Calcutta, March 23: The government has devised a model that might enable it to allot land fast and at competitive prices to IT companies.

In the new plan, real estate companies will acquire land and give a part of it to the government in exchange for infrastructure like water, sewerage and drainage networks, power supply and roads.

An IT ministry official said: “The private developers will form a consortium to acquire a large plot and will give up to half the area to the government for a minimal or no price. The government will build the infrastructure in return.”

Giants such as Infosys, Wipro and ITC Infotech had put on hold their plans to launch operations in Bengal or expand existing facilities because of the steep prices of the little land left with the government.

“Hidco (Housing Infrastructure Development Corporation) was initially asking for Rs 2.16 crore an acre in Rajarhat. It brought down the price to Rs 1.5 crore an acre later but even that was high (for the IT companies). So we had to offer them cheaper options,” a senior IT department official said.

With Rajarhat out of bounds because of the price and space in Sector V and the IT special economic zone in Bantala sold out, there was scarcity of land, too.

The new model is being tried first in the Rs 25,000-crore IT township being developed next to Vedic Village, 10km from the airport, and at Jagadishpur, barely 3km from the Rajarhat tech park.

Raj Modi, the managing director of Vedic Realty, said: “Our Vedic Village township will require an investment of Rs 25,000 crore over the next seven years. A 50-50 joint venture will be formed with Webel and the government will invest between Rs 300 and Rs 500 crore in developing the township’s infrastructure.”

The consortium, Modi added, “will be able to get contiguous plots in the region”.

The model would be adapted differently in Jagadishpur, where a consortium led by city-based Forum Projects will develop the township.

“We will give 160 acres to the IT department, which they can allot to any company. In the remaining 170 acres, we will develop a township with residential estates, clubs, hotels and retail space,” said Rahul Saraf, the Forum MD.

About Rs 200 crore will be spent on creating basic infrastructure for the Rs 1,300-crore township and it should be ready in 18 to 24 months. The consortium has begun land acquisition for the project.