Pacts will be honoured, incentives to continue: Geeta Reddy

Our Bureau Hyderabad | Updated on November 22, 2017 Published on August 12, 2013

Making a point: J. Geetha Reddy, Minister for Major Industries, addressing a press conference in Hyderabad on Monday. Beside her are K. Pradeep Chandra, Principal Secretary of Industries, and Rajat Kumar, Commissioner of Industries. — P.V. Sivakumar

Allays industry fears on validity of GOs, power after separation

As politicians and people from both sides of Telangana and Seemandhra regions stand for their respective grounds, the industry is now worried about its existence. Some of the important questions that the worrying the industry are – the validity of Government Orders, contracts awarded and memoranda of understandings that were entered into.

The CII, Fapcci and FICCI, the business chambers representing the industry segments want the Government to clear the air on these issues that determine their future after the division. Top leaders of the industry have met up with J. Geeta Reddy, Minister for Major Industries, here on Monday to seek clarity.

The Minister said the agreements would be honoured and incentives would continue even after the split is completed. “You may have additional incentives too in the new States,” she said.

Addressing a press conference here on Monday, she attempted to remove apprehensions. She said issues related to sharing of water, power and other resources would be decided by the group of experts. “Bifurcation of States is not something new. There are set procedures and precedents on how to go about it,” she said. “The allocation of assets between the two States will be done according to well-established norms. The Government of India will prepare the Terms of Reference (on bifurcation and sharing of various resources) and experts will carry out the division of assets,” she said.

“Do not yield to apprehensions of any kind. I invite you to make investments in any region of the State. Your investments will be safe. We assure you that we will protect your properties and employees,” she told the investor community.

The Minister assured the CII team that it would set up a container depot for bulk drug industry in Telangana, which was land-locked.

B Ashok Reddy, Chairman of CII (AP), said the uncertainty was still not over in the State.

Harishchandra Prasad, industrialist, said the Seemandhra would require a steel plant. Though Telangana is deficient in power, the cost of power would be far less in the region as it was based on hydro and thermal power. On the other hand, the cost of power would be higher in Seema-Andhra region, though it was a power surplus region.


Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

Published on August 12, 2013
This article is closed for comments.
Please Email the Editor