GUNTUR: In a major relief to thousands of small-scale contractors in Andhra Pradesh, the Central government has released Rs 180 crore to clear long-pending bills under the National Rural Employment Guarantee Scheme (NREGA). The payments relate to works executed between 2014 and 2019, which had remained unpaid during the previous YSRCP regime.
Announcing the release on Thursday, Union Minister of State for Rural Development and Communications Pemmasani Chandrasekhar said, “This is long-overdue justice. The previous government blocked payments, falsely claiming the works never occurred. But truth has prevailed.”
Over Rs 250–300 crore worth of NREGA works, involving 3.5 lakh small contractors, had been stalled. The previous government allegedly shut down projects and froze billing using software restrictions. “Not a single rupee was paid for six years,” Pemmasani noted.
Following the formation of the coalition government, coordinated efforts between the Centre and State Rural Development departments led to the revival of old software and reopening of nearly 3.5 lakh disputed work records. The Rs 180 crore release will enable payments ranging from Rs 5–15 lakh per contractor. The State government has also committed matching funds, with instructions to complete payments within 30 days.
Dr Pemmasani credited CM Nara Lokesh and Minister Pawan Kalyan for enabling the breakthrough.