT campus SEDs in @11 acresC 12 IT SEDs by private infrastructure developers on Government allotted lands in 12= acres and 1% IT SEDs developed by private infrastructure developers on their o#n lands in an e<tent of 101= AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 76 acres are being developed. -s suchC the re>uisite land for delineated area of the proposed ITI( is already #ith the -' Industrial Infrastructure 6orporation "-'II6$ and if any land is further re>uired to ma9e the pro/ect viableC Government shall ma9e the same available for the purpose of development of ITI( as per the e<isting provisions of land ac>uisition. ; 6reation of International -irportJ The Government of -ndhra 'radesh on its o#n through ''' mode has developed the state;of;the;art #orld class International -irport abutting ITI( region in a spra#ling area of 3000 acres.
; 'rovision of transportation infrastructure in ITI( area ; the &uter (ing (oad "&(($ 'ro/ect encompassing about 131 9ms divided in % phases at a pro/ect cost of (s.==G= crores connecting *;GC *;@ and *;202 is envisaged. &ut of thisC the 'hase;I &(( 'ro/ect of 22 9ms has already been completed at a pro/ect cost of (s.=GG crores and opened to traffic in 5uly 2011. In 'hase;IIC road net#or9 covering a length of 3G 9ms has been completed and opened to traffic in !arch 2011 and the balance is to be completed by mid 2012. 'hase;III &(( 'ro/ect to an e<tent of @1 9ms at a cost of (s.%331 crores is also under active implementation.
; &ut of the 11 radial roadsC (oad *o.21C "from 6handrayangutta to Srinagar "Tu99uguda$$ at a cost if (s.22.22 crores and (oad *o.2G "from Lamiguda N (oad to !amidipally$ at a cost of (s.31.32 crores has already been completed Bor9 in five radial roads connecting the &(( 'ro/ect in the ITI( area to an e<tent of %1 9ms at a pro/ect cost of (s.%01 crores has also been completed by 5uneC 2011 and three radial roads covering a road length of %%.21 at a cost of (s.20@.31 crores are under implementation and are e<pected to be completed by !arch 201%. The internal roads in ITI( and also being developed in phases.
; *;@ i.e. from 4angalore igh#ay to Srisailam igh#ay touching the ITI( region near Shamshabad area "22 9ms length : #idening of 2 lane to 2 lane is already being ta9en up as a priority road through internal funds ; 'rovision of #ater in ITI( areaJ .rin9ing Bater pipe line from 8rishna Bater pro/ect has been laid out and rest of the prayed are also under contemplation. ; Enhancement of 'o#er/-ugmentation of Substations/transformers in the ITI( areaC Jseven substationQs capacity has been augmented to an e<tent of 211 !7- at a cost of (s.111 crores during the ne<t year and in the ne<t t#o years i.e. by the end of 201%C another % substations capacity is being augmented and @ ne# substations are planned at a cost of (s.%02= crores in the ITI( area. ; G!6 has already ta9en up Bidening of the road from 6handrayangutta to 4ar9as upto G!6 limits to 100 feet for #hich more than G0H of the properties have already been ac>uired. The road #or9 is also being ta9en up at a cost of (s.2.% 6rores to ma9e it = lane. 7arious Lin9 (oads / (oad Bidening for improving the trun9 infrastructure for connecting the IT / ITES industries. The follo#ing are the lin9 roads / road #idening/,lyovers proposed. o ,lyover at Tolicho#9i at a cost of (s.30.00 6rores. o 100 feet #ide lin9 road from i;tech 6ity (ail#ay Station to 4orabonda at a cost of (s.12.00 6rores. o Lin9 (oad from .argah 5unction to &.).6olony in Serilingampally "South$ at a cost of (s.12.00 6rores. o Lin9 (oad from !oosapet 6heruvu connecting to (ail#ay Line via I.L. o Lin9 (oad from -mbedh9ar )niversity to 8avuri illsC !adhapur to .urgam 6heruvu (oad via 7asanth 7iharC !adhaur at a cost of (s.1.00 6rores. