Hyderabad: The TS government on Monday formed a special purpose vehicle to construct the 12,500-acre Pharma City on the city outskirts. The SPV is being registered as a private limited company against the earlier proposal of a public-private partnership. The government, which is facing severe financial constraints, is learnt to be in favour of mobilising the financial resources from private investors.
The government will acquire the land by paying compensation to owners. It will mobilise funds from private investors to develop infrastructure and allot space to pharma units. The Centre recently accorded National Invest-ment and Manufacturing Zone status to the Pharma City in January this year. It is subject to the condition that the state government forms the SPV as envisaged in the National Manufacturing Policy.
The government has designated TSIIC as a project proponent and nodal agency for Pharma City. Industries minister K.T. Rama Rao has taken special interest on expediting work on the Pharma City. He visited New Delhi several times and met Union commerce minister Nirmala Sitharaman and senior officials to seek faster approvals for the project. A world-class effluent treatment plant at a cost of '1,500 crore is being set up in the Pharma City to treat the chemical discharges without causing pollution.
