Amaravati capital city project resumes with new tenders

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Amaravati capital city project resumes with new tenders
Amaravati capital city project resumes with new tenders
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Vijayawada: The long-delayed Amaravati capital city project is set to resume as legal and technical hurdles have been cleared, but the five-year delay has led to a 30% cost escalation. The Capital Region Development Authority (CRDA) has decided to cancel contracts from the previous TDP regime and issue fresh tenders to complete the works.

Initially, contracts worth Rs 41,000 crore were awarded under the TDP government. However, after the YSRCP assumed power in 2019, the works were stalled at various stages, causing significant setbacks. Damages to abandoned construction materials alone have cost the CRDA Rs 286.78 crore.

Amaravati capital city project resumes with new tenders
Amaravati capital city project resumes with new tenders

Municipal Administration and Urban Development Minister P Narayana highlighted additional burdens, including Rs 452.32 crore due to increased GST rates. He also accused the previous YSRCP regime of neglect, citing thefts of construction materials, including gravel, iron, doors, and air-conditioning machines, from the project sites.

The cost of constructing 360 km of trunk roads has risen by Rs 460 crore due to the delay. Despite these challenges, the CRDA has taken steps to address the issues and expedite the completion of Amaravati, signaling renewed efforts to deliver on the capital city project’s ambitious vision.