Indian government has released a draft version of the National Innovation Act, 2008.
Knowledge Commission had recommended that there is a need for a
comprehensive campaign to address these issues and to spur efforts to
make India a global leader in Innovation and an Innovation Law was a
part of it.
As per previous news reports the India Innovation Act was likely to be modelled on the America COMPETES Act.
of India had proposed an Innovation Act the would focus on three
primary areas of importance to maintain and improve innovation in the
21st century which are :
1. Increasing research investment,
strengthening education opportunities in science, technology,
engineering, and mathematics from elementary through graduate school,
3. developing an innovation infrastructure.

The draft version of the National Innovation Act, 2008 is available here.