KADAVANTHRA PROJECT SCOPE & STRUCTURE

BACKGROUND
Ernakulam district is one of the most developed districts of Kerala. Formed by the two princely states of Travancore and Cochin and the British Malabar, Ernakulam is blessed with a wonderful culture and grandeur. Kochi or Cochin, the commercial hub of Kerala, is a town of great historical importance. It has a fine natural harbour around which the city has grown. Since historic times, Kochi has been a famous trading port between India and the rest of the world. Attracted by trade and its liberal laws, many foreigners have made this their home. After the fall of Jerusalem, Jewish refugees also sought sanctuary in this lush trading post.
Being the commercial hub of Kerala, all the major developments in the fields of industry, transportation and IT happen here. The tourist places and pilgrim centers here completes its uniqueness.Ernakulam district is bestowed with all the geographical factors which help the development of industry and it is in the forefront of all other Districts in Kerala in the field of industry. The availability of all types of transport facilities viz., road, rail, canal, sea, air is a factor which is unique to this district.
Some of the major industrial firms in the district are the Fertilizers and Chemicals Travancore, Indian Rare Earths, Hindustan Machine Tools, Apollo Tyres, Forest Industries of Travancore, Travancore Cochin Chemicals, Cominco Binani Zinc, Cochin Shipyard, Cochin Refineries. Availability of electricity, fresh water, fairly long coast line, good banking facility, proximity to Kochi Port, International airport at Nedumbassery are some of the features which accelerated the industrial growth in the District. In addition to this processing zone is situated at Kakkanad. The Brahmapuram Diesel plant and Pathalam Naphtha plant are in the District.  29037 small scale industrial units are functioning in this district.
Government of Kerala is putting all efforts to accelerate the pace of the implementation of the various international Projects such as Vallarpadom Transshipment Projects, LNG Terminal Project and the Smart City. The prestigious Info Park  project and smart city……….. All this Project shall completed before 2010. Therefore with in a short span of time the potential scope for the commercial complexes are accelerated.
To meet this demand, besides Govt. of Kerala (GOK) initiatives, Kerala SIDCO Ltd as a part of it’s on going programmes for promotion and development of Industry and Commerce, has taken up step to construct a commercial complex under Public Private Partnership (PPP) mode. One such proposal is setting up of Construction of Commercial Complex Project on Build Operate and Transfer (B.O.T) basis, at Kadavanthara, Ernakulam the Commercial Hub City of Kerala.


Kadavanthra Project Concept/Objective

The project, “Construction of a multi storied commercial complex” aims to bring together its occupancies from different areas of business operations.

The Project is intended to be operated on the commercial format of Build, Operate and Transfer (B.O.T) basis.  The prospective investor selected through open competitive bidding shall be provided the entire land on long term B.O.T basis at the quoted price under competitive bidding. The total cost of the Project is likely to be between Rs. 175 to 185 Crores (approximately 6.7 Lakhs sq.feet of built up area and construction of other common facilities.). The Bidders may develop their own concept conforming to the components of the Project and other appropriate commercial development components, investment, implementation as detailed in this RFP documents for the project site. The bidders shall draw up their estimates of the total project cost, which conforms to the minimum investment required specified above.
Project Site
Kerala SIDCO Ltd has earmarked about 5.13 acres of land at Kadavanthara, near GCDA complex, at Kanayannoor Taluk, Elamkulam village(Survey Nos: 340/1,2,375,379,380/1,2) Ernakulam which shall be provided to the Project company (SPV) on lease basis for development and construction of a multi stories commercial complex under PPP mode. The proposed land is located in Kadavanthara near to Info Park, smart city, and the Vallarpadam transshipment Project and is within the city limits.   The site plan is annexed. The total estimated project cost is worked out to Rs. 175 crores to 185 crores including the cost of the Land.

