AP approves Vijayawada metro project.

The Andhra Pradesh government has approved the Rs. 6,823 crore 26.3-km-long Vijayawada metro rail project to be part-funded by JICA.

The project is to be executed with Rs. 3,000-crore credit line from Japanese agency JICA and Rs. 866 crore (about 14.4 per cent) each by the Centre and State Governments.

The State Cabinethas also approved the new excise policy and VAT rebate to gas supplied to power plants in the State.

To be implemented by 2019, the metro project proposes to connect new capital Amaravati and the Gannavaram Airport and Vijayawada with two lines.

The Cabinet also decided to waive 14 per cent VAT on gas for supply to power projects, facilitating 250 MW power generation. This is part of the Centre’s efforts to revive stranded gas plants. The power from the gas plant would be supplied at Rs. 4.70 per unit.

The new excise policy was also approved with some changes and it will be effective from July 1. Details of the policy would be released in a couple of days through an order, Kollu Ravindra, Excise Minister, said.

The government also decided to perform the ground breaking ceremony of new capital city of Amaravati on October 22 and to invite Prime Minister Narendra Modi, Singapore and Japanese Prime Ministers for the event.

Referring to Mangampeta barytes mines, State Information Minister Palle Raghunath Reddy said the State expects to generate about Rs. 1,800 crore to Rs. 2,000 crore in revenues by way of sale of the barytes mined. This would be a quantum jump over the Rs. 400 crore averaged per year in the past few years.



HBL