Chandrababu Naidu-led government has decided to form another company for the construction of the capital Amaravati. This company will undertake several projects including the Greenfield Airport. To this end, the Urban Development Department’s Principal Secretary Suresh Kumar issued orders on Tuesday.
It will monitor the construction, management, financial aspects, debts, payments and all other aspects of the project. The government has allotted ten lakh shares worth ₹10 each to form the new company under the Companies Act. There will be no increase in this price as per the decision of the board of directors.
Along with the AP CRDA already established for the capital, there is also the Amaravati Development Corporation. The government has registered around 14 companies under different names. The newly formed company will undertake key projects such as the Greenfield Airport, NTR statue, Smart Industries, Iconic Bridge, Sports City, Riverfront Development, Ropeway, Inner Ring Road, and other upcoming developments.
In this, the AP CRDA Commissioner will be the directors along with the principal secretaries of the Urban Development Department, Finance Department, Power, R&B, and Industries Department. The board later allowed the election of three independent directors.
The newly established company has the authority to provide necessary funds, mortgage lands, and collect user charges. Along with collecting funds for new projects, it will prepare the necessary projects and prepare DPRs for them. The company will assign construction responsibilities to contractors through PPP, EPC, and HM models, and prepare all necessary documents to implement government-approved projects.
It will also prepare the necessary plan for project management in the PPP method. The newly established company can also select corporate entities to execute projects in the area. The government has cancelled the earlier land acquisition notification for 343.36 cents in the Amaravati capital area.
The government had earlier issued an acquisition notification for about 1,500 acres, of which the previous YSRCP government denotified around 1,200 acres. The 343.36 acres, already developed for roads and other constructions, are still pending approval. The authorities are also filing cases in the High Court regarding this. Following the Advocate General’s suggestion, the government cancelled the old notification to exclude the lands previously under acquisition.
