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The State Government is taking steps to bring the curtains down on the long-drawn struggle of farmers in the Kakinada Special Economic Zone area in East Godavari district for higher compensation.
The State Government acquired 10,500 acres in the two mandals of Uppada Kottapalli and Thondangi in East Godavari district more than 10 years ago when the late Rajasekhara Reddy Government decided to set up a port-based special economic zone near Kakinada. The Andhra Pradesh Industrial Infrastructure Corporation (APIIC) acquired the land by paying Rs 3 lakh per acre to the farmers then.
The State Government signed a memorandum of understanding with ONGC for setting up an oil refinery, which was supposed to be the anchor industry, and it was promised that the KSEZ would create huge employment opportunities for the locals and lead to the all-round development of the area. However, the project made no headway.
ONGC backed out of the refinery project, stating that it was not viable, and then the Rajasekhara Reddy Government roped in the GMR Group and another MoU was signed. But till date there has not been much progress on the project.
Agitation
The farmers in the two mandals started an agitation which has been going on, sporadically, for the past five to six years. The Telugu Desam Party, when it was in the Opposition, supported the stir and promised that it would restore the lands to the farmers, but after assuming power a year ago, the party seems to have changed its stand. Senior leader and State Finance Minister Y. Ramakrishnudu hails from the area and he represented the Tuni Assembly constituency for a long time.
Compensation hike
In the backdrop, the State Government seems to have decided to increase the compensation for the farmers. The farmers who have already received Rs 3 lakh and registered their lands, would now get Rs 2 lakh more per acre and those who have not received the money yet will get Rs 9 lakh per acre. The farmers in the Kona area will get Rs 2 lakh more per acre.
Committees will be formed at the village level and the decision will be implemented after August 15, according to the District Collector.
The State Government also seems to be taking some steps to attract investment to the KSEZ of late, with a major Chinese toy unit coming up in the area. However, the refinery proposal still remains in limbo.
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