PROJECT STRUCTURE

The project is envisaged to be developed under the Build – Operate – Transfer (B.O.T) structure wherein SIDCO would provide the project site for the development of the specified facilities on B.O.T basis for a period of not exceeding 32 years (Including Construction Period). The project site will be handed over to the successful bidder on lease basis, for execution of the Project. The relationship between SIDCO and the successful bidder are set in the principles of agreement given along with this RFP document, which will be reflected in the B.O.T Concessionaire agreement(Lease agreement and  Development & Management agreement ) be executed between SIDCO with  the Project Company. At the end of the B.O.T period, the land as well as immovable structure created by the developers would revert back to SIDCO free of cost and free of all encumbrances. The area to be constructed in the proposed lease hold land is about 6,70,000 sq feet.


PROJECT COMPANY – SPECIAL PURPOSE VEHICLE (SPV)

The Successful Bidder on award of the Project contract along with SIDCO shall form a project company SPV (A company registered under the Indian companies Act 1956) for the Setting up of the Project, Construction of the commercial complex. The equity participation in the proposed Company equal to 26% by SIDCO and 74% by the Successful Bidder. The equity holding of the bidder in SPV shall not be less than 74%. The Managing Director of the SIDCO shall be the Chairman of the SPV and the nominee of the Successful Bidder will be the MD/CEO of the SPV. SIDCO may have at least two more Directors on the board of the SPV.

The share of Equity of Kerala SIDCO Ltd in the of SPV is 26%. This shall be calculated as under. Shares in the SPV Shall be issued for consideration other than cash equal to 26% of the amortized value of the lease rental.

1.    Amortized value of the lease rental @ 10% of the land value and escalate @ 10%  every 10th year
2.    land value is 13.5 Crores per acre
3.    If the SIDCO equity of 26% is less than the amortized lease rental, SIDCO will put cash equity else the Bidder will pay to Kerala SIDCO Ltd upfront lease rental surplus of 26% equity. The amount payable upfront shall be included in the finance proposal.

During the period of Lease, it is expected that the Successful Bidder is entirely responsible for
    The implementation of the project as per the selected bidder’s RFP submissions and as per the Detailed Project Report (DPR) approved by SIDCO and as per good Industry practices.
    The development of the entire concept including the landscaping etc. as set forth in the designs as part of the DPR approved by SIDCO
    The maintenance of the project, including the hygiene standards, cleanliness, effluent treatment, proper disposal of sewage and solid waste during the entire period of the lease.
    The upkeep of safety and quality standards of all facilities of the project during the entire period of the Lease.
    The payment of all amounts under the Development & Management and Lease Agreement to SIDCO

The successful Bidder would be allowed to sub contract/ franchise out functions of operations/ maintenance/ management for the purpose of running and management of the project with such agency as it may deem fit.  In the event the successful bidders enter into any sub-contract/franchise agreement with any agency for running and management of the said project, a copy of the agreement must be submitted to SIDCO for its approval.  The sub-contract/franchise agreements shall not be in any way detriment to the agreements entered between the selected bidder and SIDCO.  However the Project Company would at all times be responsible for discharging all obligations under the B.O.T Concessionaire agreement (Lease agreement and Development & Management agreement) to SIDCO without any reference to any other party operating in the premises.  

Implementing agency
Kerala Small Industries Development Corporation Ltd., (SIDCO) a Government of Kerala Undertaking would be the implementing agency for the entire proposed Project.

Conformation to standards
The successful Bidders shall at all times during the currency of the Agreement undertake to conform to and comply with the following.
    Project Concept Design and Layout as approved by SIDCO
    Environmental  Standards, effluent treatment  and pollution Control norms as laid down by Central/State Pollution  Control Board
    Standards/Restrictions as laid down by the relevant Central/State/Local Authority (i.e.) Greater Cochin Development Authority Corporation of Ernakulam.
    Energy efficient techniques should be utilized in the building design and operation.
    Rainwater management systems should be adopted to recharge ground water and reduce run-off.
    Existing local development controls, if any, will be binding if they are more limiting than the Project Specifications.

SUPPORT OF SIDCO TO THE PROJECT.

SIDCO will provide reasonable assistance to the Successful Bidder in obtaining clearances and approvals for the Project.


COMMITMENT TO A FAIR AND TRANSPARENT PROCESS.

