Ports
AP Minister Perni Venkataramaiah said that a few banks are likely to grant loans amounting to Rs 3,000 to 4,000 crore towards the port project.
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Andhra Pradesh Transport Minister Perni Venkataramaiah on Monday said the state government is planning to begin the construction work on the Machilipatnam Port project in Krishna district by early 2020. The state government will develop the port project "at any cost,'' the minister told a gathering at the Science Fair and Exhibition at Pedana in Krishna district

The work will start in 2020, and three or four banks are likely to grant loans to the tune of Rs 3,000 to 4,000 crore for the Machilipatnam Port project, the minister added. He also said a fresh Detailed Project Report (DPR) for development of Machilipatnam Port would be submitted to the state government by the consultancy firm RITES by December 2019. RITES has been entrusted with the task of preparing the fresh DPR for the Machilipatnam port.

Earlier in August, the Andhra Pradesh government cancelled the concession agreement for the development of Machilipatnam port, resuming 412 acres of land which was given on lease. The announcement was made soon after Navayuga Engineering Company Limited was asked to exit from Polavaram irrigation project. Navayuga was also the lead promoter in Machilipatnam Port Private Limited (MPPL).

Former CM Chandrababu Naidu had laid the foundation stone for the deep sea port in February 2019. The project was estimated to cost Rs 12,000 crore. 

Cancelling the agreement, the government order said that the concessionaire had failed to fulfil its obligations like payment of lease rentals and achieving financial closure over the last 11 years, since it was roped into the project. 

Although Navayuga appealed to the court for a stay on the cancellation, the Andhra Pradesh High Court in October refused to issue interim orders on Navayuga’s petition.

Chief Minister YS Jaganmohan Reddy has asked RITES to submit the DPR for Machilipatnam Port in December 2019 itself as against the actual schedule of January 2020, the minister said.

With inputs from PTI