VIJAYAWADA: Chief Minister N Chandrababu Naidu has said the Viability Gap Funding (VGF)-supported projects will play a pivotal role in driving future infrastructure development.
“India, which witnessed an era of economic reforms in the past, is now undergoing an infrastructure revolution. The Public-Private Partnership (PPP) projects offer the best opportunity to accelerate development across multiple sectors,” he observed.
Reviewing the status of PPP projects and related government investments at an official meeting at the Secretariat on Thursday, the Chief Minister said all PPP projects should be developed on a sustainable model with adequate opportunities for economic activity built into every project.
He directed officials to effectively leverage Central support mechanisms such as the Urban Challenge Fund.
He called for establishing an efficient institutional mechanism for managing ports, airports and other major infrastructure.
Officials informed the Chief Minister that the State is currently implementing 260 PPP projects, including ports, shipyards, airports, tourism projects and other infrastructure initiatives.
Projects worth Rs 1,23,229 crore are at various stages of implementation across sectors such as industries, infrastructure, urban development, tourism, medical colleges, roads and solar power, the officials explained.
‘Centre allotted Rs 178 cr for waste-to-energy plants’
Naidu said local fishermen should be made stakeholders in coastal tourism projects so that they could directly benefit from such developments. He also instructed the officials to create better public infrastructure and economic activity zones around 21 major temples across the State.
The officials informed the Chief Minister that the Centre has sanctioned `178 crore under VGF for the waste-to-energy plants in Vijayawada and Tirupati. They further informed that `1,468 crore under VGF is expected for medical colleges and that the Department of Economic Affairs, Government of India, has appreciated Andhra Pradesh’s PPP model for establishing these institutions.
Naidu directed them to place the Andhra Pradesh Public-Private Partnership-VGF Policy 1.0 before the next Cabinet meeting and issue detailed implementation guidelines at the earliest. He also instructed them to study various PPP frameworks being implemented by the Centre. It was projected that in line with Swarna Andhra 2047 Vision, the State could attract `8 lakh crore investments annually through PPP projects. They explained that large-scale infrastructure investments would be concentrated in Visakhapatnam, Amaravati and Tirupati Economic Regions.
The Chief Minister said all projects should align with the micro and macro objectives of Swarna Andhra Vision. He stressed the need to continuously identify gaps, improve implementation and seize emerging opportunities. He noted that supply of water to industries would generate revenue for the Water Resources Department, and said irrigation associations should play an important role in the process.
“Every government department should prepare a comprehensive financial plan with short, medium and long-term revenue strategies. The PPP projects should be implemented in a manner that inspires confidence among investors. Andhra Pradesh should secure a first-mover advantage in every promising sector,” he stressed.
Naidu instructed the officials to convert idle government assets into productive economic resources. Commercial utilisation of government land available at bus stations across the State should be examined. Pumped storage and solar power projects should also be promoted under the PPP model. The significant revenue potential in sectors such as mining, NEDCAP, tourism and logistics should be fully tapped, he said.
The Chief Minister said the government is planning to double the number of students in SC, ST, BC and minority hostels. An action plan should be prepared to establish integrated residential schools as mini-townships in urban areas with good road connectivity. “The government aims to transform students from weaker sections into highly skilled human resources capable of gaining admission to premier institutions,” he said.