Infrastructure woes mar Naidu’s global capital dream

Amaravati: The creation of world-class infrastructure at Amaravati capital city has become daunting task for state government. According to tabled plans, the government proposed one Outer Ring Road(ORR), an Inner Ring Road (IRR), five bridges on Krishna River along with biggest expressway to Anantapur and rail connectivity. However, financial woes of infrastructure companies combined policies of Union government raised many doubts on the execution of projects.

Highlights:

• Amaravati-Anantapur Express way, ORR, IRR and bridges on Krishna River yet to take off
• Centre’s insistence on BOT system and financial woes of infrastructure companies are throwing a spanner into works

Though the state government finalised plans almost two years ago, with an aim to complete the projects in a span of three years, the projects failed to kick off. Sources said that TDP government has pinned hopes on projects to impress people ahead of forthcoming elections.

The state government has proposed ORR around the capital city as important project and it needs Rs 20,000 crore as an investment as per preliminary estimations. Moreover 5,000 acres of land is required for creation of six-way lane in the limits of three districts Guntur, Krishna and West Godavari. The Central government has accepted this project following the request of state government but allocation of funds and project implementation turned a tough task.

National Highways Authority of India (NHAI) in principle accepted the road plans but the state government should handover lands besides paying R&R compensation to the oustees. “The state has not received funds as per promise from Union government, how can we spend funds for this project,” said a senior official with finance department.

Likewise, the state government has also proposed IRR (four-way lane) for capital city between Krishna and Guntur districts but it needs Rs 5,000 crore. Chief Minister N Chandrababu Naidu made changes to increase proposed bridges connecting to capital city on Krishna River from three to five and the cost for these bridges is Rs 5,000 crore.

Though various companies are ready to invest in new capital city completion of infrastructure projects turned out a biggest challenge to State government.

Chief Minister N Chandrababu Naidu expressed his displeasure on the same in a recent media interaction. He admitted even that even though Centre approved projects, its insistence on Build-Operate-Transfer (BOT) system and financial crisis of infrastructure companies was main setback to create world-class infrastructure.

On the other hand, Metro Rail project is on hanging on balance following questions raised by Union government on the viability of project. Similarly, the government has taken up Amaravati-Anantapur expressway project very seriously with an estimated cost of Rs 24,000 crore.

A notification has been given for land acquisition process to acquire 20,000 acres in the limits of Guntur, Prakasam, Kurnool and Anantapur districts. However, the state government to move forward with it owing to financial constraints.

Adding to the woes is the financial position of infrastructure companies. Several Indian infrastructure companies are in financial crisis and already two important projects around Vijayawada city including by-pass road, which passes through capital city location were stopped in midway.

By Patibandla Srinivas