Gujarat Deputy Chief Minister Harsh Sanghavi on 9 July 2025 declared that Dholera is on course to become the world's largest data centre city, speaking at the launch of the Viksit Gujarat – Data Centre Policy 2026-29 in Gandhinagar. The policy, unveiled by Chief Minister Bhupendra Patel, lays out a framework built around hyperscale digital infrastructure, renewable energy mandates, and streamlined investor facilitation.

Sanghavi's Dholera Vision

Addressing investors and technology companies at the policy launch, Sanghavi made a pointed declaration: 'I say this with great pride: if the world's highest-capacity data centre city is located in one city, it will be Dholera. Dholera is moving forward as the world's largest data centre city.' He said the greenfield city has already been equipped with the infrastructure needed to host hyperscale data centre projects at scale.

Sanghavi attributed Gujarat's growing appeal to policy stability, uninterrupted power supply, and long-term planning for water availability — factors he described as non-negotiable for data centre operators globally.

Green Energy and Water Mandates

Sustainability is embedded as a structural requirement in the new policy. Data centres operating under the Viksit Gujarat – Data Centre Policy 2026-29 will be mandated to source at least 51 per cent of their electricity from green energy. On water — a critical and often overlooked input for large-scale server cooling — Sanghavi was explicit: the state will not redirect freshwater from farms or existing industries. Instead, the policy specifically emphasises desalination and the conversion of seawater to meet data centre demand. 'We have specifically emphasised desalination and maximising the use of seawater by converting it into freshwater,' he said.

Investor Facilitation and GCC Ambitions

The state announced a dedicated facilitation mechanism for incoming investors. Each company choosing to set up in Dholera will be assigned a senior nodal officer to navigate approvals across government departments. A stakeholder consultation meeting, where investors will be shown available land parcels, is also planned in the near term.

Beyond data centres, Gujarat is positioning Dholera as a future base for Global Capability Centres (GCCs). 'As Dholera advances towards becoming the world's leading destination for data centres, the government is also working to ensure that Dholera becomes the headquarters for GCCs in the future,' Sanghavi said.

Infrastructure and Demand Outlook

Supporting connectivity is advancing alongside the industrial build-out. The Dholera Airport is nearing operationalisation, and a semi-high-speed rail link from Ahmedabad is in the pipeline. On capacity, the newly launched policy carries an initial ceiling of 7.5 GW — yet investor demand has reportedly already reached nearly twice that figure, with companies from India and overseas submitting expressions of interest to establish data centres across Gujarat.

This comes amid a broader national race to attract hyperscale and AI infrastructure investment, with states including Maharashtra, Telangana, and Tamil Nadu also courting global cloud and data centre players. Dholera's combination of greenfield land, planned connectivity, and now a dedicated policy framework gives Gujarat a structural edge — provided execution keeps pace with ambition.