AP Govt discussed on Revised Cost Estimates of Polavaram Project at 2017-18 price:- The Andhra Pradesh Finance Minister Buggana Rajendranath Reddy met Union Finance Minister Nirmala Sitharaman and discussed about the Polavaram project Revised Cost Estimates at 2017-18 price level. Thanking to the Nirmala Sitharaman, Union Finance Minister for agree to release Rs 2,234 crore of Rs 4,000-odd crore which was spent by the government on the Polavaram project. Rajendranath told about that if the revised cost estimates(RCE) at 2017-18 is not accepted, the problems which as to be faced by the AP State government in executing the Polavaram project.

Rajendranath said that previously TDP government for agreeing to the 2013-14 cost estimates, the Land Acquisition, Rehabilitation and Resettlement (LARR) was calculated based on the preliminary estimates of 2005-06.

He said, "I explained the subsequent developments, including the project displaced families, RCE I, II and Revised Cost Committee and urged the Centre to go through the developments. By agreeing to 2013-14 estimates by the previous TDP government, the State will have to bear a burden of Rs 17,000 crore."

Rajendranath told, "In 2013-14 estimates, an approximate one lakh acres were to be acquired, but later it increased to 1.50 lakh acres. This is because the 2013-14 estimates were based on 2010-11 figures, which were in turn taken from 2005-06 figures."

He also said, "The then TDP government should have raised the issue as the Centre in April 2014 passed a Cabinet resolution stating that there is a possibility of increase in cost related to rehabilitation and resettlement, escalation of project cost as it might take years to execute. However, the TDP government in 2017 agreed to the 2013-14 estimates, which is now posing a major hurdle to the national project."

Rajendranath said that the Union Minister Nirmala Sitharaman promised to look into the "factual position" which was explained by the AP government.

(Video Source: ETV Andhra Pradesh)