SPOTLIGHT ON INDIAN ELECTRONICS Spotlight on Indian Electronics | Page 114

Government of Andhra Pradesh has recently developed a

entrepreneurship is highly suited to take advantage of the

blueprint“ Re-Imagining Andhra Pradesh – role of e-

opportunities offered by the Electronics sector.

Governance, Electronics and IT” for development of

The Vision envisaged for the Andhra Pradesh Electronics

Electronics & ICT Industry in the State. It has laid out a vision

Policy 2014-2020 is:

to:

“ To develop Electronics Industry as an important Growth

“ Develop Andhra Pradesh as an Innovation Society of global

Engine for Andhra Pradesh through effective use of the talent

repute, with a focus on enhancing the Quality of Life of its

pool, skill enhancement, promotion of innovation & future

citizens, through high-quality Education and Healthcare,

technologies and creation of excellent infrastructure.”

increased productivity in Agriculture and allied activities, creation of Employment by promoting Electronics and IT, and above all, by providing Good Governance.”

The Policy aims to attract investments to the tune of USD 5

Bil in ESDM sector and create an employment of 0.4 mil by

2020.

The blueprint has identified a set of 18 policies and frameworks to realize the vision. The Electronics Policy laid down in this document is one among them. Andhra Pradesh with its huge talent pool, skilled manpower and

Government of Andhra Pradesh intends to achieve its vision, objectives and goals set forth above, through a combination of the following strategies.

Given the comprehensive and holistic nature of the National

1.2

Target investment of Rs 30,000 cr under M-SIPS:

Policy on Electronics 2012, the Government of Andhra Pradesh

Government would make all efforts to attract

intends to fully leverage the same and build upon its strengths,

investments to the tune of Rs 30,000 cr( USD 5 Bil) and

as state below.

facilitate the units to get the 25 % CapEx subsidy under

1.1

Electronics Manufacturing Clusters( EMCs): The EMC

the M-SIPS scheme of GOI.

Scheme intends to create infrastructure highly suited to

1.3

Preferential Market Access: The policy of GOI on

Electronics Units at a subsidy of 50 %. The Government

preferential market access for domestically

of Andhra Pradesh proposes to promote the

manufactured electronics products shall be

development of 20 EMCs across the State, by

implemented in all departments procuring electronics in

facilitating the preparation of project proposals by the

large quantities. Additional preference shall be given to

entrepreneurs, and providing single-window clearances.

AP-based domestic manufacturers.

2.1

Mega Electronics Hub: Government of Andhra Pradesh

shall be with the selected partner. The Government shall

envisages developing Information Technology and Investment

provide such promotional support as needed.

Region( ITIR) in Visakhapatnam. In the ITIR, the Government

c.

Appropriate relaxations will be provided from the

would reserve two clusters / areas to be solely developed as

zoning regulations and land usage conversions, subject to

Electronics Hubs. Visakhapatnam is proposed to be developed

environmental safeguards.

as Mega Electronics Hub for the state.

d.

Relaxation to AP Building Rules would be considered,

2.2

Electronic Hardware Park( s): The state Government will

subject to the payment of City Level Infrastructure Impact Fee

facilitate the setting up of the Electronic Hardware Park in

and clearances from Fire Services, Airport Authority and

Kakinada as announced by the GOI. The park would have

conformance to the National Building Code and statutory

‘ State-of-the-art’ infrastructure with all basic amenities such

regulations.

as internal Roads, water, power and other common facilities

2.6

Renewable Energy: The State Government will encourage

for the investors.

units using renewable energy. Units using renewable source of

2.3

Common Facilities Centre: Common Facilities Centres would

energy with a minimum of 40 % of their power requirements

be created in all identified Electronics Hubs.

coming from renewable sources for their operations and

2.4

Visakhapatnam-Chennai corridor: Fast movement of inputs,

manufacturing will be eligible for additional incentives such as

components and finished products is essential for cost-

Electricity Duty exemption for 5 years. Sales tax exemption for

effectiveness in the ESDM sector, which otherwise operates on

two additional years shall be available against the Carbon

thin margins. Steps would be taken to enhance the logistics on

Credits earned on a year-on-year basis.

the Visakhapatnam-Chennai Corridor.

2.7

Other Critical Infrastructure:

2.5

PPP for creation of Electronics Hardware Infrastructure: The

a. Air Connectivity: The process of expansion and

facilities, in the form of electronics hubs, hardware Parks and

modernization of the airports at Visakhapatnam and Tirupati

electronics Zones, shall be developed adopting a transparent

are afoot. The Government shall take speedy and effective

PPP policy. The following principles will form part of such a

steps to develop other airports in the state to cater to the

policy:

needs of the industry.

a.

For each project, APIIC shall select a partner, who can

b.

Assured Power: Andhra Pradesh has recently been

be a developer or a consortium of developers and the industry

selected as a pilot State to implement the scheme of 24x7

players, through a bidding process involving QCBS method.

power supply. Within a span of 5 years, the Government

b.

The responsibility of marketing the facilities created

intends to make the State power surplus. As an interim