SIDCO is keen to ensure that the process leading to the selection of the Successful Bidders is fair, transparent, efficient, interactive, and protects the confidentiality of the information shared by Bidders with it.  The selection process has been designed keeping these objectives in mind, and SIDCO shall take all steps to ensure that the above objectives are realized.

The Telecom City


Objective:

Kerala Small Industries Development Corporation Limited (SIDCO) a pioneer in Telecom Industry and Technology intends to establish a Telecom City in Thiruvananthapuram with the technical support of Indian Telephone Industries, Bangalore, a Central Public Sector Organization.


NEED FOR A TELECOM CITY IN KERALA


THE TELECOM CITY - Let us make Kerala the starting point

Other States in India has probably, overtaken Kerala in so far as IT Parks or Techno parks are concerned.   There is a strong case for our Kerala State to mark the beginning in so far as a Telecom City is concerned.

    A trend setting by the Kerala state in the Telecommunication industry.
    Making Kerala state as an Investor friendly destination
    Making Kerala as a leading state in Telecommunication technology.
    Creating  very good quality employment  opportunities
    Creating very good hi-tech training facilities to the up coming student community









Background

TELECOM GROWTH POTENTIAL – GLOBAL
The three key growth drivers in the Telecoms are,
(1) The Telecom Networks and the Network Management,
(2) The OSS (Operational Support System) and
(3) The BSS (Business Support System).   Let us just take the BSS market as an example.  The BSS market has been picking up rapidly over the last 2 years and the forecasts are very positive for the coming 10 years.
The marketing landscape for the telecom industry is significantly changing, forcing fixed network service operators to refine their approach to compete in what is becoming, a more aggressive market place. In the new telecom landscape, competition is fierce, technologies advance at unprecedented speed, and regulations devolve overnight, customers are more assertive in their demands and loyalties shift swiftly. There is now a profusion of new telecom operators competing with greater innovation in product and service offerings.
In the emerging market, challenges and opportunities abound. There has never been a greater need for innovative IT systems based on standardized technology, designed for flexibility and rapid implementation.
In this scenario, the only certainty is CHANGE. Faced with these new challenges, telecom companies need World Class Business & Operational Support Systems that provide sustainable result with a positive impact on productivity, processes and profitability.
On the near horizon, all telecommunication products and services will converge. Customer Care and Billing System, convergent in nature, will be the key business application for telecom operators, as these applications generate the revenue for the business and provide customer retention solutions.  


Market Needs






Market Trends
The bulk of BSS revenue will come from traditional wire line and wireless voice services, mainly from large consolidation and outsourcing projects and, beyond 2005, from an uptake in systems replacements. By 2007, software and services that support wire line and wireless voice are predicted to generate over $800 million in revenue for BSS vendors. IP-based next-generation solutions are expected to grow at about 7.5 percent annually to reach about $700 million by 2007.
We should be able to attract several of the American, European and Indian BSS software, hardware and technology Companies to take up positions in the Kerala Telecom City.  Similarly, OSS companies, Network Operators, Network Management Companies, Network and Switch Manufacturers and a whole host of VAS providers.
Industry Analysis






The Indian telecom service sector is one of the fastest growing telecom markets in the world.  The rising disposable income, low tariffs together have facilitated rapid growth in the subscriber base for telecom service sector.  Nevertheless, India still remains one of the lowest penetrated markets, and given the string of favourable and sustainable economic growth, largely driven by domestic consumption, India remains one of the most attractive telecom markets in the world.

India witnessed the highest monthly growth in the wireless telephony segment in the month of November 2006.  According to TRAI, the wireless segment added 6.8million subscribers during the month - the highest growth in any single calendar month reaching a total wireless subscriber base of 143.02million. The GSM market in India - world's third biggest market after China & Russia - is witnessing a lot of action.

Indian companies in Telecom sectors, backed by work experience with several world-class and size projects in India, are now in a unique position to offer some of the appropriate technologies, methodologies and services for similar projects in friendly/neighbouring countries. A rapid expansion of Telecom network has unlocked the potential of Business Process Outsourcing (BPO) services.

