The Chandrababu Naidu-led Andhra Pradesh government has submitted a detailed list of requests to the Centre for inclusion in the upcoming Union Budget.
On Thursday, Naidu visited New Delhi and had a meeting with Prime Minister Narendra Modi where he is said to have made a strong push for short term funds and additional capex support for Andhra Pradesh.
The Andhra Pradesh chief minister also wants financial assistance to advance major infrastructure projects in the state, some of which are quite close to Naidu himself.
TDP, with 16 MPs, is the second largest constituent of the NDA government at the Centre, putting Naidu in a strategic position to push for a sizeable financial package in this year's Budget to put the state back on the path of economic recovery.
Dream of a 'Dream Capital'
One of the primary proposals is a request for Rs 15,000 crore to develop Amaravati as the state capital.
Naidu's vision for Amaravati is an ambitious one, but the financial constraints and political changes in the state have slowed its progress.
The funds are intended to cover essential infrastructural projects such as the Raj Bhavan, High Court, Secretariat, Legislative Assembly, and Council, as well as land development and trunk infrastructure.
Estimates suggest that constructing the Amaravati city will cost around Rs 1 lakh crore, with essential infrastructure alone requiring over Rs 50,000 crore in the next five years.
Polavaram Project
Another key priority of the Naidu government is the Polavaram irrigation project. The state needs Rs 12,100 crore to complete the first phase of the project, which aims to meet the state's drinking water, irrigation, and power needs. Over the years, the project has seen significant delays and cost escalations.
Naidu criticised the previous YSRCP government for mismanaging the project, noting that while 72 per cent of the work was completed under the previous TDP rule, only 3.84 per cent progressed during Jagan's tenure. He also accused Jagan of misusing Rs 3,385 crore allocated for the project.
Project-Specific Support
Besides the two key projects, the Andhra Pradesh government has put forth a comprehensive list of demands for various sectors.
The state is seeking support for metro projects in Vijayawada, Visakhapatnam, and Amravati, as well as a light rail project in Amravati.
Additionally, there is a request to introduce a Vande Bharat train from Vijayawada to Mumbai and New Delhi and long-distance trains from Visakhapatnam to Chennai and Bengaluru. The operationalisation of the South Coast Railway zone headquartered in Visakhapatnam, which has been pending for some time, will also be discussed.
Furthermore, the state seeks grants to develop backward districts, including Rayalaseema and Prakasam. The proposal includes a request for Rs 24,350 crore under a unique development program, aiming to uplift these regions similarly to the Koraput-Bolangir-Kalahandi plan in Odisha. The state government has already submitted a proposal to the central government, which includes an annual grant of Rs 50 crore for each district for six years, totalling to about Rs 2,100 crore.
During pre-Budget consultations with finance minister Nirmala Sitharaman, Andhra Pradesh finance minister Payyavula Keshav emphasised the need for central support in various sectors in the state.
Keshav outlined five major requests, including central government support for the state's economic development post-bifurcation, centrally-sponsored schemes in a 90:10 ratio between the Centre and the state, higher borrowing limits, and external loans to enhance internal borrowing capacity.
The state also seeks central assistance to construct the Ramayapatnam Port, an Integrated Steel Plant in Kadapa, a Crude Oil Refinery, and a petroleum corridor.
Other requests include funding for agriculture universities, road connectivity projects, and liberal financing of ongoing projects.
Keshav highlighted the development of industrial parks across the state, including nodes in the Visakhapatnam-Chennai Industrial Corridor and the Hyderabad-Bengaluru Industrial Corridor. Central assistance was also sought to create a mega textile park, an integrated aqua park, and a green energy corridor.
TDP sources said that Keshav stressed the need for substantial funding for these projects in the upcoming Union Budget to support the state's economic recovery.
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