Projects of over Rs. 1 lakh crore investment coming up in Andhra
As many as 73 industrial projects involving an investment of Rs.1,20,928 crore are currently under implementation in Andhra Pradesh while another 32 projects of Rs.1,47,325 crore are at an initial stage, a minister said Saturday.
These were among 115 proposals in the industrial sector for which the state government had signed MoUs with the industries during Partnership Summit early this year.
Major Industries Minister J.Geeta Reddy told a news conference here that 10 projects with an investment of Rs.3,126 crore had already commenced work.
"There was no progress on four projects (Rs.23,324 crore) and we may cancel the agreements," she said after a meeting with officials and industrialists to review the progress of various projects.
During the Partnership Summit, the state received 243 proposals involving an investment of Rs.6,49,432 crore in various sectors.
The State Investment Promotion Board (SIPB) at its three meetings since February last year cleared 69 mega projects involving an investment of Rs.1,33,343 crore. Out of them, 21 projects have commenced production, four are ready for production and 40 are under implementation.
Geeta Reddy said despite being a late starter, the state made rapid strides in the industrial sector and has been growing at a rate higher than the national average since 2007-08.
She pointed out that the Associated Chambers of Commerce and Industry of India (ASSOCHAM) ranked Andhra Pradesh third after Gujarat and Maharashtra in attracting industrial investment.
Admitting that the state is facing electricity and natural gas shortage, she said all the states were facing it and claimed that all steps are being taken to improve the situation.
She hoped that the state would overcome the crisis and the natural gas would be available with the commissioning of floating Re-gassified Liquified Natural Gas (RLNG) terminal at Kakinada next year.
Earlier, the developers of few mega projects told the minister that they were waiting for the allotment of natural gas, land, other clearances and incentives from the various government bodies.
The mega projects, the progress of which reviewed Saturday include Rs.7,578 crore urea fertiliser plant by VBC Fertilisers and Chemicals Limited. The plant with a capacity of 4,400 metric tones per day (MTPD) ammonia and 7,700 MTPD urea is coming up in Krishna district. The project will have captive power generation of 2x67.5 MW.
The central chemicals and fertilizers ministry has already recommended to the petroleum and natural gas ministry to allocate 5 MMSCMD (million metric standard cubic metres per day). The company last week signed a MoU with Gas Authority of India Limited (GAIL) for gas.
VBC is waiting for the state government to allot 493 acres of land for the project, which is expected to be completed in three years.
Krishak Bharati Cooperative Limited proposes to set up DAP/complex fertilizer plant with an investment of Rs.1,800 crore in two phases near Krishnapatnam port in Nellore district. The plant to come up on 295 acres of land will have a capacity of 4,000 MTPD.
Sentini Infras (P) Ltd is setting up a glass containers and float glass manufacturing unit in West Godavari district with an investment of Rs.600 crore. The company has requested GAIL to allocate 2 MMSCMD.