Business Daily from THE HINDU group of publications
Monday, Aug 07, 2006
Business Daily from THE HINDU group of publications Monday, Aug 07, 2006 |
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Info-Tech
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Infrastructure Columns - Random Walk States - Kerala A smart revival? K.G. Kumar
Like Phoenix, the mythical sacred firebird from ancient Egyptian mythology, the Smart City information technology (IT) project seems to have risen from the ashes it was almost reduced to with the change of government in Kerala a few months ago. Last week, the Left Democratic Front Government, led by Chief Minister V.S. Achuthanandan, held official-level talks with the Dubai Internet City (DIC) to discuss the possibility of setting up the project at Kakkanad in Kochi. Contrast this open-minded attitude with the vehement opposition to the project that the Leader of the Opposition had displayed during the previous regime, when the United Democratic Front Government had attempted to negotiate the deal with DIC. The DIC was accused of being "mere real estate agents" and characterised the terms of the proposed agreement as being potentially detrimental to Kerala's interests. Given the continuing factional feuds within the ruling coalition, there seemed little chance of the Smart City project coming up on the agenda of the LDF in a hurry. Yet, it did. The fact that talks for the project have been revived is a clear pointer to the inevitability of strong State action to push forward industrial growth in Kerala - which, given the near-paralysis of the manufacturing sector, can only mean the IT business. Thus it was heartening to hear Fareed Abdul Rehman, Executive Director of DIC, who led the team from Dubai, express hopes for the future of a project that has come to signify one important route for job creation in Kerala. This time round, though, the discussions between the State Government and the DIC authorities are likely to be more drawn-out, but with little acrimony. The Chief Minister has announced that a more detailed report on the terms of the deal will be put out in two weeks or so, and the deal itself is likely to be signed in a month. Such a clear timeframe would seem to suggest that much of the basis for the main differences on the deal - essentially relating to the transfer and valuation of real estate, particularly those belonging to the existing Infopark at Kakkanad - have been sorted out, at least in principle. It now appears likely that the State Government will retain control over Infopark and, further, DIC will not be given exclusive rights to develop IT infrastructure in the Kochi area, as promised by the previous UDF Government. Talking to mediapersons after visiting Infopark soon after the initial meeting with the DIC team, Chief Minister Achuthanandan said that there was no question of handing over Infopark to any agency or business group as part of implementing any project. He added that 25,000 job opportunities would be generated at Infopark during fiscal 2007-08. He also clarified that all projects, including the Smart City project, will be implemented along the lines of the project that led to the creation of the Cochin International Airport Limited at Nedumbassery, under Government control. Whatever be the modalities of bringing Smart City into fruition, these are early days yet for the project. The writer can be contacted at kgkumar@gmail.com
More Stories on : Infrastructure | Random Walk | Kerala
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