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 77 o 6onstruction of 10 feet #ide 4T (oad from -maravathi otel "!adhapur !ain (oad$ to !oosapet at a cost of (s.23.00 6rores. o Lin9 (oad connecting !adhapur !ain (oad to (ahe/a IT 'ar9 at a cost of (s.1.00 6rores. o 1 Bidening of 4ar9as (oad at a cost of (s.3.00 6rores. o Bidening of road from 4otanical Gardens to &ld 4ombay igh#ay via !as/eed 4anda 7illage at a cost of (s.20.00 6rores. In addition to thisC G!6 in association #ith the -'II6 have also ta9en up the improvement of the follo#ing roads partly funded by -'II6. o Improvement of the road from Tolicho#9i to Gacchibo#li at a cost of (s.%3 6rores. o Improvement of the &ld 4ombay igh#ay to 8ha/aguda : Bipro 5unction at a cost of (s.%2 6rores. o Improvement of the road from Bipro 5unction to Gopannapalli T 5unction at a cost of (s.12 6rores. o Improvement of the road from Gopannapalli T 5unction to *allagandla at a cost of (s.12 6rores. -ll the above #or9s are proposed to be completed by the end of 201%. ; ,or creation of governing structure of ITI(J Government has put in place the follo#ing administrative/ e<ecutive mechanisms in placeJ
o "a$ *ominated Information Technology ? 6ommunications .epartment as *odal -gency for the Govt of -' for creationC monitoring and management of their proposed ITI(. o "b$6onstituted a !anagement 4oard for the purpose of creation of ITI( comprising of 'rl Secy to GovtC !unicipal -dmn ? )rban .evelopment "!-?).$C (evenueC 6ommissionerC Greater yderabad !unicipal 6orporation "G!6$C 6ommissionerC yderabad !etropolitan .evelopment -uthority "!.-$C 6hairman ? !anaging .irectorC -' Industrial Infrastructure 6orporation "-'II6$C -' Transmission 6orporation "-'T(-*S6&$C -' 6entral 'o#er .istribution 6orporation "-'6'.6L$ and co;opted members from other agencies/.epts as and #hen re>uired. o I 6onstituted State Level igh 'o#er 6ommittee for monitoring the progress of implementation of ITI( comprisingC 6hief Secretary to GovtC Special 6hief SecretaryC EnergyC ,orestsC Science ? Technology .eptC 'rincipal Secretaries of (evenueC TransportC (oads ? 4uildingsC !-?). and co;opted members from other agencies/.epts as and #hen re>uired. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 78 7- ECONOMIC ACTIVITY AND >ENEFITS The IT/ ITES sector is proving to be a ma/or gro#th pole #ithin the services sectorC #hich in turn drives several economic indicators of gro#th in the yderabad region. The sectorQs contribution to the districtQs G.' has been steadily increasing from a share of @H in 1GGG; 2000 to almost 22H in 2003;200=. The direct economic impact is also realiAed in terms of increased e<port earnings and creation of employment opportunities. The gro#th in the IT/ ITES sector also boosts revenues of other related sectors and creates indirect employment opportunities. -ll of these aspects of economic benefits have been elaborated in the follo#ing sections. =.1. LI8EL+ I*7EST!E*TS The ITI( is e<pected to attract a total investment of about R"- %'<355& !rore of #hich the IT/ ITES sector is e<pected to attract investments of R"- '';3(66 !rore and the Electronics ard#are !anufacturing sector #ill attract investment of R"- '&'3&;6 !rore. =.1.1. IT/ITES SE6T&(S There are ambitious plans for development of IT/ITES sectors in the regions demarcated under the ITI(. Greenfield development is e<pected to come up in the 6.- in the regions including !ani9ondaC *ana9ramgudaC GopanpallyC 8o9apet etc. Lanco and Emmar have been allotted 100 acres and 230 acres respectively in 6.