Mumbai: In a wide-ranging set of decisions spanning technology, power, and disaster management, the Maharashtra Cabinet on Tuesday approved a new IT-AI department, a major restructuring plan for the state power utility Mahavitaran, and a World Bank-backed programme to support disaster-hit citizens.
At the centre of the Cabinet’s decisions is the creation of a separate Electronics, Information Technology and Artificial Intelligence Department, aimed at accelerating digital governance and integrating emerging technologies into public services. The existing Directorate of Information Technology will be upgraded into a Commissionerate, and a dedicated IT cadre will be created with permanent posts across departments and districts — a move officials said would improve coordination and execution of digital projects.
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The Cabinet meeting was chaired by Chief Minister Devendra Fadnavis.
The Cabinet also approved the establishment of the Maharashtra Remote Sensing Application Centre (MRSAC) as a company. This decision is expected to accelerate sectors including road information systems, city planning, and the Jalayukta Shivar scheme.
The Cabinet also given nod to the implementation of the Maharashtra Resilient Development Programme (MRDP). Under this, financing for disaster management will be mobilised with the support of private capital. Funding of Rs 165 crore will be received from the World Bank under this programme.
Citizens affected by disasters will receive concessions on home loans, while micro, small and medium enterprises (MSMEs) will be provided loan relief as well as insurance coverage. Preventive plans will be prepared for floodwater drainage in cities such as Kolhapur, Sangli and Ichalkaranji, along with measures to reduce flood risk in the Krishna River Basin.
The Cabinet also decided to establish the Maharashtra Geotechnology Application Centre Company using geospatial technology and to undertake financial restructuring of the Maharashtra State Electricity Distribution Company (MSEDCL – Mahavitaran).
The key decisons
• New IT and AI Department: The Cabinet approved the creation of a dedicated Electronics, Information Technology, and Artificial Intelligence Department to boost digital governance. The existing Directorate of Information Technology will be upgraded to a Commissionerate, and a dedicated IT cadre will be established.
• Mahavitaran Restructuring: A major financial restructuring for the Maharashtra State Electricity Distribution Company Limited (MahaVitaran) was approved. This includes issuing government-backed bonds for debt worth Rs 32,679 crore and listing the company on the stock market.
• Agri-Demerger of Power Distribution: The agricultural distribution business of MahaVitaran will be separated to improve efficiency.
• Disaster Resilience Programme (MRDP): The Maharashtra Resilient Development Programme was approved, receiving Rs 165 crore in funding from the World Bank. This initiative includes relief for disaster-affected citizens, including concessions on home loans and support for MSMEs.
• Flood Mitigation Projects: Plans were approved for flood water management in urban areas including Kolhapur, Sangli, and Ichalkaranji, with a focus on the Krishna River Basin.
• Geospatial Technology Centre: The Maharashtra Remote Sensing Application Centre (MRSAC) will be converted into a company (Section 8 Company) to accelerate projects related to road systems, city planning, and the Jalayukta Shivar scheme.
• MahaGeoTech Establishment: The Maharashtra Geotechnology Application Centre Company will be established to enhance administrative efficiency through geospatial data.
These decisions are part of a broader effort to modernize the state’s infrastructure and services ahead of upcoming local elections.
