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Dholera Smart City: India’s $20 Billion Futuristic Megacity Rising from Gujarat

Posted on July 25, 2025 by Henrik Vestergaard

Dholera SIR: The Engine Driving India’s First Greenfield Smart City

The Dholera Special Investment Region (DSIR) represents a quantum leap in urban planning and economic ambition. Spanning over 920 square kilometers – larger than Singapore – this meticulously planned zone near the Gulf of Khambhat is Gujarat’s crown jewel under the Delhi-Mumbai Industrial Corridor (DMIC). Designated as India’s first Greenfield smart city under the National Industrial Corridor Development Programme, DSIR operates with unprecedented administrative autonomy through the Dholera Special Investment Region Development Authority (DSIRDA). This streamlined governance model accelerates approvals and eliminates bureaucratic bottlenecks for investors.

Unlike retrofitted urban centers, Dholera’s master plan integrates cutting-edge infrastructure from inception. The city is engineered with dedicated utility corridors for water, electricity, and data networks, alongside a flood-resilient design elevating the central activation area by 2-3 meters. Its economic backbone comprises six specialized investment zones: Global Manufacturing Hub, Knowledge Innovation Park, Medi-City, Electronics Hub, Logistics Park, and Theme Entertainment District. This zoning strategy attracts high-value industries like semiconductors, aerospace, pharmaceuticals, and renewable energy tech. The SIR status offers investors world-class facilities, fiscal incentives, and simplified regulatory frameworks, positioning Dholera as India’s answer to global manufacturing hubs like Shenzhen.

Environmental sustainability is intrinsic to DSIR’s DNA. The plan mandates 17% green cover, utilizes 100% treated wastewater for irrigation, and prioritizes solar energy integration. A 76-km metro rail network and cycling corridors will minimize vehicular emissions. The city’s coastal location enables direct port access via the proposed Dholera Deep Sea Port, creating a multimodal export gateway. With over ₹78,000 crore already committed to phase-one infrastructure, including land development and trunk utilities, DSIR is transitioning from blueprint to reality. Major corporations like Tata Group, Suzuki, and Hindustan Semiconductor are actively exploring manufacturing bases, signaling confidence in its transformative potential for Gujarat and India.

Connecting Ambition: Infrastructure Linking Dholera to Ahmedabad and Beyond

Dholera’s viability hinges on seamless multimodal connectivity, with groundbreaking projects bridging the 110-kilometer gap to Ahmedabad. The centerpiece is the Dholera International Airport, being developed in phases on 1,426 hectares. Phase-1 targets operational status by 2025-26 with a 3,200-meter runway capable of handling wide-body aircraft, directly serving cargo and passenger traffic for the industrial hub. This greenfield airport will eventually handle 20 million passengers annually, transforming regional accessibility.

Complementing air links, the Ahmedabad-Dholera Expressway is under rapid construction. This six-lane access-controlled highway will slash travel time between Ahmedabad and Dholera to under 75 minutes, integrating the smart city into Gujarat’s economic mainstream. Crucially, this expressway will connect to the Delhi-Mumbai Expressway, placing Dholera on a national logistics artery. Simultaneously, the Dholera Metro Rail project, part of the larger Ahmedabad Metro Phase-3, will provide high-speed mass transit connectivity, further reducing congestion and carbon footprint.

Rail infrastructure is equally transformative. The Western Dedicated Freight Corridor (DFC) passes through Dholera SIR, featuring a dedicated freight terminal for efficient cargo movement. Future plans include a high-speed rail link connecting Dholera to Ahmedabad and Mumbai. The city’s strategic coastal location unlocks maritime potential; the upcoming Dholera Deep Sea Port (Phase-1 capacity: 30 million tonnes) will facilitate international trade, positioning Dholera as an integrated logistics nexus. These interconnected projects – airport, expressway, metro, and port – create a holistic ecosystem where businesses can operate with unprecedented efficiency, making the region a magnet for industries reliant on swift global supply chains.

Real-Time Momentum: Tracking the Dholera Smart City Project Update

The pace of development within the Dholera smart city is accelerating visibly. The initial 22.5 sq km Activation Area (Phase-1) has witnessed over 90% completion of critical trunk infrastructure – water supply networks, stormwater drains, sewer systems, and a dedicated power substation fed by a 100MW solar park. Roads spanning 80km with smart features like sensor-based lighting and underground cabling are operational. Land allotment for commercial and industrial plots is actively underway, with over 800 hectares already allocated to entities like Hindustan Semiconductor and Netherland’s APM Terminals for logistics parks.

Key milestones achieved include the operationalization of the DSIRDA administrative building, the near-completion of the 100 MLD Water Treatment Plant, and significant progress on the Common Effluent Treatment Plant (CETP). Residential development is gaining traction; the Gujarat Housing Board’s affordable housing project and plots auctioned for premium villas signal the city’s evolving residential landscape. For the latest verified progress reports and investment analyses, stakeholders frequently refer to the comprehensive dholera smart city project update available through specialized real estate and infrastructure portals.

The project’s scale is staggering: upon full build-out over 30 years, Dholera will accommodate 2 million residents and generate 800,000 jobs. Current construction hotspots include the Central Business District (CBD), Medi-City enclaves, and the Electronics Manufacturing Cluster (EMC). Upcoming deliverables focus on social infrastructure – schools, hospitals, and retail hubs within the Activation Area. The project’s success is amplified by Gujarat’s pro-investor policies, including capital subsidies, GST reimbursements, and stamp duty exemptions within the SIR. As global supply chains diversify, Dholera’s combination of advanced infrastructure, regulatory ease, and strategic location positions it not just as a city of the future, but as a present-day catalyst for India’s industrial and technological advancement.

Henrik Vestergaard
Henrik Vestergaard

Danish renewable-energy lawyer living in Santiago. Henrik writes plain-English primers on carbon markets, Chilean wine terroir, and retro synthwave production. He plays keytar at rooftop gigs and collects vintage postage stamps featuring wind turbines.

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