The Hindu : Front Page : `Go ahead' for talks on Smart City

Online edition of India's National Newspaper
Monday, Jul 24, 2006

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`Go ahead' for talks on Smart City

P. Venugopal

Achuthanandan's initiative comes after DIC officials contacted him directly

THIRUVANANTHAPURAM: Chief Minister V.S. Achuthanandan has ordered the `go ahead' for further official level discussions with Dubai Internet City (DIC) for setting up the Smart City project at Kakkanad in Kochi.

The discussions will be on the terms the Left Democratic Front (LDF) Government had offered before the Kerala High Court last month, a top Government official told The Hindu.

The official said that the DIC authorities had directly contacted the Chief Minister to express their willingness to restart negotiations. He has authorised his Principal Secretary Sheela Thomas and new Information Technology Secretary P.G. Tenzing to represent the State at the discussions. The DIC authorities will be here on August 3 and 4.

The project, thought almost abandoned when the Achuthanandan Government came to power, had symbolised the concept of `development' as perceived by the previous Oommen Chandy regime in the State.

During the campaign for the Assembly elections in March-April this year, a key issue debated was whether the development philosophy mooted by the then Leader of the Opposition Achuthanandan and the LDF would allow such a project to come up in the State.

Conditions dropped

Mr. Achuthanandan had then alleged that several conditions conceded to the DIC by the then United Democratic Front Government during preliminary negotiations were against the interests of the State. The LDF Government had dropped such conditions from the picture when it clarified to the High Court the terms under which it was willing to negotiate with the DIC.

New terms

According to the new terms, the Government will retain the Infopark premises at Kakkanad, which the DIC had wanted as part of the Smart City. Further, the Government will realise land value from the promoters of the project at the prevailing market rates or the rates applicable to any other company in the IT sector.

The Government is also willing to allow the promoters to use a part of the previously agreed to commercial area in the Smart City for building housing facilities/ quarters for IT professionals who work there.

However, the previous clause that there should be no other Government-supported IT park in Kochi in future, considered most objectionable by Mr. Achuthanandan, has been dropped.

"We do not want to give the DIC or any other company exclusivity in any region in the State. That will definitely undermine IT development," the official said.

Several new companies too are in the fray for winning this project in Kochi and the Government is exploring all options, the official said.

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