AP’s world-class capital dreams have shattered. The dreams crashed as soon as new government under YS Jagan took oath as the CM. Right from the steep decline of land value in capital city to lack of investments to lack of employment to huge losses to businesses set up in new capital to dilemma among investors over the capital to real-estate builders to unavailability of sand to stalling of works to cancelling of contracts to call for reverse tendering to renegotiation on PPA (Power Purchase Agreements) to collapse of agricultural and allied industries, former CM Chandrababu Naidu’s dream capital city i.e “world-class” capital city Amaravati is struggling to the core.
A pal of gloom descended over Amaravati ever since Municipal Administration minister Botsa made critical comments on the capital and the possible shift of capital.
Especially, the construction sector is badly hit in Amaravati. Government’s restriction on Sand has stalled majority of constructions resulting in lack of work for poor coolies and mestris. Labour are in lurch of work and unable to feed their hunger.
Earlier in Naidu government, a truck load of sand used to cost Rs 500. Now, a truck load of sand officially costs Rs 1400 and bribes are additional. All these are affecting construction section to the core. With unable to meet steep high in prices of construction materials, several builders have stalled the works. The payments are stopped. It is daily-wage labour who are most affected. Despite their hue and cry, government is not even bothered to set things right.
Farmers who bought earthmovers and leased to corporate houses are now in distress as the machines have been unused over two months and they are rusting in sun and rain. A farmer from Tulluru had bought 3 earthmovers with a private loan of Rs 60 lakh and his monthly EMI is Rs 70,000 and he has to pay salaries to his staff. With no work and no income, the farmer is so worried as he may default his installments of loan. With no other option, he has put the earthmover on sale for loss.
On the other hand, several people have sold their properties elsewhere and invested in appliance showrooms in AP capital hoping for boom and it would become another Hyderabad. But their dreams crashed as there are no footfalls and no business in new capital resulting in big losses to shop owners.
Even as Union Government itself has cautioned AP government over PPAs and it could effect the foreign investors and they may lose confidence, unfazed Jagan administration doesn’t mend its way. And so Polavaram where state government wants reverse tendering. After their contracts are terminated, Navayuga has moved the High Court and got a suspension order from HC interim on AP government’s order. And the issue is in court.
Polavaram is now delayed and this may even increase the overall cost of the project. If these are not enough, nonetheless World Bank and Asian Infrastructure Investment Bank (AIIB), who were supposed to lend over 2130.92 Crore to AP, have backed out after the change of government.
Naturally, all these are being projected against Amaravati in national media in bad light. Of late, there are several painful articles in almost all top media publications on ‘Amaravati Ghost Town’ and how the city is turning into nightmare.
With political war erupted between YCP and TDP, Amaravati has become a victim of the political whims and fancies. As CM Jagan is trying his best to wipe out all the deeds (good or bad) of Chandrababu and adopting a step-by-step measure to curb crucial decisions taken by Naidu and his government. This led to a great fear among capital region farmers who sacrificed their lands to government under Ramesh. The ongoing conundrum over capital, and recent times have pushed many into dark.
It is high time, Jagan administration should keep politics aside and act immediately to get back to normalcy. As people in large numbers are suffering, this is government’s responsibility to ensure economy isn’t affected. While an Experts Committee is constituted on AP Capital Amaravati and expecting a report within six weeks, on the other hand, government should initiate damage control steps. Several companies and investments have already backed out of AP causing loss of investment and employment to state.
