VIJAYAWADA: The Andhra Pradesh government has announced a multi-pronged urban infrastructure plan to be implemented over the next three years, prioritising five core areas — safe drinking water supply, solid waste management, used water management, internal roads, and street lighting.
Inaugurating the two-day Urban Challenge Fund (UCF) Capacity Building Workshop organised under HUDCO’s national Urban Investment Window framework in Vijayawada on Tuesday, Municipal Administration and Urban Development Minister Ponguru Narayana explained the objectives of the government to develop infrastructure facilities in urban local bodies.
Narayana has dismissed speculation that municipal assets were being privatised, calling such claims baseless.
He clarified that upcoming projects will be executed under Public–Private Partnership (PPP) frameworks strictly to make Urban Local Bodies (ULBs) financially self-reliant, with all works awarded through transparent, competitive bidding while retaining full public ownership.
Detailing the funding layout, the Minister revealed a Rs 17,394-crore master plan to provide tap water connections to every household, with works worth Rs 12,395 crore already active under AMRUT 1.0, AMRUT 2.0, UIDF, and AIIB schemes.
To convert all katcha drains into permanent concrete structures, an estimated Rs 29,000 crore is required; engineers have been directed to immediately complete the first phase of drainage works in high- and medium-density zones with an outlay of Rs 9,000 crore.
Explaining the mechanism of the Urban Challenge Fund, Narayana said Andhra Pradesh will shortly receive Rs 3,600 crore in central grants (25% share), while the state must mobilise Rs 10,800 crore through HUDCO and other banking channels.
The Finance Department has also cleared an additional Rs 5,000-crore pipeline to execute works via an annuity model in smaller municipalities.
He instructed engineers to avoid needless demolition of functional roads or drains under political pressure, and ordered municipal commissioners to take up silt clearance on a war footing ahead of the monsoon while preparing all Detailed Project Reports (DPRs) within three months.
HUDCO Chairman and Managing Director Sanjay Kulshrestha praised Andhra Pradesh for achieving economic growth faster than the national average, commending its project readiness even before central guidelines were issued.
MA&UD Principal Secretary S. Suresh Kumar said the urban population in the State is 45–50 per cent; municipal revenues alone cannot sustain expanding public amenities.
Suresh Kumar revealed that the department has revived and fast-tracked a Rs 15,800-crore pipeline of stalled works under AMRUT, Swachh Bharat, and UIDF schemes, and mandated strict digital data discipline across ULBs.
The workshop was attended by Public Health ENC M Prabhakara Rao, CE A Sudhakar Rao, state official Karthik, along with municipal commissioners, engineers, and finance officers.