• PAGE ONE
• INDEX
• HOME

Privatisation moves in AP yield poor response

Our Bureau

HYDERABAD, Nov. 26

THE efforts of the Andhra Pradesh Government to facilitate participation of private parties in infrastructure projects in the State have not yielded the expected results and this is more so in the construction of bridges, said Mr K. Vijayarama Rao, Minis ter for Roads, Buildings & Ports, here.

Addressing a meeting of the Federation of Andhra Pradesh Chambers of Commerce and Industry held to deliberate on `developing infrastructure of AP for future needs', he said that about 100 bridges were to be taken up by private entrepreneurs.

In view of the poor response to privatisation of road infrastructure projects, he said the Government was considering the feasibility of extending some concessions/subsidy to the private parties to take them up.

The Minister said work on developing 10,000 km of State highways was being taken up with the World Bank funds and they would be made toll roads to earn revenue.

The State Government had identified six pilot projects for privatisation on performance-based parameters and payment would be on monthly basis, subject to proper maintenance of the specified roads. As much as 200 km roads would be brought under the proje cts.

Mr Vijayarama Rao said the multi-modal transport system for the twin cities, the first phase of which was jointly taken up by the State Government and the Ministry of Railways, was under way. After its completion, work on the remaining portion of the pro ject would be allotted to the private parties.

The Gangavaram port was open for private participation as a joint venture with the State Government. Visakhapatnam Port Trust had come forward for the joint venture. The Vijayawada airport was ready for use and any airline could operate a service on the Hyderabad-Vijayawada-Tirupati route.

The Minister said the Government had sanctioned Rs 8 crore for the development of runway at Madhurapudi airport and Rs 100 crore for the Visakhapatnam airport.

Mr Mohanlal Gupta, President of FAPCCI, wanted the construction of approach roads to Kakinada, Krishnapatnam and Machilipatnam ports and a second highway from Visakhapatnam to Chennai along the coastal belt.

Mr C.V. Atchut Rao, Chairman of Infrastructure Committee of FAPCCI, called for integrated development of minor ports through privatisation and a time-bound plan for the development of Kakinada deep water port, Krishnapatnam and Gangavaram port projects t o handle maritime and coastal cargo.