Capital in Amaravati: A year after coming to power, Jagan govt resumes work

Thirteen days after the controversial proposal to trifurcate Andhra Pradesh’s capital got the Governor assent, Chief Minister YS Jagan Mohan Reddy directed officials to source funds for development works in Amaravati. The YSRCP government's efforts to shift the capital to Vizag have been marred with stay orders from Andhra Pradesh High Court and opposition-backed protests.

The Chief Minister directed officials of the newly constituted Amaravati Metropolitan Region Development Authority (AMRDA) to prepare an action plan to complete the works for fund mobilisation. Jagan issued the direction on August 13 at a review meeting while enquiring about the work in progress in the region.

AMRDA officials reportedly  told Jagan that at least Rs 14,000 to Rs 15,000 crore will be required to complete the pending works at Amaravati. The Chief Minister's Office quoted Jagan as asking officials to find ways to mobilise additional resources in coordination with the finance department.

The funds are to be utilized for the pending building and road infrastructure works at Amaravati. The Chief Minister instructed the officials to also complete works related to the Happy Nest project, where 2 and 3 BHK apartments in 12 high-rise towers were to be constructed in a 14.46 acres plot.

The huge residential complex project was initiated by the former Capital Region Development Authority (CRDA, now replaced by the AMRDA) during the TDP government, and the CRDA had earlier claimed that several flats had been booked within hours, mostly by customers from "IT, government, business and NRI communities." With the YSRCP government coming to power and works being stalled, there was hearsay about many investors looking to pull out of the project.

A day after the YSRCP government decided to create an action plan, the Andhra Pradesh High Court on August 14 further extended the status quo to decentralise the capital, to August 27.

This prevents the state government from taking any steps on the issue until further orders. In a previous hearing, the court had extended the stay till August 14.

Since Governor Biswabhusan Harichandan's assent was given to the bills on July 31, protests by farmers and landowners in Amaravati have continued, with opposition backing.

The farmers and landowners have challenged the Andhra Pradesh Capital Region Development Authority Repeal Bill, 2020 and the Andhra Pradesh Decentralisation and Inclusive Development of All Regions Bill, 2020 in the AP High Court.