The Board of Approvals under Union commerce ministry is likely to clear two proposals from Odisha for extension of approvals of Special Economic Zones (SEZs) in its 58th meeting to be held on June 12.
This includes SEZs of Vedanta Aluminium Ltd (VAL) at Jharsuguda and the Infovalley IT SEZ being developed on the outskirts of Bhubaneswar.
VAL was granted approval on May 23, 2007 for setting up sector specific SEZ for manufacture and export of aluminium at Bhurkhamunda village near Jharsuguda. Since then, the developer has been granted three extensions, the validity of last extension expiring on May 22 this year.
The development commissioner of Falta SEZ, who is the monitoring authority for this SEZ, has recommended extension of the SEZ approval for one more year.
VAL is operating 0.5 million tonne per annum (mtpa) smelter plant and 1215 Mw captive power plant (CPP) at Bhurkhamunda.
The other SEZ to be taken up for BoA scrutiny is the Infovalley project being developed by Odisha Industrial Infrastructure Development Corporation (Idco). The validity of this SEZ has expired since April 24 this year and the Falta SEZ has recommended extension for one more year.
Infosys Technologies, the anchor tenant for the project has already started construction activities at the site. Both specified officer and authorized officer have also been appointed for the project.
The SEZ has completed its registration process with the National Securities Depository Ltd (NSDL) and expects to start commercial operations by December 2014.Infovalley, spread over 600 acres of land, is developed jointly by Idco and IT major, Infosys, which has been allotted 45 acres at the project for its second campus in the city. The construction work for the Infosys campus is underway.
The development of Infovalley assumes significance as it falls within the area identified for the establishment of IT investment region (ITIR) over a stretch of 40 sq km (around 10,000 acres) between Bhubaneswar and Khurda. The implementation of the proposed ITIR will cost about Rs 17,883 crore.
Within the SEZ notified area, it has been decided to devote 60 per cent for processing area and the balance 40 per cent for non-processing facilities.As per the estimates of the state IT department, the Infovalley project is set to attract investments worth Rs 4,000 crore from IT and ITes (IT enabled services) companies.
