HCL Skill Development Update
Class Room Training	:	526
On Job Training	:	377
Full Time Employees	:	364

HCL IT City Lucknow has been adjudged amongst the “Top 100 Projects in India” for the year 2016. A Jury of eminent experts and Skoch Secretariat have made this selection after going through a large number of nominations and presentations.

The Government of Uttar Pradesh has created a congenial environment for investors with the launch of progressive and sector focused policies like IT & Start-Up Policy. The policy specially focuses upon the development of IT industry in Tier-II & Tier-III cities of Uttar Pradesh including entire state.

Concept Note on IT City Lucknow

Introduction

The Government of Uttar Pradesh has created a congenial environment for investors with the launch of progressive and sector focused policies like IT Policy 2012 and IT & Start-Up Policy. The HCL IT City project is an outcome of fruition of Uttar Pradesh IT Policy, whereby several benefits have been conferred on HCL Technologies under the policy.

A 100 Acre IT City is being built in Lucknow on Public Private Partnership (PPP) model with country’s leading IT services company, HCL Technologies. The IT City is being developed on Chack Gajaria Farm at Sultanpur Road in Lucknow, Uttar Pradesh.
Government of Uttar Pradesh has appointed U.P. Electronics Corporation Limited, as the nodal agency for undertaking the development of IT City Project. The Authority had invited proposals by its Request for Proposal dated 22nd August, 2013 (the “Request for Proposal” or “RFP”) comprising of technical qualification and financial proposal for short listing of bidders inter-alia for designing, building, financing, operating, managing and maintaining the IT City and had shortlisted certain bidders including, inter alia, the Selected Bidder M/s. Vama Sundari Investments (Delhi) Private Limited (HCL’s group company).

Pursuant to evaluation of the bids, the Authority accepted the Proposal submitted by M/s. Vama Sundari Investments (Delhi) Private Limited and issued a Letter of Intent on dated 30th December, 2013. A concessionaire Agreement was signed between U.P. Electronics Corporation Limited, M/s. HCL IT City Lucknow Private Limited and M/s. Vama Sundari Investments (Delhi) Private Limited on 6 June 2014

IT City Project Overview

The project entails an envisaged investment worth INR1500 Crores. In the IT City, 60% of land is earmarked for core area activities in the field of IT/ITeS and 40 % land has been designated for non-core activities in the field of commercial, residential, healthcare, education and other services. It is expected that total employment generation of 75,000 will take place from HCL IT City, whereby 25,000 people would benefit from direct employment and 50,000 people would benefit from indirect employment.

HCL IT City is based on “Walk to Work” model whereby hostel, residential and office facilities would be available within one premise. A 10 acre Skill Development Centre (SDC) became operational in October 2016 within the HCL IT City. SDC is imparting training to youth in the state, equipping them with IT employability skills, which thereby would lead to gainful employment. The SDC would give training to 1000 students each year in the initial phase, which would be expanded to 5000 students each year in the later phase. Currently, approximately 1000 people are employed at IT City.

Phase I Development Activities

Design, finance, construct, develop, operate, manage and maintain Project Facilities in 100 acre of land on the Site.
Design, finance, construct, develop, operate, manage and maintain its own IT Unit in minimum 30 acre of land on the Site.
Design, finance, construct, develop, operate, manage and maintain, either by itself or through its sub-lessee, a Skill Development Centre in 10 acre of land on the Site
Provide minimum hostel accommodation to at least 200 (two hundred) students.
Ensure the minimum passing out of 1000 (one thousand) students from Skill Development Centre by the end of 5th (fifth) year from the Appointed Date

Phase II Development Activities

Design, finance, construct, develop, operate, manage and maintain, either by itself or through its sub-lessees, Project Infrastructure on the remaining land on the Site.
Finance, construct, develop, operate, manage and maintain either by itself or through its sub lessee, a Skill Development Centre as developed under Phase I Development Activities, expanding its total intake capacity to 5000 students in 10 acre of land on the Site within 2 (two) year from the date of commercial operations
Provide minimum hostel accommodation to at least 1000 (one thousand) students (including the capacity of hostel accommodation developed under Phase I Development Activities) within 2 (two) year from the date commercial operation

Project Facilities and Project Infrastructure (Milestones)

Internal roads of varying widths to accommodate the following facilities within the Right of Way
Safe drinking water supply, Water treatment plant and Water distribution system including pumping stations
Sewerage/Drainage collection system and Sewerage treatment plant
Solid waste management system
Power distribution system including back-up, sub-stations, electricity connections to the grid and street lighting
Gas and Petroleum Natural Gas Distribution Network including necessary sub- stations of appropriate capacity, pipeline network etc.
Telecommunication distribution system including optical fibre connectivity and other related services
Building heating systems / arrangements / Air Conditioning management & control
Water saving & rain water harvesting system
Fire hydrants and control measures
IT City Management System
Housekeeping facilities
Energy management
Safety & Security Systems Integration such as Fire Alarm System and Access Control & Surveillance System
Signage
Land development in the form of roads, pavements, fencing, walkways etc
Landscaping and maintenance of Green area

Incentives to IT City by Government of Uttar Pradesh under UP IT Policy/Concessionaire Agreement

Student Support Fees: The domicile studens of state, would get 50% aid from the State Government in tuition fees, subject to maximum of INR5000 per month per student for five years.
Grant on EPF for Employment generation: 100% reimbursement of the total EPF amount paid for IT/ITeS Professionals of Uttar Pradesh domicile with employment for continuous 1 year, after start of commercial operation, subject to the Maximum of INR 20 Lakhs per annum for 5 years for a unit.
Interest Subsidy: An interest subsidy of 5% per annum for a period of 7 years on the rate of interest paid on the loans obtained from Scheduled Banks/ Financial Institutions shall be reimbursed subject to a maximum of Rs. 1 crore per annum per unit
Exemption of Electricity Duty: 100% exemption on Electricity duty for new IT/ITeS units for a period of 5 years post commencement of commercial operations
Other incentives as applicable under IT Policy/Concessionaire Agreement

Project Monitoring Group for IT City

In order to assess the timely completion of the project, a high level group Project Monitoring Group was constituted for the review of HCL IT City every month under the chairmanship of Chief Secretary, Government of Uttar Pradesh. Along with discussing the progress and ensuring the compliance of milestones as per concessionaire agreement, the issues and grievances which deter HCL from achieving their objectives are taken up and redressed, in these meetings.