AP Cabinet Nod For Amaravati SPV, Land Acquisition
The cabinet revived several water resource projects stalled by the previous government.

Vijayawada:The state cabinet meeting on Friday cleared several proposals related to Amaravati. It approved the proposal for a Special Purpose Vehicle (SPV) to execute capital city projects and take fresh steps for land acquisition.
Briefing the media about the cabinet decisions, information minister Kolusu Parthasarathy said the cabinet approved the setting up of the SPV under the Companies Act to oversee Amaravati capital region projects including the township construction, infrastructure and maintenance.
The measure, in line with APCRDA resolution 575/2025, signals the government’s resolve to speed up capital city works.
Further, clearances were given for land acquisition processes under the 2013 LARR Act, empowering CRDA to proceed through the Guntur collector for ongoing institutional and industrial allotments. About 343.36 acres that were notified earlier would be withdrawn.
Importantly, Amaravati projects were exempted from the provisions of the Social Impact Assessments and Food Security provisions by invoking the 2018 state amendment to the RFCTLARR Act.
The cabinet revived several water resource projects stalled by the previous government.
HNSS Scheme: The cabinet approved works worth Rs 72.3 crore, including the Amidyala lift near Rockettla village and Phase-II Package 52A.
Flood Repairs: The cabinet sanctioned Rs 449.9 lakh for safety works at Prakasam Barrage and Diviseema, with earlier repairs worth Rs 107 crore already under way. Mylavaram Dam, Kadapa: The strengthening of gates and bolts would be done at a cost of Rs 3.19 crore, as per the cabinet decision.
Tirupati Supply Scheme: The cabinet okayed an allocation of Rs 126 crore for irrigation of 1.15 lakh acres and a provision for drinking water to Tirupati and Tirumala.
Kottalapalli Lift, Anantapur: Sanction was given for grant of Rs 55.6 crore for irrigating 10,500 acres. Mid Pennar Modernisation: Rs 5.2 crore granted for repairs and beautification of the 1962 project.
Assistance to drivers: The cabinet endorsed GO-Ms-33 granting Rs 15,000 as annual assistance to over 2.9 lakh auto and cab drivers statewide. The Rs 436 crore scheme would be rolled out on October 4 and it aims to ease financial pressure on drivers, similar to the much-utilised Mahila Shakti initiative.
Caravan Tourism: Two tourism support measures were cleared by the cabinet under the 2024–29 policy. Caravan tourism will be promoted with tax rebates and incentives for private operators, while home-stays of up to six rooms near temple towns will be recognised to meet accommodation demand, the minister said.
AMRUT works: The cabinet sanctioned Rs 10,319.9 crore for 281 AMRUT 2.0 works under the water action plan, to be implemented under a hybrid annuity model.
The government guarantee was extended to secure Rs 1,000 crore loan from NCDC for MARKFED, which would help APSCSCL clear paddy procurement dues. The government procured 53 lakh tonnes of paddy this year, settling 95 per cent payments within 24 hours. Support for tobacco, cocoa and mango farmers was reiterated.
Green Hydrogen Valley: AP will be the first state to set up a Green Hydrogen Valley, with an advisory committee having been formed to promote hydrogen and its derivatives. M/s AM Green Ammonia at Kakinada would be granted concessions on stamp duty and registration fees to speed up its 1 MMTPA project.
Other cabinet decisions included scrapping the “two-child norm” in irrigation committees, approval for MoU with Survey of India on CORS mapping, and a new Assigned Lands amendment bill, the information minister said.

