14 Nov 2025
The idea of creating a completely new city from the ground up may seem like a plot from a sci-fi novel, but in Gujarat, it is becoming a reality. Dholera Smart City is not only an ambitious infrastructure project, but it is also the ideal for how cities can potentially be designed to serve the needs of tomorrow. The city itself is committed to a combination of high-tech and sustainable planning to create modern spaces while also being environmentally sustainable. Most importantly for many people, it represents the dream of a cleaner, better-connected, and more thoughtful future urban environment.
Dholera is a small town in the Ahmedabad district of Gujarat, India, with a history spanning centuries. Its legacy, which includes temples, agricultural development and coastal trade routes, meant it was always a quiet, rural settlement. However, in the past few years, it has transitioned from a small, quiet town to the fulcrum for one of India's most ambitious urban development projects.
Today, people speaking about Dholera Smart City are referring to an intended urban area envisioned by the Delhi-Mumbai Industrial Corridor (DMIC) project. Planned to sprawl thousands of hectares, the smart city will incorporate comprehensive infrastructure, advanced development, modern forms of public service, and technology enabled management. The project envisions an urban space where industry harmonizes with livability while circumventing a chaotic urban ecosystem associated with increasingly populated spaces.
The project is a partnership between the government of Gujarat and the Government of India, being jointly implemented through a special-purpose vehicle (SPV) Dholera Industrial City Development Ltd. (DICDL). The government of Gujarat owns 51% of the special-purpose vehicle through Dholera SIR Development Authority (DSIRDA) and the Central Government owns 49% through the DMIC Trust.
Big Indian corporate names such as TATA, Polycab, Torrent Power, Renew Power, Inox Air Products and HPCL are already extending their investments across industrial, energy and infrastructure sectors.
There is also currently a lot of action surrounding the semiconductor manufacturing. NextGen has partnered with Japanese and Taiwanese firms, such as Hitachi and Solidlite, to collectively invest about ?10,000 crore to build an advanced compound semiconductor and optoelectronics plant.
Each partner offers something distinctive: from foundational city planning and regulation to industrial innovation, renewable energy, semiconductor fabrication, and transport connectivity. Collectively, they're not only constructing roads and buildings; they're weaving together the social, economic, and technological fabric of what could become India's most intentional smart city.
Local Communities and Residents - Residents and individuals residing in the surrounding areas will experience the changes first. Improvements in infrastructure, connectivity, and modern amenities will change living standards, with closer access to jobs as new industries are able to set up shop.
Entrepreneurs and Business Owners - The city - with its planned industrial hubs and special investment zones - will create space for companies of all different sizes, from local startups to major multinationals. Lower logistical costs, proximity to ports, and more streamlined regulations could help companies do well.
Industrial and Technology Sectors - Companies that manufacture goods, renewable energy providers, information technology companies and even makers of semiconductors will all benefit from customized plant and infrastructure that meets global standards. This means Dholera could be an attractive hub for industries that need efficiency and scalability.
Investors and Real Estate Developers - If development plans for urban expansion and clear land uses develop, as well as pre-development investment opportunities, real estate builders and long-term investors could be ready to explore. Of course, the genuine opportunity to extract relevant value is reliant on sustainable growth and good planning, rather than any speculation
Placing a price on Dholera Smart City is not straightforward, because it is not one project, but rather a long-term program that is planned to progress through a number of phases. It represents a blend of public investment (in core infrastructure) and private investment (in industries, housing and services), rather than a single cheque.
In addition to these public works, private investment - in renewable energy projects or manufacturing facilities - should add tens of thousands of crores over (or during) time. For example, just the ultra-mega solar park is projected to have a total investment of ?25,000 crores.
The ultimate cost will be determined based on the speed of industrial relocation, the amount of private investment in housing and commercial development and if timelines for transport connections and utilities are being maintained. In short, the initial phases have delineated budgets, the total financial scale will be determined over the next twenty years as Dholera develops from activation area to a fully functioning smart city.
Cities are not just buildings and roads, they are spaces where people work, innovate, and create and share experiences. Dholera Smart City is big development for India and it's unique for many reasons: it is a golden opportunity to develop a modern city (rather than retrofit old infrastructure). The changes aren't just about new shiny gadgets or tall towers—they're about reimagining what urban living can look like for people and the planet.
Indian cities generally grow first and plan later which leads to chaos with traffic, utilities, and layouts that emerge randomly. Dholera is changing that order. All aspects of the city's road network, drainage, water supply, power lines, and waste management systems are designed together to allow for growth, not only from a design perspective, but in terms of service and capacity. This leads to fewer bottlenecks, a cleaner environment, and reliable public services from the beginning.
A significant portion of Dholera’s energy is planned for renewable supply, especially solar energy. This is not only about reducing carbon footprints for global warming, but assuring that energy sources provide a stable platform for industry and residential occupancy to be sustainable and respond to environmental issues. The design process will integrate green spaces, waste treatment, and flood and salinity management to safeguard people from the environment or environmental practices impacting people.
Effective transport systems can make or break a city. The expressway to Ahmedabad and the proposed planning international airport will provide Dholera access to economic centers, ports, and global markets. For prospective residents, this means more convenient travel for work, education, and trade, and will prevent the isolation many new towns experience.
In rural and semi-urban parts of India, one of the most serious problems is that too many people have to leave home to pursue better job opportunities or higher education. Dholera has the potential to create in-demand local employment opportunities for skilled and unskilled workers across manufacturing, technology, and services. Less families would have to achieve economic stability through emigration/migration. Migrants limited movement would encourage less long-distance migration and regional trade.
If Dholera can achieve a sustainable equilibrium between growth and livability, it could serve as a prototype for how India can build new urban centers in the decades ahead. Its successes—and inevitable difficulties—may give planners in other parts of the country lessons to inform their work.
Dholera Smart City is not just one building, it is an active urban ecosystem being built in phases over decades, meaning there is no one date when it's "completed." Rather, it is a phased process, with each element coming online sequentially:
(by ~2025–2026)
(by ~2030–2035)
(by ~2040–2042)
Sustainable development is one of Dholera's major advantages. The city plans to reduce pollution by introducing renewable energy projects, green spaces, and environmental protections, while also being responsible for sustainable resources. This helps current residents, but it also helps to leave the next generation a livable planet. In a broader perspective, Dholera could help promote regional development by pulling investment and infrastructure to a less-developed area, relieving congestion on known cities like Ahmedabad and distributing economic development across Gujarat more evenly.