Information & Communication Technology (ICT) Policy of Tamil Nadu - 2008 : Highlights

Background : Information and Communication Technology (ICT) has been a major growth driver for the Indian economy with a size of US$ 51 Billion in 2006-07. Tamil Nadu has emerged as a hub for software, hardware and R&D, with US$ 5.7 Billion in 2006-07.

Vision 2011 : “Tamil Nadu shall be the ICT Hub of South Asia by creating a knowledge driven eco system, leveraging entrepreneurship and promoting socially inclusive growth to achieve a 25% production share of the Indian ICT industry.”

Achieving the Vision : To create approximately 3 million additional jobs by 2011.

Key Components of the Knowledge driven Eco System : Have been identified viz., Talent, Research and Development (R&D), Fiscal and Physical Incentives, e-Governance for a Smart Society, Infrastructure, Branding.

Definitions : IT-ITES Companies will include IT Services (ITS),IT Enabled Services (ITES), Private Communication Providers (PCPs), Software Industries, IT Maintenance & Servicing Units and Hardware Units as covered in IT Policy 1997.
Nurturing Talent in Tamil Nadu Developing technical institutes into centres of excellence, ICT Academy to 'Train the Trainers' will be set up. 'Finishing' schools with a focus on socially / economically weaker sections, align the curriculum with the needs and focus on soft skills. Develop a standardized ICT aptitude test, Computer lab/ internet connectivity to schools by 2011.

Boosting Research & Development

Establish institutes, focus on the ICT Sector in collaboration with GOI. Partnership between educational institutes and industry for doctoral and post doctoral research. Scholarships for outstanding students and employees. Industry to set up labs in existing institutes for research initiatives and Research Parks in the State.

Encourage Entrepreneurs to establish incubation centres and introduce entrepreneurship as subject in Engineering Colleges.

Incentives : Location specific-structured package of incentives for New/Expansion projects of IT/ITES.

Special Incentives for setting up IT-ITES Industries in Tier II and Tier III locations.

Capital Subsidy and Electricity Tax Exemption.

Relaxation of FSI to the extent of 100% in IT-ITES Parks.

Exemptions in Stamp Duty and Registration Fee : 50% exemption of the Stamp Duty and the Registration Fee at the time of purchase of a land/building and no stamp duty in respect of transfer of lands acquired by Government for IT/ITES Parks. 50% stamp duty exemption on lease/sale or mortgage of land.

Power Tariff : LT Tariff III-C,HT Tariff I-A for IT/ITES and Industry Power Tariff, for maintenance and servicing units and hardware units.

Special awards to IT Companies for employment of Physically Challenged Persons.

Administrative Incentives : Exempted from the purview of the T.N. Pollution Control Act, Provisions of Chapter II and III of the T.N. Shops and Establishments Act, 1947, Section 5 (2) (a) (i) and (ii) of the T.N. Industrial Establishment (National and Festival Holidays) Act, 1958, and self certification for maintaining the registers /forms under various Acts.

Physical Incentives : Maintenance of Open Space Reservation (OSR) area by IT/ITES Park. Attract investments in Disaster Recovery/Business Process Continuity and permit to use of hired omnibuses to transport employees.

e-Governance : Infrastructure for e-Governance like the State Wide Area Network and the State Data Centre and set up 5,440 Common Service Centres on P-P-P mode in rural areas.

Augmenting Civic Infrastructure : Eco system development approach to develop infrastructure requirement for ICT. Provide single window Government interface for speedy clearance, promoting housing development near IT/ITES zones and master plan for the development of the cities.

Branding : Annual awards for excellence, create brand equity for T.N. and Environment for teaching foreign languages.
The initiatives include provide a secure climate in the State, Data Security Policy, Corporate Social Responsibility, Leveraging the Tamils living abroad.

The use of Tamil in IT : Promote Tamil Virtual University in India and abroad, Improve standards for Tamil in computing and mobile applications and Conference on development of Tamil Computing.

Connectivity : Facilitate single window clearance for connectivity and Communication Service Providers for installation of BTS Towers and Exchanges.

Single Window Clearance Mechanism for all IT-ITES infrastructure projects.

Conclusion : Creating a knowledge driven eco system, leveraging entrepreneurship and promoting socially inclusive growth to achieve a 25% production of the Indian ICT Industry by 2011.