Odisha’s Rs 1.43 Lakh Crore Data Centre Bet: Four Projects Signal a New AI Infrastructure Hub

Futuristic data centre campus with power infrastructure, transmission lines and digital network connections representing Odisha's AI infrastructure push.
A futuristic data centre campus represents Odisha's emerging ambition to build a major AI and digital infrastructure hub.

Odisha is making a massive push into digital infrastructure, with the state government approving four data centre and AI related projects involving a combined proposed investment of around Rs 1,42,941 crore.

The projects were cleared at the 46th meeting of the High-Level Clearance Authority (HLCA) on September 23, where 27 projects with a cumulative investment of Rs 2,47,115.70 crore were approved across 15 districts. The projects have a potential to generate 50,162 jobs.

The scale of the data centre investments is notable. The four projects together represent the largest investment segment among the projects approved at the meeting, accounting for more than half of the total proposed investment.

Four projects drive Odisha’s data centre push

The biggest project is being proposed by High Density Datacentre Limited, which plans to establish an integrated data centre park in Khordha with an investment of Rs 1,04,550 crore. The project has a potential employment generation of 1,000.

The second major project is from Sentraforge AI Ltd, which plans to establish an AI data centre along with a Global Capability Centre (GCC) in Puri. The project involves an investment of Rs 22,634 crore and has a potential to generate 2,320 jobs.

HCL Technologies is also entering the state’s expanding digital infrastructure pipeline with an AI-optimised data centre in Khordha, involving an investment of Rs 14,257 crore. The project has a potential employment generation of 385.

The fourth project, by RKD Construction Private Limited, involves a Rs 1,500 crore data centre facility in Katak, with a potential to generate 220 jobs.

Odisha’s four data centre projects

CompanyProjectInvestmentPotential jobs
High Density Datacentre LtdIntegrated Data Centre ParkRs 1,04,550 crore1,000
Sentraforge AI LtdAI Data Centre + GCCRs 22,634 crore2,320
HCL TechnologiesAI Optimised Data CentreRs 14,257 crore385
RKD ConstructionData CentreRs 1,500 crore220
TotalRs 1,42,941 crore3,925

Source: Odisha government’s 46th HLCA release. Investment figures represent proposed project investments and employment figures are potential employment.

The power connection could be equally important

The data centre announcements come alongside a much larger investment push in Odisha’s power infrastructure.

The HLCA approved four power and renewable energy projects involving Rs 54,287.70 crore, with a potential employment generation of 5,300. These include two thermal power projects by NLC India and two pumped-storage hydro projects.

NLC India has received approval for a 3,200 MW thermal power plant in Debagada, involving an investment of Rs 34,763.51 crore. It will also establish a 1,080 MW thermal power plant in Anugola, involving another Rs 11,604.19 crore.

Two pumped-storage hydro projects have also been approved: a 600 MW project in Rayagada with an investment of Rs 4,020 crore and a 750 MW project in Koraput involving Rs 3,900 crore.

The simultaneous push in data centres and power infrastructure gives Odisha’s investment pipeline a broader digital-infrastructure dimension, although the government document does not explicitly state that the power projects are intended to supply these data centres.

From data centres to semiconductors

Odisha’s latest investment approvals are not restricted to data centres.

The state has also approved a Rs 2,078 crore semiconductor manufacturing facility by SICSEM Pvt Ltd for silicon carbide wafers and gallium nitride. The project has a potential employment generation of 1,200.

Another project by Aare Solar involves a 10 GWh advanced LFP Battery Energy Storage System assembly plant in Nuapada, with an investment of Rs 1,050 crore.

Larsen & Toubro has also received approval for a Rs 5,000 crore green energy equipment manufacturing unit in Ganjam.

Together, these projects point to a broader technology and energy manufacturing ecosystem emerging alongside Odisha’s data centre investments.

GCCs add another layer to the AI story

The Sentraforge project is particularly notable because it combines an AI data centre with a Global Capability Centre.

The Rs 22,634 crore project in Puri is expected to have potential employment generation of 2,320.

This brings together two parts of India’s technology economy: computing infrastructure and technology-enabled services.

The government’s release describes the four IT, ITES and data centre projects as a significant expansion of Odisha’s digital infrastructure ecosystem, covering data centres, artificial intelligence, GCCs and technology-enabled services.

Khordha emerges as a key technology cluster

Khordha is at the centre of the latest data centre push.

High Density Datacentre’s Rs 1,04,550 crore integrated data centre park and HCL Technologies’ Rs 14,257 crore AI-optimised data centre are both planned in Khordha. The district is also home to several of the state’s newly approved lab-grown diamond projects and the SICSEM semiconductor facility.

This concentration could give Khordha an increasingly important role in Odisha’s technology and advanced manufacturing investment pipeline.

A Rs 2.47 lakh crore investment pipeline

The data centre push forms part of a much larger investment programme cleared by the HLCA.

Of the Rs 2,47,115.70 crore approved across 27 projects, data centres, ITES and AI account for Rs 1,42,941 crore. Power and renewable energy account for another Rs 54,287.70 crore, while steel and downstream projects account for Rs 14,000 crore. Lab-grown diamonds account for Rs 10,680 crore and green energy equipment for Rs 6,050 crore.

The approvals span 15 districts, covering sectors ranging from data centres, AI and semiconductors to steel, green hydrogen, healthcare, chemicals, textiles, shipbuilding and advanced manufacturing.

For Odisha, the significance of the latest clearance round therefore goes beyond a single set of data centre projects. The investment pipeline brings together digital infrastructure, computing, energy, semiconductors, storage and advanced manufacturing.

Whether all the proposed investments translate into operational capacity will depend on subsequent project execution. But the size and composition of the approvals mark a significant expansion of Odisha’s proposed digital infrastructure pipeline.

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