However, virtual lack of indigenous manufacturing of telecom equipments in our country is still creating problems. From April this year, the duties on telecom equipment are expected to be Zero, in spite of which Indian companies are not in a position to take advantage.

The proposed Telecom City is envisaged with a view to give a thrust to the Telecom equipment manufacturers, software developers and allied service providers, by creating a dedicated Technology Park & Export Zone.



Indian Telecom Sector


Since ‘competition drives growth’, Indian Telecom sector is on the verge of a major expansion explosion. The year 2005 saw mobile telephony growing to 51.35 percent, overtaking fixed line business and fueling telecom industry growth to 120 million subscribers. The Tele-density has now reached 11% from mere 2% in the year 1997-98.

Next milestone for this sector is to cross the 250-million telephone mark by 2007, along with reaching a Tele-density of 22 percent. All numbers point to an exceptional demand and growth in the region.

Broadband connections in the country have crossed the .75 million mark as against a target of 3 million. The sector aims at a rapid growth of Internet and Broadband, with 10 million broadband and 20 million Internet connections by 2007.

The mobile entertainment market in India was expected to grow by almost 70% to touch around Rs. 60000 million by December 2006 to garner 1.5% of the overall mobile revenue.


The Indian Economy

Being one of the world’s fastest developing economies, the Indian economy is expected to be amongst the top three within the next 25-30 years, along with USA and China ; from good it gets better and perhaps, best ever ….


•    Over 7% GCP growth for 4 consecutive years
•    20% rise in exports for three years in a row
•    40% increase in investments
•    53% growth in mobile phones makes India 2nd largest in the global market
•    In year 2006-2007 the GDP is expected to grow by 8% and more. With further streamlining of policy initiatives this could be in double digit within next two years


Foreign Direct Investment (FDI)

India is seen as a major investment destination in the world and particularly in Asia. The current investment climate in India is conducive, as the FDI cap has been raised from 49 percent to 74 percent. FDI in the Telecom sector till date has been of the order of only US $7.5 billion with current estimates of an additional investment of about Rs. 1600 billion.

Market Forces in the region

Dramatic pace of growth in India is creating opportunities for operators to increase capacity, roll out new infrastructure and develop highly competitive services and applications in order to win consumers and boost up bottom line profit
Handsets are getting cheaper, network bandwidth is increasing, platforms and software are improving and slowly people are becoming quality conscious. Operators are keen to develop their networks, both in circles and nationwide. Manufacturers are seeking to assist the operators to develop and enhance networks in order to provide affordable and efficient telecommunications to all. All this shows that the industry is moving in the right direction.

Virtual lack of indigenous manufacturing of telecom equipments in the country, is still creating problems. From April 2007 the duties on telecom equipment are expected to be Zero, in spite of which Indian companies are not in a position to take advantage.

Some Estimated Expansion & Investments planned for year 2006-2007


•    BSNL has earmarked Rs. 200 billion for adding 60 million GSM lines. There are also plans to introduce 3G services.
•    MTNL has earmarked Rs. 18.67 billion, of which Rs. 8.66 billion is allocated for Mumbai, 2.87 billion will be invested in switching equipment, Rs. 2.14 billion in transmission media, Rs. 1.36 billion in CDMA and Rs. 640 million GSM facilities in Mumbai and Delhi Circles.
•    Bharti Tele Ventures Limited has plans to invest Rs. 15 billion to expand its broadband and other telecom services. Between 8 billion and Rs. 9 billion will be spent on providing such services in new circles while the rest will be spent on network upgradation.
•    Hutchison Essar Limited plans to step up investments in West Bengal (excluding Kolkata circle) where it has earmarked Rs. 4 billion
•    Reliance Infocomm Limited plans to reach 400,000 villages. This expansion involves 8,500 base transceiver station towers and will cover 91% of the national highway network and 85% of the rail routes.










THE TELECOM CITY


Let us make Kerala the starting point

Other States has, probably, overtaken us in so far as IT Park or Techno parks are concerned.   There is a strong case for our State to mark the beginning in so far as a Telecom City is concerned.