- for the development of technology par9s and SEDs. -bout 200 acres of land has been allotted in Tellapur for mi<ed use development #ith an investment of about (s GC000 crore. Similarly in International -irport area regionC 2 s>. 9m. of IT/ITES development has been envisaged. Some of the ma/or developments that are e<pected to come in a fe# years are as follo#sJ 4rahmani Infratech 'vt. Ltd.C Indu Group and 8 (ahe/a 6orp have already been allotted 230 acres of land each in the ard#are 'ar9 for developing IT SED #ithin the ITI(. 4rahmani Infratech plans to develop a 130;acre SED and remaining 100 acres of residential development #ith an investment of about (s. 1C200 : 1C300 crore. They are planning to develop @3 acres as phase 1 #ithin the ne<t 3;@ years. Indu Group is developing their R'ointInduQ SED #ithin an area of 130 acres and remaining 100 acres for residential development. The total floor space area #ill be about 1;10 million s>. ft. #ith proposed investment of appro<imately (s. 2C000 crore. The residential area #ill consist of 2C000 units of houses comprising of both apartments and lu<ury villas. 8 (ahe/a 6orp has also plans to develop their !indspace SED #ithin the ard#are 'ar9C ho#ever because of their similar pro/ects to#ards east of yderabadC this pro/ect #ill be developed after some time. 4esides the large SED development other IT companies li9e Tata 6onsultancy Services "@3 acres$ and 6ogniAant Technology Solutions "20 acres$ have been allotted land in the -'II6 Bor9 6entre. In the )ppal 'ocharam regionC land parcel of 230 acres has been allotted for Infosys SED and 103 acres to 8 (ahe/a 6orp for IT development #hich plans to invest around (s 200 crore.
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 79 =.1.2. E! SE6T&( Land allotment of about 23 s> 9m has been done for development of E! sector primarily in the International -irport area region. -'II6 is developing ,ab 6ity for the manufacture of electronic hard#are and has already made allotments of about 6'; a!re" out of the total area of 1C200 acres in ,ab 6ity. The committed investment is about R"- 6&3;6& !rore /* Fa$ C/t+. .evelopment of ,ab 6ity and ard#are 'ar9 is e<pected to attract more E! units into the area and e<pected to attract further investments of R"- 6&3%(6 !rore. Table 1% belo# is the list of ,ab 6ity allottees along #ith their investment and employment plans. Ta$#e '( C I*8e"t,e*t a*d e,p#o+,e*t p#a*" o) Fa$ C/t+ a##ottee" M
Na,e o) t:e !o,pa*+ E=te*t (A!re") I*8e"t,e*t (/* R" !rore) E,p#o+,e*t 1 SemIndia ,ab "'$ Limited 100 1%C1%1 U 1C000 2 Solar Semiconductor "'$ Limited 30 =C1=% U 1C300 % !/s. NL Telecom ? Energy Limited 30 200 11= 2 *ano;Tech Silicon India 30 GC3G0 U
3 8S8 Surya 'hotovoltaic 7entures 'rivate Limited 30 223 1C@20 = Genne< Enpo#er 6orporation 'rivate Limited %0 GC220 @20 @ Titan Energy System Limited 23 %C120 2C=@0 1 !I6 Electronics Limited 23 130 1C200 G *6S (ene#able Energies Limited 23 1C030 1C000 10 Lampe< Electronics Limited 20 33= 2C000 11 Embedded IT Solutions "India$ 'rivate Limited 10 2% U 230 12 Surana 7entures Limited 10 =0 200 1% 'hoton Energy Systems Limited 10 @30 %23 12 Thin9 Solar India 'rivate Limited 10 G=1 U 1C000 13 I6&!! Tele Limited 10 @30 1C000 1= .olphin Technologies Limited 10 300 @00 AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 80 M
