The Indian IT industry should make use of its advancement in software for developing cloud computing, a technology that can bring down cost of computing, particularly to individual entrepreneurs, Telecom and IT Minister Kapil Sibal on Tuesday said.

"In terms of software, we are perhaps most advanced in the world. We should use this opportunity and in the budget of 2013 make sure that industry is given a kind of fillip and impetus that need to be given to make cloud computing a preferential choice as we move forward with solution," Sibal said while speaking at an open house discussion on cloud computing.

He today launched the National Cloud Computing Initiative that will bring down cost of computer based services in the country and said that the draft framework for the same will be ready in three months.

"The whole purpose of the cloud is cost benefit...entity that invest in the hardware and software, provides solution from one source. Individual entrepreneur do not need separate human resource, investment in application and services," Sibal told PTI on the sidelines of the event.

A cloud computing services user gets to use original software without having to buy it. The user gets it on basis of some fee either on monthly or annual basis from cloud service provider. In some case, service provider also provide hardware services like storage facility also on rental basis or as per agreement with the user.

Sibal said it is the economic model of the cloud computing that can bring down cost of computing and result in fast delivery of e-governance services to citizens.

"We need to move forward in jurisprudence. We need to move forward in technology. It is a complex issue," he said.

Infosys' Executive co-Chairman S Gopalakrishnan and head of government's committee on cloud computing said, "We will have two-three more meetings on this. Template on cloud computing framework will be ready in three month which will be put for public comments".

During the discussion, representatives from various organisations raised the issue of the need to develop standards, common architecture specific to need of India, accredition, licensing issues, security, jurisdiction, legal and taxation issues that should be addressed.

"Technology and finance takes us towards development of common solution but the nature of polity takes us to the other. Resolving this nature of polity is going to be big challenge. We need to look at these aspects," he said.

He said that in the present environment, it has become very difficult to persuade states for a common solution because they have their own vendor and cloud preferences, which are very complex issues.