Just Rs 1,000 crore more for Amaravati, argues centre
TDP and BJP leaders may continue to be at loggerheads over the quantum of funds to be allocated for Amaravati's construction, but the Union Finance Ministry is likely to release not more than
Published: 11th February 2018 01:39 AM | Last Updated: 11th February 2018 05:36 AM | A+A A-
Andhra Chief Minister N Chandrababu Naidu at a meeting with the Council of Ministers at Secretariat in Amaravati on Friday | Express
By Jayanth PExpress News Service
VIJAYAWADA: TDP and BJP leaders may continue to be at loggerheads over the quantum of funds to be allocated for Amaravati's construction, but the Union Finance Ministry is likely to release not more than another `1,000 crore for the capital. Sources told TNIE an unofficial communication has already been made to the state government which is exploring ways to tap more funds. “What Ministry of Finance officials informed us during meetings is that `3,500 crore was allotted for the construction of the new capital city, `2,500 crore of which has been sanctioned already. So we will most likely get another `1,000 crore,” a top ranking official from the state government told TNIE.
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The official added that the Union Finance Ministry had never committed to releasing funds as per the estimations sent by the AP government. It is learnt that the remaining `1,000 crore will be released in a phased manner only after the state government submits Utilisation Certificates (UCs) for the already sanctioned `2,500 crore. As of now, the state has submitted UCs for `1,583 crore and got the funds released.
“We were informed that the remaining `1,000 crore will be given in three spells of `300 crore to `350 crore each,” the official confirmed, stating that all the information was communicated orally.While BJP leaders claim that budgetary allocations were not made as the state government failed to submit a detailed project report (DPR), the Union Ministry linking the release of funds with the submission of Utilisation Certificates is speculated to be the real reason for Amaravati not being allotted any budgetary funds. A few officials revealed to TNIE that once the Utilisation Certificates were ready, things would move faster.
“This is because `1,000 crore of the sanctioned `2,500 crore was allotted for underground drainage projects in Vijayawada and Guntur cities. These projects are to be ready in three years. So we can produce UCs for only 35 per cent of the work done so far. The Union Ministry has set a condition that the balance of `3,500 crore will be released only after the submission of UCs for the entire sanctioned outlay. Not DPR, this is the actual hitch,” the official explained.
According to CRDA officials, the state government had sent DPRs worth `11,750 crore which include the construction of the government complex, roads and other essential infrastructure. “The DPRs were sent six months ago and they have also been acknowledged by the Niti Aayog,” a senior CRDA official observed.
The Union Ministry is said to have arrived at the outlay of `3,500 crore for capital construction as per the Central Public Works Department norms. “The ministry officials orally told us that they are obligated to provide funds for only structures such as the Assembly, Raj Bhavan, High Court and Secretariat as per the AP Reorganisation Act, 2014, and that the state could build whatever iconic buildings it wanted using those funds,” the official said.
When asked why the state government was still sending estimates to the Union Ministry despite the development, another official said, “We are sending the DPRs with the hope that the state government can politically lobby for more funds.”
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