Luxembourg based Innovation Platform Capital (iPC) has proposed an investment of Rs 83,480 crore [$9.93 billion] in Karnataka across three phases, with plans to develop a 1GW integrated green hydrogen and power complex along the Bengaluru Tumakuru corridor and up to 2,250MW of hyperscale data centre capacity, Fuel Cell Works reported.
The first phase of the proposed investment is estimated at Rs 17,114 crore [$2.04 billion]. It includes two 200MW data centre campuses and a 500MW green hydrogen and power complex. The first phase is targeted for completion in the fourth quarter of 2028, subject to land allocation and policy approvals.
Karnataka Industries Minister M.B. Patil met a delegation from iPC on Monday. The delegation was led by Gursharan Singh Kundan, Managing Partner and Chairman of iPC Global. The company has proposed an integrated Bengaluru Tumakuru platform that would combine green hydrogen production with the development of hyperscale data centres.
The proposal across all three phases includes 1,000MW of green hydrogen capacity and around 2,250MW of data centre capacity. However, some reports have put the proposed data centre capacity at 2,500MW. The first phase would comprise two 200MW data centre campuses along with a 500MW green hydrogen and power complex.
For the first phase, iPC is seeking 1,000 acres of land. Around 400 acres each would be required for the data centre and green hydrogen facilities, while another 200 acres would be reserved for safety and environmental safeguards. The project is expected to require around 13 million litres of water a day, with 85% of the requirement expected to be met through treated sources.
On its website, iPC describes the Karnataka project as a digital industrial platform at Tumkur, with commercial operations for the first phase targeted for the fourth quarter of 2028.
The proposed investment comes as Karnataka’s Green Hydrogen Policy 2024 to 29 is still awaiting approval from the State government. Officials have raised concerns over the employment and tax revenues that could be generated by large green hydrogen investments.
The Chief Minister’s office has also questioned whether subsidies that could reach Rs 20,000 crore would be justified by the number of jobs created and the GST revenue generated by such projects. Green hydrogen units are estimated to employ only 15 to 20 people for every Rs 100 crore invested.
The iPC proposal is currently at the discussion stage, and no agreements have been signed so far.
