AP Cabinet Clears ₹9,355-Crore Drinking Water Projects, Approves Key Policy Decisions

Amaravati: The Andhra Pradesh Cabinet, chaired by Chief Minister N. Chandrababu Naidu, on Friday approved over 30 agenda items, including major infrastructure, welfare and investment proposals.

The Cabinet cleared ₹9,355 crore for 10 multi-village drinking water supply schemes across rural areas. It also granted administrative sanction for 2,943 drinking water projects worth ₹1,811 crore in water-scarce regions.

Among key decisions, the Cabinet approved the establishment of a National Investigation Agency (NIA) special court in Visakhapatnam. It also discussed setting up a logistics park over 63 acres in Tirupati district.

To boost tourism, the Cabinet approved a dedicated policy for organising concerts in the state and sanctioned ₹50 crore for tourism promotion. Incentives were also cleared for hospitality projects, including ITC Hotel in Nellore, Madhavi Hotel in Kadapa, and Sarovar Portico in Vijayawada, along with an integrated amusement park in Kadapa.

In the education sector, approval was given to set up Ambedkar Gurukul Centres of Excellence in Visakhapatnam, Guntur and Nellore. The Cabinet also cleared proposals for residential coaching for IIT-JEE and NEET aspirants.

Irrigation and infrastructure proposals such as modernisation of Peddagedda reservoir command area, feeder channels in Kuppam, and Beeraganipalle reservoir were also approved. The Cabinet further cleared incentives for large-scale investments based on recommendations of the State Investment Promotion Board (SIPB) and approved land allotments to firms cleared by the CRDA authority.

Amaravati Land & Farmer Relief:

The Cabinet approved loan waivers for farmers who will part with land in the second phase of Amaravati development. Farmers in seven villages opting for land pooling will be eligible for loan waivers up to ₹1.5 lakh, applicable to loans taken before January 6, 2026.

It also approved enhancement of annual lease amounts for farmers — ₹40,000 for dry land and ₹60,000 for wet land, with annual increases of ₹3,000 and ₹5,000 respectively.

Compensation was approved for 307 acres of assigned (inam) lands, with ₹159 crore to be paid to the Endowments Department.

Additionally, the Cabinet cleared land allotments for setting up a large aquarium and office for the NFDB, as well as for organisations such as Isha Foundation, Art of Living, and the CII Global Leadership Centre.