Nagarjuna Construction gets AP Bhawan project

Hyderabad: A consortium of Nagarjuna Construction Company, NCC Infra Holdings has been awarded the Rs 1,000-crore project for development of Andhra Pradesh International Centre at AP Bhawan in New Delhi.

“The Andhra Pradesh Cabinet approved the proposal for development of Andhra Pradesh International Centre consisting of an International Convention Centre, a guest house with five-star facilities, club house and residential quarters,” Mr Anam Ramnarayan Reddy, Information Minister, Andhra Pradesh, said.

The developer has agreed to pay the State Government 12.35 per cent on its annual gross revenue of the project during the licence period (30 years from commencement of commercial operations). In addition, the developer will also pay an annual minimum guaranteed amount of Rs 45 crore during the first 10 years from commencement of commercial operations, Rs 60 crore during the next 10 years and Rs 75 crore in the last 10 years.

The Cabinet also approved a proposal to allot 3,333 acres in Srikakulum District for setting up a 2,600 mega watt (MW) thermal power project to East Coast Energy Company. The allotment is part of 16,249.88 acres approved by the Cabinet for four major infrastructure projects in the State.

Mr Reddy said that the land for East Coast will cover five villages — Kakarapalli, Akashalakavaram, Kotapadu, Pothinayudupeta and Vaditandra — and has been given at a market rate of Rs 85,000 an acre through Andhra Pradesh Industrial Infrastructure Corporation.

The Cabinet approved allotment of 972.69 acres in Sompet for a 1,980-MW thermal power project to be set up by Nagarjuna Construction Company Ltd. “Approval was also given for allotment of 6,493.19 acres spread across 14 villages at Rs 1.52 lakhs an acre for the Vanpic Port Project in Prakasam District (Vadarevu Sea Port) and for 5,451 acres spread across seven villages in Guntur District (Nizampatnam Sea Port),” Mr Reddy said.