Uttar Pradesh has sharpened its push to become a major hub for India’s data centre industry, scaling up its ambitions after achieving early success under its 2021 Data Centre Policy. The state has now revised its targets to support eight large private data centre parks with a combined capacity of 900 MW and projected investments of around ₹30,000 crore, reflecting rising demand for data storage, cloud services and AI-driven infrastructure.
The original Uttar Pradesh Data Centre Policy, notified in January 2021, was designed to attract private investment and build a strong foundation for modern data infrastructure in the state. At the time, the government set a relatively modest target of three data centre parks with an aggregate capacity of about 250 MW. According to state officials, this goal was met within the first year itself, prompting a reassessment of the policy’s scope and scale.
Building on that momentum, the revised roadmap significantly raises the bar. The new target of eight parks and 900 MW capacity is intended to position Uttar Pradesh at the centre of India’s rapidly expanding digital ecosystem, particularly as artificial intelligence, cloud computing and data-intensive public services gain traction. Officials say the expanded policy framework is aligned with the long-term growth of digital services and the increasing need for hyperscale infrastructure across sectors.
Progress on the ground has already been substantial. Investment proposals worth approximately ₹21,343 crore have been approved so far, covering six large data centre parks and two smaller units with capacities below 40 MW. Of these, seven projects are already operational as of January 2026, a pace of execution the state government says has “significantly” strengthened Uttar Pradesh’s digital capabilities and attractiveness to global and domestic operators.
A key pillar of the policy is a broad set of incentives aimed at lowering entry barriers and operational risks for developers. These include capital and interest subsidies, stamp duty waivers on land transactions, and assurances of uninterrupted power through dual-grid electricity supply. For the first eight data centre parks, the state bears the cost of one of the two power grids, whichever is lower, while the developer funds the other. The policy also relaxes norms related to land use and parking to facilitate large-scale developments.
Geographically, most major projects are concentrated around the Noida–Greater Noida region and along the Yamuna Expressway, areas that already benefit from proximity to Delhi-NCR, strong connectivity and an existing technology ecosystem. The state has also opened up additional land parcels in these zones, effectively laying the groundwork for a dedicated data centre corridor. Industry players associated with current or announced projects include the Hiranandani Group, Adani, NTT and Web Werks, as competition among Indian states intensifies to attract hyperscale and AI-focused investments.
While the government has not announced a fixed completion timeline for all eight parks, the policy, originally valid until 2026, allows investments and commercial operations within this period, with possible extensions decided by an empowered committee. The rapid completion of the initial 250 MW target and the steady rollout of new projects suggest that Uttar Pradesh’s data centre ambitions are moving from policy intent to tangible infrastructure at a brisk pace.