Na,e o) t:e !o,pa*+ E=te*t (A!re") I*8e"t,e*t (/* R" !rore) E,p#o+,e*t 1@ anson Infrastructure ? 'ro/ects 'rivate Limited 1 100 130 11 -ir Li>uide India olding "'$ Limited @ 120 100 1G (adiant .olar 'rivate Limited 3 1=3 300 20 4&6 India Limited 3 30 100 21 oney#ell Technology Solutions Lab 'vt Ltd 3 30 30 22 6handreep Solar % 23 10 =.2. E6&*&!I6 -6TI7IT+ =.2.1. (E7E*)E GE*E(-TI&* Bhen fully developed and operationalC in 20%3C the proposed ITI( is e<pected to generate annual revenues of around R"- %<93&(6 !roreC in terms of direct revenue. The IT industry #ill contribute R"- %7;3%(( !rore i.e. G0H of the total e<pected revenueC and the remaining R"- %;3;&% !rore #ill be contributed by the Electronic ard#are !anufacturing industries. The e<pected revenue generation has been estimated based on demand pro/ections and ta9ing into account various factors influencing the IT and E! industry. F/2.re '% C Re8e*.e Proe!t/o*
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 81 =.2.2. EN'&(TS '&TE*TI-L -nnual e<ports from the proposed ITI( are estimated to be about (s. 20GC221 crore and (s. 12C201 crore from IT and E! respectivelyC in the year 20%3. The IT industry in yderabad is mostly e<port orientedC #ith @3H of revenues coming from e<ports. &ther factors li9e gro#ing domestic mar9et and emergence of cheaper off;shoring destinations #hich can affect the e<port mar9et have been ta9en into consideration. The E! industry caters primarily to the domestic mar9et and e<ports in the past have been very lo# at around 1H from -ndhra 'radesh. o#everC #ith the liberaliAation in ,.I and e<port;import policiesC it is e<pected that both the total revenue generation and e<ports #ill increase significantly. -lsoC the proposed ,ab 6ity has mostly electronics components manufacturers for #hich the e<ports percentage is high "[ 30H$ compared to other sub; components of hard#are manufacturing. =.2.%. E!'L&+!E*T GE*E(-TI&* 4esides contributing to the economyC the ITI( #ill also generate direct employment for the large educated population of the state. IT is estimated to generate a total of '(-5 #a1: /obs and E! is estimated to generate around '-5 #a1: /obs. The indirect employment generation by the IT sector is 2 times the direct employment and hence IT activities in the ITI( #ill generate additional 6(-75 #a1: /obs in the service industry li9e cateringC house9eepingC securityC transportC etc. The E! industry #ill generate additional indirect employment for %-( #a1: people. =.2.2. &TE( S&6I&;E6&*&!I6 4E*E,ITS The gro#th of the IT sector had fuelled the gro#th of other sectors as #ell and has much #ider impact on the economy. -ccording to a *-SS6&! reportC ,every -e 1 spent by the './'.0# sector 1on domestically sourced "oods and services2 translates into a total output of about -s 3 in the economy,$ establishing an overall multiplier effect of 2.0 on other sectors including housingC constructionC transportC communicationC entertainmentC consumer durablesC hotelsC restaurantsC automobilesC printingC etc. SimilarlyC the E! industry has a multiplier effect of 1.% through indirect impact on the economy. 4ased on the above assumptionsC the proposed ITI( is e<pected to generate additional indirect revenue of R"- 69(3<&< !rore. 4esides significant revenue generation and direct and indirect employment generationC the ITI( #ill have the benefits of concertedC integrated and planned infrastructure development. AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 82 9- COMMITMENT OF GOVERNMENT OF ANDHRA PRADESH @.1. I*ITI-TI7ES &, G&-' TILL .-TE Go-' has been very pro;active in promoting IT/ITES/E! sector in the state. It has also embar9ed on massive infrastructure pro/ects to support the development of the sector. Go-' has also promoted pro/ects li9e ard#are 'ar9 and ,ab 6ity to attract the IT sector. @.2. 