Public Private Partnership in IIIT

Four IIITs established by the Central Government
are funded by Government of India, the funding pattern of the new IIITs
will be different in as much as they will be set up under a Public Private
Partnership model wherein Central Government, State Governments and
Industry will be the stakeholders.
The capital cost of each IIIT is Rs. 128.00 crore
to be contributed is in the ratio of 50: 35: 15 by the Central Govt., the State
Govt, and the industry respectively.
 In the North-Eastern states, the industry participation for capital expenditure
 will be kept at 7.5% and Central Government participation at 57.50% while
 State Governments’ at 35%. In addition, Rs. 50.00 crore for faculty
development programme will be provided by the Central Government.
 During the first four years of setting up each IIIT, the Central Government will
provide assistance towards recurring  expenditure to the extent of Rs.10 crore,
 year-wise requirement of which will vary depending on growth of the institutes
and requirement of funds. Each IIIT will meet its entire operating expenditure
on its own within 5 years of commencement out of students’ fees, research and
 other internal accruals.
The concerned State Governments will provide 50-100 acres of land, free of
cost. In addition to sharing 15% of the capital cost (7.5% in the case of North
Eastern states), the participating companies are expected to contribute
towards research labs and projects, internship, faculty chairs etc. from time
to time. It has been envisaged that initially the 20 new IIITs may be registered
as societies under the Societies Registration Act, 1860.