As many of us would know, Kerala State's total tele-density is now 28 per 100 population, the highest in the country.  You will be surprised to note that the BSNL management expects this tele-density to touch a whopping 40 per 100 population in another two years.

Thanks to our literacy rates; Tele-friendly Keralites have ensured a sharp growth in telephone connections in Kerala with BSNL turning the key beneficiary.  According to the latest statistics, Kerala has emerged the top state in the country in terms of total BSNL connections, both land connections and mobile combined, which now stands at 56 lakhs.  In landlines, Kerala with 38.5 lakh connections was second only to Maharashtra with 39.5 lakh connections, and in BSNL mobile connections, Kerala with 17.5 lakh connections stood second to UP which has 20 lakh connections.  But Kerala's combined BSNL connections totalling 56 lakh is the highest in any state in the country.  We still have a wait list of 2.52 lakh with BSNL at the end of September, the highest in the country.













The Project :


Kerala Small Industries Development Corporation Ltd (SIDCO) and Indian Telephone Industries, Bangalore (ITI) have joined hands with a view to work together to set up this Telecom City in Kerala the later with its technical support. Kerala State's total tele-density is now 28 per 100 population, the highest in the country (national average is 11%)which is expected to touch a whopping 40 per 100 population in another two years, providing the right environment to become the Telecom hub.

We could make Kerala Telecomm City as the TELECOM DESTINATION INDIA

Virtual lack of indigenous manufacturing of telecom equipments in our country, is still creating problems. From April next year, the duties on telecom equipment are expected to be Zero, in spite of which Indian companies are not in a position to take advantage.

Indian “Telecom” market is 5th largest in the world and 2nd largest among the emerging economies of Asia.

A rapid expansion of Telecom network has unlocked the potential of Business Process Outsourcing (BPO) services. India is among the worlds leading providers of Business Process services.

Indian companies in Telecom sectors, backed by work experience with several world-class and size projects in India, are now in a unique position to offer some of the appropriate technologies, methodologies and services for similar projects in friendly/neighbouring countries.

The Telecom Park/City is to be developed in Public Private Partnership. The total cost of this project is likely to be Rs 400 crores approximately (assuming approximately 4 Million  sqft of built up area and construction of other common facilities such as internal roads, street lights, ETP, green patches etc.). Some area may also need to be developed as IT Habitat for further use by independent IT units (on lease basis) in the field of hardware, software, ITES and BPO. Similarly, some area may also be earmarked for ‘anchor companies’. The projected requirement of built up area may vary, if the feasibility study shows that the number of IT professionals to be accommodated in the IT Park is different from the projection of about 40,000 persons. It is also proposed that some of the IT professionals coming from far off distances may actually need to live in the same area. Therefore, some kind of residential accommodation will also need to be created in this area.

An investor can also set up a SEZ specifically for IT related activities.

The Kerala SIDCO along with the State Government will provide land. If deemed necessary, it may also meet part of the capital cost pertaining to core infrastructure including intermediate lane road up to the IT Park Site (wherever needed), water supply for IT Park up to a point and bulk supply of electricity. The private investor shall contribute for remaining capital / recurring cost and also make capital investment for infrastructure development in the IT Park-cum-City.

The Project proposed to be operated on commercial format of Build, Operate and Transfer basis (BOT). The Private Investor (selected through open competitive bidding) shall be provided the entire land on long term lease basis at the quoted price under competitive bidding. The Private Investor shall make immediate and annual payments to the SITEG in lieu of the land and other infrastructural facilities provided to it. It is proposed that Net Payment Value (NPV) of immediate payment and annual returns will be considered after comparing the commercial bids of technically short listed bidders. Besides running and managing the Information Technology Park and providing common services for a fee, the investor will also earn annual income from allotment of plots/sheds on the Industrial Park. Whole or part of the Telecom Park may even be run as a SEZ (Special Economic Zone) for which the State Government shall provide all facilitation (including requisite government clearances).

