Reimagining Bengaluru
“Bengaluru should be like a planet where there will be satellite towns along with the best of connectivity with rail, road, hi-tech travel systems and easy mode of transportation for the passengers.” Karnataka Chief Minister Basavaraj Bommai was not just thinking aloud when he spoke about the idea of building-integrated cities around Bengaluru to accommodate the growing population and provide better amenities.
He walked the talk too – he went ahead and allocated Rs 8,409 crore for the ‘comprehensive development’ of Bengaluru in the state budget presented in March this year.
In fact, Bengaluru and its development have remained an area of focus for successive state governments. As India’s Silicon Valley, the city is one of the biggest contributors to the Union’s coffers.
However, its unplanned and rapid expansion – it boasts a population of 12 million-plus – has made life in the city increasingly difficult due to its treacherous roads, declining air and water quality, encroached and polluted lakes, rapid reduction in the green cover and what not.
All-round development
Not just Bengaluru, regions surrounding Bengaluru are also being developed to meet the growing demand across sectors, state government officials say. Take, for example, global industrial townships like the 70-acre Technology Innovation International Park (CDC Taiwan) which boasts grade-A infrastructure.
“Then there is Japan Industrial Area Township spread across 520 acres with 200 acres already allotted, 31 acres have been reserved for commercial activities, uninterrupted power supply,” says Bommai.
The state is also developing mega industrial parks. The Indospace Industrial & Logistics Park, coming up in Narasapura and Mindahalli, has excellent connectivity to Bangalore city. The Tumkur Machine Tool Park, another large project spread across 530 acres (with 115 acres already allotted) is India's first machine tool park built to international standards, says the CM.
Bommai maintains that Karnataka offers huge business opportunities for the construction industry as it is embarking on major infrastructure development including roads and flyovers, industrial infrastructure and power.
Then there are multiple sector-specific clusters being developed across the state. For instance, a toys cluster is coming up in Koppal; another one for consumer electronics and durable goods is being developed across 400 acres in Dharwad district attracting Rs 3,500 crore in investments.
A chemical SEZ is already there in Mangalore while a Pharma Park is coming up in Yadgir, some 200 km from Hyderabad in Telengana. Then the state is also developing an EV cluster in Ramanagara, around 50 km from Bengaluru.
Decongesting Bengaluru
There are several initiatives and projects the Karnataka government is undertaking to decongest Bengaluru. Recently, PM Narendra Modi laid the foundation for two projects including the Bengaluru Suburban Rail Project (BSRP) and Bengaluru Satellite Town Ring Road Project.
KRIDE or Rail Infrastructure Development Company (Karnataka), a joint venture between Karnataka and the Railway Board is implementing the 148-km suburban rail project. In the first phase, KRIDE has taken up the Baiyappanahalli-Chikkabanavara corridor for implementation. A deadline of six years has been fixed for completion of all the four corridors, Bommai informs.
The Bengaluru Satellite Town Ring Road Project (STTR) will be implemented by the National Highways Authority of India (NHAI) and will include a road from Hoskote to the Tamil Nadu border. The construction work from Dabaspet to Hoskote, a stretch of 87 km has already been taken up. The total length of the STTR project will be 280 km and it will connect important towns including Dobbspet, Doddaballapur, Devenahall, Hoskote, Anekal, Ramanagaram, and Magadi.
Mega MoUs
Going green is yet another motto for the Karnataka government. In the past 40 days, the state government has signed a number of mega MoUs. The first of these was signed with ReNew Power during Bommai’s trip to Davos, Switzerland.
ReNew Power intends to invest Rs 50,000 crore in sectors across wind, solar, hybrid power, battery storage and green hydrogen. More specifically, ReNew Power intends to set up production units in renewable energy, battery storage and green hydrogen over the next seven years in two phases. The project will create employment opportunities for about 30,000 people once two phases are complete.
The state government has signed a MoU with Gurugram-based ACME Cleantech Solutions whereby ACME Cleantech Solutions will invest Rs 52,000 crore for setting up a hydrogen and ammonia plant with associated solar power unit in Mangaluru. ACME Group has established the world’s first hydrogen-ammonia, solar plant in Bikaner, Rajasthan, which has already started production.
Commenting on these MoUs, CM Bommai said: "Karnataka is at the forefront of the renewable energy sector and the state government is formulating a green hydrogen policy. The state government would provide all the support and cooperation for speedy implementation of the project."
While in Davos, the state government also signed a MoU with the Lulu Group International, which seeks to invest Rs 2,000 crore in the state. The company intends to open four shopping malls and a hyper market. It is also keen to establish export-oriented food processing units in the state. The projects are expected to create employment opportunities for 10,000 people.
Bommai said his government’s new R&D and employment policies are aimed at making Karnataka the most attractive investment destination. The state will be host to a Global Investors’ Meet (to be held in Bengaluru in November) and the Bengaluru Tech Summit where big multi-national companies are expected to participate.
MNCs lining up
As per reports, a whole host of corporates have expressed interest in setting up offices, warehouses, and manufacturing units, among other projects. Siemens is taking up two projects in Bengaluru focusing on magnetic imaging and diagnostics and a health related R&D project. The state government has assured special incentives for the company to set up its production unit for modern medical equipment. Reportedly, discussions were also held on the ‘Beyond Bengaluru’ project to draw investments to Tumakuru, Hubballi-Dharwad and Mysuru cities.
Dassault Systems is keen to invest in electric vehicles, modern production systems, industrial training for students in specific projects in the state. FMCG major Nestle is said to be looking to expand its instant coffee unit in Nanjangud, while Bharti Enterprises Chairman and CEO Sunil Bharti Mittal has expressed interest in setting up a mega data centre in the state.
Ikea, meanwhile, has already opened its store in Bengaluru. The India head office of Ikea is in Bengaluru.
Strict deadlines
Many mega projects like the metro, outer ring road, flyovers and several other public works have led to huge challenges for the city residents and their 9.4 million vehicles that ply on poor quality roads. According to the Bruhat Bengaluru Mahanagara Palike (BBMP), the city’s civic body, Bengaluru has 13,847 km of arterial and sub-arterial roads, of which only 295 km are said to be in good condition and another 246 km have been ridden of potholes.
Taking note of the rising traffic congestion in Bengaluru, Bommai recently asked officials to decongest 10 prominent bottlenecks, including the Hebbal flyover and the Silk Board Junction. The instructions were given at a meeting on Bengaluru traffic management that Bommai chaired with officials of the BBMP, the BWSSB, the Urban Development Department and the police. Some of the other key traffic bottlenecks are Mahadevapura Outer Ring Road, Whitefield Road, St John’s Hospital Junction and Bhattahalli. The measures would include the synchronisation of traffic signals and removing hindrances, an official statement said.
Once all major infrastructure projects are executed as per plans, the state will see more revenue generation. The gross state domestic product of Karnataka for 2021-22 (at current prices) is projected to be Rs 17.02 lakh crore. Even though it is 5.6 per cent lower than the revised GSDP estimate for 2020-21, the completion of infrastructure projects coupled with the setting up of plants, data and R&D centres will only help the state exchequer swell.
