Venture Capital Fund of Rs 100 cr proposed in budget; Invest Karnataka to be held this year

PTI, Mar 9, 2021, 8:21 AM IST

Bengaluru: Aimed at maintaining the leadership role of Karnataka in innovation and to support emerging technology institutes, the State budget presented by Chief Minister BS Yediyurappa on Monday proposed to establish a Venture Capital Fund of Rs 100 crore.

The government will provide Rs 25 crore as its share for this and the balance Rs 75 crore will be contributed by other institutions, the CM, who also holds the finance portfolio, said.

The Karnataka Start-up Policy will be revised to utilise in full the already existing congenial environment for new enterprises in Karnataka.

The CM also said the government would encourage research pertaining to solar electric devices and their technology.

To encourage the use of electric vehicles and reduce air pollution in the State, 1,000 charging centres will be set up under Public-Private Partnership, he said, adding that a 1,000-megawatt project of Pumped Hydro Storage Plant will be implemented on the basis of private investment of Rs 4,000 crore for the continuous supply of clean energy-based electricity.

Also, the EV and fuel storage policy will be revised to increase the production of electric vehicles, renewal of incentives and speeding up of the usage of electric vehicles.

Due to COVID-19, Invest Karnataka-2020 was not organised and will be held in Bengaluru this year, he said.

Also to give attention towards indigenous production under the Atma Nirbhar Bharat Abhiyan, a new Aerospace and Defence Policy will be announced.

To encourage the establishment of industries, a proposal was made in the budget to have a new slab in property tax separately for industries in urban local bodies.

The CM said ‘Chief Minister Mega Integrated Industrial Townships’ will be established in the Bengaluru, Mumbai and Bengaluru-Chennai industrial corridors on a minimum of 500 acres at each of the places, utilising available opportunities.

These townships, which will be developed with PPP, will attract Rs 10,000 crore investment in the next three years and is expected to create jobs for five lakh people, he said.

Towards attracting manufacturing, an industrial township will be established in Peenya. Necessary infrastructure will be developed here at a cost of Rs 100 crore, he added.

A Cyber-Security Policy would be announced to adopt necessary data protection measures to create a secure cyber environment, it said, adding that a data centre policy will be formulated to create demand and value for data centres.

”This policy has infrastructure development as its aim.”

For developing biotechnology industries and innovative start-ups and to encourage the production of light food items utilising bioactive compounds from fish and seaweed, an Advanced Biotech Innovation Centre for Aqua-Marine will be established in Mangaluru at an estimated cost of Rs 6 crore.

To reduce death and impairment caused by snake bites to 50 per cent by the year 2030, an Rs seven crore Anti-Venom Research and Development Centre will be set up, the CM said, adding it is to develop next-generation anti-venom and provide it at an affordable price and make it easily available.

To encourage quantum computing and related technologies, a Rs 10 crore Research Park will be set up, which will help stimulate scientific inventions and innovations in the field of quantum computing in Karnataka.

The government also proposes to make Bengaluru a geospatial hub. Under the National Geospatial Policy, Karnataka State Remote Sensing Application Centre would be strengthened with private sector participation and public services would be provided effectively utilising geospatial technology.

Stating that a State Mineral Policy 2021-2026 will be formulated, Yediyurappa said, ”A single window system will be implemented for the timely disposal of applications submitted seeking a license for mining/leasing of quarries. Along with this, mining adalats will be started very soon in four revenue divisions of the State.”

The budget also proposed to set up a Smart Handloom Design Studio with PPP in northern Karnataka to create awareness among handloom weavers about the latest designs and to increase demand for their products and their income.

A Textile Park will be set up with PPP in Guledagudda town in Bagalkote district to encourage livelihood and creation of employment at the local level to stop seasonal migration, it said.

With the assistance of the Central government, a Plastic Park will be developed at a project expenditure of Rs 66 crore in 100 acres at Ganjimath in Mangaluru to encourage plastic and petro-chemical in districts.

It is also proposed to develop a Bulk Drug Park having world-class infrastructure at a cost of Rs 1,478 crore with Central Government aid in 1,500 acres of industrial land at Kadechuru industrial area in Yadgir district.