Infrastructure :


SIDCO has identified 25 acres of Government land in Thiruvananthapuram, the capital city, for the proposed Telecom City. It is proposed to develop this project as Industrial Park/SEZ specific to Telecom sector comprising of Telecom Software Companies, Device Manufacturers and Service Providers etc.  The High Tech Mini Telecom city will have all the common facilities along with other  core infrastructure facilities like Mega Malls, Multiplex, Food Courts, Supermarket, Five Star and Budget Hotels, Health Club, Banks, ATM, Hospital facilities, Cyber Cafes, Tourist Service Centers, Conference Halls, Convocation Center, Service Apartments, Kinder Garden with child amusement park etc. etc… That is 30% of the land will be utilized for Hitech Telecom City and 70% for Telecom facilities.  Since the proposed Telecom City is the first of its kind and not found elsewhere, will certainly be an un comparable destination in the Kerala State and India as a whole.

ITI will technically support SIDCO in this venture, and leverage ITI's expertise in telecommunications and IT. The project is expected to involve an investment of Rs 300 crore.

The goal for Telecom City is to create a state-of-the-art telecommunication centre that will capitalize on the cutting-edge technologies of the telecommunication industry to position the State for new regional and international investment. This involves setting up a state-of-the-art Telecom and Software Technology Park spread across 25 acres at Thiruvananthapuram, the State Capital with Intelligent Buildings and Hi-tech Habitat Centre.

The Telecom City project will function as headquarters for the telecommunication industry in the state. Success of Telecom City is expected to spur further economic development and provide additional economic benefits to the region.

OFFERS AND AMENITIES

The product offering is a mix of core business and support amenities comprising of the following:

    ONE STOP SHOP WITH ALL THE FACILITIES
    Ready-to-Occupy Hi-Tech Intelligent building
    Developed plots of varying sizes
    Academic zone for educational and research organizations
    STPI Incubation center to promote local entrepreneurs
    Green areas and open spaces
    Habitat Centre to cater to business support and recreational needs of the occupants
    Conference hall
    Training Centres
    Guest house
    Travel & Forex Service
    Banks and ATMs
    Multi- Cuisine Food Court
    Health Club with Gym
    Medical Centre
    Serviced apartments
    Library and information bureau
    Indoor and Outdoor sport facilities like squash, tennis, badminton courts, billiards etc.

Employment Potential :


Capacity to accommodate 40,000 workforce

     Indirect employment opportunity of 25,000

Telecom City  would house a variety of players such as:

    Telecom Operators/Service Providers
    Manufacturing
    Embedded and Software Application Providers
    Technology system integrators
    Communications Equipment Manufacturers, Dealers
    Electronics and Electric Components & Accessories
    Cable and Other Pay Television Services
    Other Communication Services
    Consultancy, Research, Development and Testing Services
    BPO, Data Processing and other Computer Related Services
    Miscellaneous Electrical Machinery, Equipment and Supplies
    Computer and Office Equipment & Supplies


Major Players


The proposed Telecom City can be an attractive investment target for a variety of companies (both Indian as well as MNC firms,) such as:

1.    OEM companies
2.    Embedded and Software Application Providers
3.    Technology system integrators
4.    Telecom Equipment manufacturers
5.    Consultancy, Training service providers
6.    BPO(Call center etc)



Telecom City: Advantages to  Kerala

Kerala has an enviable position within India being the first State to achieve 100% literacy of its population. This combined with natural factors creates an unprecedented pool of creative and technically skilled people. Whether it is software development, animation, accounting, or literary skills, etc. the people of Kerala constitute an exceptionally intelligent and adept resource pool.



