Vijayawada: In a significant policy push spanning employment, infrastructure, agriculture, urban development and investments, the state Cabinet on Thursday accorded administrative sanctions for flagship projects in Amaravati and gave the green signal for major institutional reforms.
A major focus was on capital development, with administrative approvals granted for several high-value projects in Amaravati. The meeting was chaired by Chief Minister N. Chandrababu Naidu.
Finance Minister Payyavula Keshav briefed the media on the cabinet decisions.
Significant allocations have been made for Amaravati capital works, including Rs 443.26 crore for Krishna river flood mitigation works, Rs 2,540 crore for Secretariat and HoD office infrastructure, Rs 1,208 crore for Quantum Valley twin towers, and Rs 798 crore for the assembly-related structures.
Additional approvals covered trunk infrastructure, underground power cabling and land pooling rule amendments.
Among major decisions, the cabinet approved the upgradation of 385 constable posts to head constables in the AP Special Protection Force to facilitate the promotion of personnel from the 2000 batch. An equivalent number of constable posts would be abolished.
In the judicial sector, approval was accorded for creation of 21 new posts, including one of chief court manager, five senior court managers and 15 court managers across the high court, district judiciary and other legal wings. Additionally, the office manager post at Andhra Pradesh Bhavan in New Delhi would be upgraded to the rank of section officer.
In rural development, restructuring of staffing patterns in APSIRD&PR and its extension training centres was approved, including a mix of regular and outsourcing positions to improve administrative efficiency.
Cost escalations: A major infrastructure decision involved allowing cost escalations of Rs 354.23 crore for variation works in the Ramayapatnam Greenfield Port project in Prakasam district. The revisions account for changes in dredging disposal locations and soil conditions, with officials expecting faster completion and enhanced infrastructure capacity.
To support paddy procurement during the Rabi 2025-26 season, the cabinet permitted AP Markfed to secure a fresh working capital loan of Rs 1,800 crore from NCDC, backed by a government guarantee.
New AP Bhavan: In national capital infrastructure, approval was granted for construction of a new AP Bhavan in New Delhi on a space of over 11.536 acres at an estimated cost of Rs 124.50 crore. The NBCC has been entrusted with its design and execution.
Urban development decisions included stamp duty exemptions for waste-to-energy projects in multiple clusters, simplification of municipal lease and rental regulations, and amendments to ensure uniform mutation charges across urban local bodies.
The Cabinet also approved multiple land allocations across districts for educational institutions, industrial hubs, waste management facilities, fisheries, housing layouts and institutional use. Several parcels were allotted on lease for political party district offices as per existing norms.
In water resources, enhanced compensation was approved for Polavaram project displaced families under OTS, along with additional works and revised estimates for canal and irrigation projects, including Handri Neeva Phase-II.
Defence project: Industrial development received a boost with approval for allocation of around 600 acres in Puttaparthi for a defence project under DRDO. Revised estimates were also cleared for fishing harbours in three districts at a cost of Rs 1,586.69 crore, which is expected to generate livelihood for over 12,700 fishermen.
The Cabinet extended financial guarantees for power sector loans and approved continuation of Kisan drone-based farm machinery banks. Senior officials, including information director KS Viswanathan attended the meeting.