"I have in mind an incubator similar to Y Combinator "

What you are describing is a charity not an incubator.

"No one is teaching them how to start a business by teaching them a skill."

How do you plan doing this if the kids cannot read or write? Why is this even an important skill for a child?

"I am planning to teach Google App Engine with Python and separately also Arduino."

These kids probably don't even have access to decent food, clean water, reliable electricity, etc, so how are they supposed to have access to computers and Internet? Will you provide these things? Will there be a facility where the kids can come to?

"I strongly believe that school is evil."

This is your privilege talking and frankly it's a slap in the face of those kids who cannot afford to go to a decent school.