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CM Jagan Reddy Meets PM Modi, Discusses Andhra Pradesh-related Issues

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Andhra Pradesh Chief Minister YS Jagan Mohan Reddy on Monday met Prime Minister Narendra Modi in Delhi and discussed several key issues related to the State. During the interaction, he requested the Prime Minister to approve the revised cost estimates of Rs 55,657 crore at the 2017-18 price level, which includes a drinking water component of Rs 4,000 crore, and also to release the pending payments of Rs 2,100 crore already incurred by the State Government towards Polavaram project.

The Chief Minister said the total revenue deficit for the 2014-15 financial year was Rs 22,948.76 crore and the amount released to the State was only Rs 4,117.89 crore and requested that the remaining portion of Rs 18,830.87 crore be released at the earliest, to support the State during this hour of need.

The Chief Minister said several Rs 6,284 crore is receivable by Andhra Pradesh Generation Corporation Limited (APGENCO) from the Telangana State Distribution Utilities and Telangana DISCOMs have recognized the amount as payables but are yet to make the actual payment.

He requested the Prime Minister to direct the concerned authorities to settle these dues at the earliest so that the State power sector will be financially strengthened and the state’s payables to power suppliers can also be discharged.

The Chief Minister said there is inadequate coverage of beneficiaries under NFSA (National Food Security) Act, and a large number of needy and deserving persons being uncovered and requested the Prime Minister to direct the concerned officials that State’s data be revisited and corrected. He also urged that a comprehensive view be taken on the poverty levels in the State, wider coverage of the population of Andhra Pradesh under TPDS be ensured and the anomaly is corrected.

The Chief Minister said the NBC (net borrowing ceiling) for the financial year 2021-22 was originally fixed at Rs 42,472 crore as per the FRBM norms fixed by the Central Government and made applicable to every State. The Department of Expenditure, Ministry of Finance, Government of India has subsequently informed that an amount of Rs 17,923.24 crore is to be adjusted against the NBC fixed for this year on account of the overborrowing of the State during earlier years of the previous Government in the State.

The Chief Minister emphasized that the over-drawn was only borrowing and not a grant and the borrowing is also being serviced without any default. He has requested the Prime Minister that the State’s NBC be restored to its original level of Rs 42,472 crore.

The Chief Minister has urged PM Modi to renew the approvals of site clearances for greenfield international airport at Bhogapuram. Regarding setting up an Integrated Steel Plant in YSR Kadapa District, he said MECON, a Government of India undertaking has not yet concluded its report as to the feasibility of the integrated steel plant and urged the Prime Minister to direct the concerned officials to expedite it.

He said the state government has incorporated ‘YSR Steel Corporation Ltd’ for establishing the steel plant in YSR Kadapa district. For securing iron ore mineral for the proposed steel plant, requests have been made to the Ministry of Mines to reserve iron ore mineral areas in favour of a Government of Andhra Pradesh undertaking, AP Mineral Development Corporation Ltd. Such reservation is permitted by the extant legal framework.

However, the Ministry of Mines, Government has suggested the auction route for securing the supply of minerals. Auction route would minimize the possibility of availability of low-cost mineral, threatening the feasibility of the project, he said and urged the Prime Minister to direct Mines Ministry to reserve mineral areas as it is of vital importance for the future of the project.

Later, Jagan Reddy called on Union Finance Minister Nirmala Sitharaman and discussed the issues related to the state.

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