AP Council Uproar on Allotment of Lands to Industries at Rs 99 Paise

The council session on Thursday was presided over by its chairman Koyy Moshenu Raju. He allowed the start of the Question Hour.

Update: 2026-02-12 15:45 GMT
Education and IT minister Nara Lokesh. (DC)

 Vijayawada: The forty-ninth session of the Andhra Pradesh Legislative Council has witnessed noisy scenes as the YSR Congress members targeted the Telugu Desam led government, accusing it of giving away valuable land at a throwaway price of Rs 99 paise per acre to industries, IT companies etc in Visakhapatnam and other places.

The council session on Thursday was presided over by its chairman Koyy Moshenu Raju. He allowed the start of the Question Hour.

YSRC members Tumati Madhava Rao and Varudu Kayani sought details of lands allotted to industries, commercial enterprises and other institutions at the rate of 99 paise in the last 20 months. They also asked for details of MoUs entered into, and the industry-wise allotment of lands and rates.

Education and IT minister Nara Lokesh informed the house that the government provided land to five companies -- TCS, Cognizant, Raheja, ANSR and Motherson International. They, he said, enjoyed a lot of credibility and are having business interests in several states. The land was provided to them at the rate of 99 paise “in a transparent manner,” he said.

Lokesh said it was the state government’s policy to give land to such reputed companies at the rate of 99 paise, as was also being done in Gujarat.

Member Tumati Madhavara Rao said if the government went on giving away the valuable and costly lands at such a cheap rate, there would be no land left for the government in future.

Member Varudu Kalyani asked as to why such lands should be given away at such a dead cheap price. Kalyani asked why the government could not auction the lands to get a good revenue.

She alleged the state government tried to give away land at low rates to a real estate developer in Visakhapatnam.

Lokesh reacted sharply to the allegations and asked the member to come up with proof. He claimed that the government gave away lands to only five firms. “I am ready to quit his post if any wrongdoing on my part is proven,” he said and asked the member to withdraw her statement if she was not in a position to furnish proof.

Agriculture minister K. Atchannaidu repeatedly asked the members to confine themselves to the subject under discussion. He cited the Gujarat experiment, saying that the state witnessed fast-paced development after it offered lands to various industries to set up their units in the state.

Tumati Madhava Rao continued to speak even as the minister was giving a reply. Lokesh suggested giving some “BP pills” to the member to control his "rising blood pressure".

Later, the minister explained in detail as to why the government was giving away the land to industries at the rate of 99 paise. “We have targeted creation of five lakh jobs in the IT sector alone. If more industries and IT companies come and invest in the state, it would also help create a vibrant ecosystem for development.”

He explained how the Sri City in Tirupati district and the medical devices manufacturing hub developed in the private sector in Visakhapatnam. He also explained that the creation of jobs would provide secondary employment opportunities too through the sprouting of several ancillary units, all of which would together strengthen the state’s economy.

However, leader of the opposition Botsa Satyanarayana explained the IT ecosystem system was developed in Visakhapatnam in 2004 and how the YSRC government brought in the Adani Data Centre in Visakha that year. He announced a walkout in protest against lack of transparency in land allotment.

The house also witnessed a heated debate on pensions and schemes like Thalliki Vandanam and Annadata Sukhibhava, where the opposition YSRC targeted the government. The opposition said some beneficiaries were getting only Rs 7,000 to Rs 8,000 instead of the promised Rs 15,000.

The state government promised to resolve all such issues.

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