Growth in Availability of Human Resources - Kerala
Academic Stream    Intake
Graduate Engineers - Computer Science    4,710
Graduate Engineers - Electronics    5,535
Graduate Engineers - IT    2,335
Graduate Engineers - ME    3,021
Graduate Engineers - Other streams    7,632
Total Graduate Engineers’ Intake p.a.    23,233
Post Graduate Intake in Engg. Colleges p.a.    302



Thiruvananthapuram is the knowledge capital of the region boasting of premier R&D institutions of national and international stature such as Vikram Sarabhai Space Centre (Space Launch Vehicle Design and Development activity), integral arm of the Indian Space Research Organisation, employing over 7000 high tech professionals; the Regional Research Laboratory which is home to scientists working in cutting edge research areas of agro processing, chemical technologies, biotechnology, waste water technology, material sciences and mineral processing; the Electronics Research and Development Centre India ER & DCI, which has established itself as one of India’s premier electronics design and development centers and training centres for IBM mainframes; the Rajiv Gandhi Centre for Biotechnology, Kerala’s apex research center for biotechnology; the Tropical and Botanical Research Institute under the Dept. of Biotechnology, Govt. of India; the Centre for Development Studies, a premier Social Science research institution engaged in interdisciplinary research in the development problems in India; the Centre for Earth Science Studies, a centre for excellence in Earth Sciences. Technopark is located adjacent to the main campus of the Kerala University at Kariyavattom that has graduate, postgraduate, and doctoral programs in 41 different departments. The Indian Institute of Information Technology and Management, Kerala (IIITM-K) is located in the Technopark campus and offers postgraduate programs in IT.
The proposed park’s proximity to Kerala University, College of Engineering, IIITM-K, and other premier educational bodies ensures a formidable resource pool of professionally qualified manpower for IT and ITES industries. Currently, about 60,000 graduates, including 15000 top-notch engineers and 5000 English graduates pass out every year.
The proposed Telecom City in Thiruvananthapuram can boast of the following advantages
    Quality and available workforce:
    Competitive investment costs (i.e., land, construction costs)
    Favourable site characteristics (i.e., configuration, topography, surrounding uses, image, visibility, ownership)
    Ease of commuting access
    Telecom accessibility
    Competitive recurring costs (i.e., utility costs, property taxes)
    Proximity to community colleges and universities
    Additional adjoining, contiguous, available acres


The CII sponsored independent study of 18 Indian States: “How the States are Doing” placed Kerala at # 3 in terms of overall composite score,

    # 1 in Health and Education,
    # 1 in Law & Order,
    #  8 in Labour;
    #  5 in investment attractiveness, and
    # 13 in investment.

Through the measures enunciated in this policy document the Kerala Government seeks to improve its relative position on both labour and investment into the top 3 ranks amongst States in the country, making it  # 1 in overall composite score amongst all States

Kerala already has the basic enablers in place to make this vision a reality – best in class communication infrastructure to support bandwidth intensive operations, a large pool of English speaking personnel, low cost of operations and low employee attrition.

The state capital, Thiruvananthapuram has all the necessary enablers in place including virtually unlimited bandwidth, concentration of quality, technical and non-technical human resources, a cosmopolitan social infrastructure and environment, and excellent air connections. These advantages shall be leveraged to make the city amongst the most preferred IT/Telecom investment destinations of India.

Thiruvananthapuram also has a 10 year old Techno park (first technology park in India), which has established itself as one of the leading IT parks in the country. Spread over nearly 300 acres with 2.1 million sq. ft. of built-up space available currently, Techno Park hosts over 110 IT and ITES companies employing over 13,000 IT professionals and this success can be emulated in the proposed Telecom City as well.

The proposed Telecom City shall offer a unique confluence of advantages, not found elsewhere in comparable destinations in India - robust and failsafe physical infrastructure, power and data connectivity; highly trained technical manpower; most flexible regulatory framework; and the best law and order environment in India. All this at effectively one-third the operational cost of other comparable locations in India.
Telecommunications Infrastructure :

    Voice Services
    Cellular/Mobile
    DSL
    Cable Modem
    High-Speed(at least 1.544 Mbps) data services
    Limited Yes
    Fiber Backbone

The General impact of the Telecom city in  Kerala .

    housing—Trigger the growth of the real estate in the surrounding areas
    transportation
    Tourism Industry
    Education Industry
    Employment opportunity--Direct employment 40,000 and indirect employment opportunity of 25,000
    Revenue generation for the Government by way of taxes.