Amaravati Construction Works: AP Government Announces Retendering Process

03-12-2024 Tue 19:59 | Andhra | Ap7am Desk

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The Andhra Pradesh (AP) government has decided to invite fresh tenders for the construction works in Amaravati, the state’s capital. Urban Development Minister Narayana revealed this critical decision, explaining that a committee comprising engineers had been formed to review the stalled projects. Based on the committee's report, the government resolved to cancel previous tenders and initiate a fresh bidding process. Minister Narayana stated that an estimated ₹11,471 crores would be allocated for Amaravati's pending works.

Financial Losses from Previous Administration
The Minister disclosed that during the previous government’s tenure, losses amounting to ₹286 crores occurred due to damage to constructed assets, while damaged roads caused an additional loss of ₹150 crores. With the retendering, an extra ₹452 crores will be incurred as GST burden.

Pending Work Estimates
From 2014-19, the pending work was valued at ₹7,391 crores, which has now escalated by ₹2,507 crores. Minister Narayana stated that if the previous government had completed the projects, the financial burden on the current administration would have been reduced.

Infrastructure and Costs
The Minister noted that constructing trunk roads in Amaravati alone requires an additional ₹461 crores. A total of 320 kilometers of main roads and 1,200 kilometers of layout roads remain incomplete. Key buildings such as the Assembly, High Court, five administrative buildings, and 3,600 apartments are yet to be finished.

Timeline for Project Completion
Minister Narayana assured that all technical and legal clearances related to Amaravati's projects have been secured. He announced plans to call for tenders by the end of the month, with construction expected to commence next month. The government aims to complete all works within three years.

Revised Budget Estimates
The original project estimate for Amaravati was ₹41,000 crores. Due to delays and additional requirements, costs are expected to rise by 30%, according to the Minister.