6&!!IT!E*T &, ,I*-*6I-L (ES&)(6ES The state government #ill continue to support the planning authoritiesC utilities and any other statutory bodies responsible for infrastructure provision through budgetary sources for ensuring that they are able to deliver the infrastructure in a timely manner. Go-' #ill meet the internal infrastructure cost either directly or through private sector participation. To the e<tent possible ''' mode of financing of infrastructure #ill be underta9en. In the table belo# an estimate of the li9ely financing plan for internal infrastructure components is indicated based on li9ely investments that can be secured from the private sector. o#ever this is li9ely to vary depending on investor interestC government policy for ''' etc\ Ta$#e '5C F/*a*!/*2 P#a* o) I*ter*a# I*)ra"tr.!t.re M De"!r/pt/o* Tota# GoAP Pr/8ate Se!tor ' (oad #or9s including drainC culvert etc 2C%20 1C13= 2=2 % Se#erage net#or9 including ST' 1C012 1=@ 21@ ( Solid Baste management 103 ; 103 5 Bater supply including BT' =C%33 3C012 1C2@1 6 Electrical #or9s including TransformerC street lighting 2C111 2C111 ; 7 Telecom net#or9 123 ; 123 9 (ain#ater harvesting ? landscaping 13= ; 13= ; Land .evelopment cost including land cost "for roadsC greens ? utilities only$ 11@ 11@ ;
Tota# '(3&<( '&39(6 %3(6; AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 83 ;- SUPPORT FROM CENTRAL GOVERNMENT -s per the ITI( policy and the recent policy resolutionsC Government of India "GoI$ #ill ensure availability of e<ternal lin9ages to the ITI( including railC roads and airports in a time bound manner. In this regardC Go-' see9s support from GoI for e<ecution of the follo#ing pro/ects pertaining to the e<ternal lin9ages for -' ITI( as detailed at para %.3 above from page 33 on#ards. Table 13J E<ternal infrastructure re>uiring 6entral Government assistance Ite, Tota# Co"t (R"- Crore) 'hase I G22 'hase II %CG21 GRAND TOTAL 2C1=%
AP ITIR Updated Proe!t propo"a# - DPR O!to$er %&'( Page| 84 <- ANNEOURES S-No- G-O-No-BDate S.$e!t ' G.&.!s.*o.GC IT?6 .eptC dtJ 0@.0@.2010 I6T 'olicy 2010;2013 of -ndhra 'radesh % G.&.!s.*o.2@C IT?6 .eptC dtJ 22.0@.2012 Electronic ard#are 'olicy 2012;201@ of -ndhra 'radesh ( G.&.!s.*o.1%C IT?6 .eptC dtJ %1.0@.2010 &perational Guidelines for administration of incentives of I6T 'olicy 2010;2013 of -ndhra 'radesh 5 G.&.!s.*o.12C IT?6 .eptC dtJ 1G.01.2010 &perational Guidelines on declaration of notified IT 'ar9 status as per I6T 'olicy 2010; 2013 of -ndhra 'radesh 6 G.&.!s.*o.2C IT?6 .eptC dtJ 11.0%.2010 6onstitution of Single Bindo# -gency for obtaining the approvals/clearances for I6T Industry 7 G.&.!s.*o.3C IT?6 .eptC dtJ 20.02.2010 .eclaring IT activity as an Essential Service 9 G.&.!s.*o.GC IT?6 .eptC dtJ 21.0G.2011 6onstitution of Industrial Security Tas9 ,orce ; G&.(t.*o.22%C IT?6 .eptC dtJ%1.01.2010 Involvement of S!Es in e;Governance pro/ects of -ndhra 'radesh < G.&.!s.*o.21C IT?6 .eptC dtJ 22.0@.2012 Guidelines on creation of Electronic ard#are !anufacturing 6lusters in -ndhra 'radesh '& G.&.!s.*o.@1C IT?6 .eptC dtJ 03.03.2012 6onstitution of 6ommittee for attracting investments in IT Sector to the State of -ndhra 'radesh '' G.&.!s.*o.=2C LET?, .eptC dtJ %0.03.2012 E<emption from certain provisions of Labour La#s to IT Industry in -ndhra 'radesh '% (esolution *o.G2C dtJ%0.0=.2001 of G!6 Schedule of To#n 'lanning charges and fees '( G.&.!s.*o.1=C !-?). .eptC dtJ 0%.0%.200= (evised 6ommon 4uilding (ules of -ndhra 'radesh '5 G.&.!s.*o.1=1C !-?). .eptC dtJ 0@.02.2012 4uilding (ules 2012 of -ndhra 'radesh '6 *otification dtJ22.10.2012 of .eit+ Guidelines on Electronic !anufacturing 6lusters scheme