Naidu Moots PPP Model for Construction of AP Capital

CM asks his colleagues to raise own resources for infrastructure development including key buildings

Published: 05th March 2015 06:00 AM  |   Last Updated: 05th March 2015 03:48 AM   |  A+A-

HYDERABAD: Chief Minister N Chandrababu Naidu has reportedly told his Cabinet colleagues that it is better if the state government went for Public-Private-Partnership (PPP) method to overcome the fund shortage for construction of AP’s capital city.

Asking them not to get disheartened over the meagre central allocations to AP in the Union Budget, Naidu is understood to have asked his colleagues to try to raise own resources for infrastructure development, including construction of all key buildings in the core capital, in the PPP mode.

After eight hours of deliberations in the Cabinet meeting here on Wednesday, Naidu reportedly formulated a four-pronged strategy to extract AP’s legitimate share of funds from Delhi.

First, he will write a letter to the Prime Minister urging him to undo the injustice done to AP in the Union Budget. He will follow it up with a meeting with the Prime Minister and the Union Finance Minister to personally request them to sanction more financial aid to the cash-starved State. Then resolutions will be passed in the Cabinet and the Assembly for AP’s due share of funds.

“Naidu will tell Modi and Jaitley about AP’s plan to raise own resources for development works and request them to supplement our efforts with central funds,” a  minister said.

With 32,000 acre procured for capital construction, Naidu wanted to lay the foundation stone for the capital in the second or third week of May.

“He told us that the State government should try to woo foreign and Indian investors to take up infrastructure activities in the capital on PPP mode,” said a minister. Naidu is likely to visit Singapore on March 30 to give final touches to the capital city master plan under preparation there.

Naidu wanted a 10-lakh acre land bank for setting up of industries in AP, and reportedly told ministers to identify at least 80,000 acre in each district.

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