"One village will be selected from every district which will be made Amma E-village and services like wifi hotspot and smart street lighting will be provided," he said.
Making suo motu announcements in the state assembly covering the IT department among others, Palaniswami said Tele Education and Tele Medicine Services will also be provided to the selected village under this scheme.
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Further, he announced expansion of a Centre-state joint e-governance initiative.
The third phase of Tamil Nadu State Wide Area Network (TNSWAN) covering the period 2017-2022 will be implemented at a cost of Rs 477.96 crore, he said, adding it will benefit the government departments and the common public.
The cost will be borne by the Tamil Nadu Arasu Cable TV (TACTV) under its CSR initiative, besides the respective departments, the chief minister said.
Benefits of this initiative will include learning through "e-classrooms" in rural areas, providing tele medicine and delivery of many public services using internet, he said.
A Memorandum of Understanding on connecting rural local bodies through optical fibre for delivery of public services had been signed in April, he recalled.
The government has now decided to extend this scheme to urban areas and it will be implemented in the name of "Tamil Net," he said.
Making some announcements under the Animal Husbandary department, the chief minister said 150 veterinary medical centres will be set up this year at an estimated cost of Rs 49.09 crore with NABARD assistance.
The government will set up a Fisheries College and Research Institute in Nagapattinam district, he said.