Andhra Pradesh CRDA seeks Rs 6,000 crore for Amaravati project

Finance Minister Buggana, who will present his first Budget today, hints at paltry allocations for capital city

Published: 12th July 2019 12:45 PM  |   Last Updated: 12th July 2019 12:45 PM   |  A+A-

By Express News Service

VIJAYAWADA: All eyes are on the State Budget, set to be presented on Friday, to see how much funds would be allocated for the development of Amaravati. While the YSRC government has clarified that a decision with respect to Amaravati would be taken only after the expert committee — constituted to review the engineering works — submits its report, the Andhra Pradesh Capital Region Development Authority (APCRDA) has sent proposals worth thousands of crores of rupees. With Finance Minister Buggana Rajendranath hinting that Amaravati would not be the new government’s priority, only paltry funds are likely to be allocated.  

According to sources, the APCRDA has sought about Rs 6,000 crore for various projects. “For land acquisition, continuing the social security initiatives, construction of ongoing projects and others, we have sent the proposal,” a senior official said.

However, going by the YSRC’s stand on Amaravati, which its ministers said reeks of corruption, only a few tens of crores are likely to be released, mostly for the social security schemes.For the record, the annuity payments of over Rs 65 crore to be paid to the farmers of the capital region has been pending for the last two months.The officials said the arrears would be paid from the budgetary allocations, if any, made by the State government.

The TDP government in 2018-19 budget had earmarked Rs 457 crore for the Amaravati Capital City Project, and another Rs 230 crore for land acquisition and social security funds.The year before that, the government had proposed an allocation of Rs 1,061 crore.This year, the YSRC government is expected to allocate much lesser amount.

Meanwhile, the APCRDA, it is learnt, has submitted a report to the State government on the projects proposed and being executed in Amaravati.They have even given department-wise white papers so that the government could take a call on what projects could be taken forward and those that could be junked.
Sources said that a separate report was prepared on the Public Private Partnership (PPP) projects, which most likely would be scrapped.

Finance Minister Buggana Rajendranath Reddy, while releasing a white paper on State finances on Wednesday, said, “We can build a Singapore or a Japan for our capital if we have money.” Further hinting that many projects would be junked, he said, “We also would like to develop a great city, but our financial position doesn’t permit us. We should be practical about it”.

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