The Karnataka government has notified Bengaluru’s Peenya Industrial Area a special investment region (SIR), the 18th such zone in the southern state.
Peenya first, second, third and fourth phases industrial areas in the Bengaluru district, spanning 1,461.46 acres in total will be designated as a special investment region, a government notification issued on June 9 said.
“Peenya Special Investment Region shall be deemed to be an industrial township, and Government of Karnataka hereby declares Karnataka Industrial Areas Development Board (KIADB) [Regional Development Authority] to be the Industrial Township Authority,” the notification said.
Also read: Bengaluru's Peenya industrial region is now a hotbed for manufacturing startups
Located along the Bengaluru-Tumakuru highway, Peenya is one of the oldest and largest industrial hubs in Southeast Asia.
Established in the late 1970s in northwestern Bengaluru, Peenya Industrial Area (PIA) houses thousands of small, medium, and large-scale industries. It provides employment to nearly five lakh people, including around 2.5 lakh women workers, and is surrounded by a mix of residential, commercial, and industrial zones.
Peenya is now the 18th major industrial area in Karnataka to be designated as a SIR. Earlier, KIADB notified 17 industrial areas as SIRs and assumed the role of Regional Development Authority (RDA), responsible for local administration including property tax assessment, imposition, and collection.
Also read: Karnataka notifies 17 industrial areas as Special Investment Regions
The SIR Act was enacted to streamline the setting up, governance and management of large, mega, and super-mega investment zones. KIADB is tasked with administering these zones.
The Karnataka Special Investment Region Bill was passed in 2022 and the rules notified in 2024 to simplify investment procedures and positioning Karnataka as a global manufacturing hub.
It empowers the state government to declare existing industrial areas as SIRs, define their boundaries and drive integrated economic development.
KIADB has the authority to approve land use plans, infrastructure projects and activities within these notified areas.
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