From Our Correspondent
Amaravati: The Government of Andhra Pradesh has approved the formation of a Special Purpose Vehicle (SPV) under the Companies Act to take up major infrastructure and development projects in Amaravati, giving a renewed push to the capital city’s long-stalled works.
According to a government order (G.O. Ms No. 206) issued by Municipal Administration and Urban Development (MAUD) Principal Secretary S. Suresh Kumar on October 7, the SPV will be responsible for the “development, implementation, operation, and management of special projects in the Amaravati capital city and region.”
With this, the Amaravati development responsibilities will now be shared among the A.P. Capital Region Development Authority (APCRDA), the Amaravati Development Corporation (ADC), and the newly created SPV.
Focus on Special Projects
The State has identified a set of flagship projects to be taken up by the SPV — including a greenfield airport, NTR statue, iconic bridge, smart industries, Sports City, riverfront development, ropeway, and Inner Ring Road (IRR).
These projects largely fall under the second phase of Amaravati development, linked to the Land Pooling Scheme (LPS) 2.0. The SPV will also implement additional projects identified by the government or the CRDA from time to time.
SPV Structure and Capital
The new entity will have an initial authorised capital of ₹10 crore and an initial paid-up capital of ₹1 crore, divided into 10 lakh equity shares of ₹10 each.
The Government of Andhra Pradesh, through the MAUD Department, will hold 99.99% equity, while 0.01% will be shared by the APCRDA and other nominated government officers or agencies to meet statutory requirements under the Companies Act, 2013.
The Board of Directors will include the Principal Secretary of MAUD as non-executive chairperson, and the Principal Secretaries of Finance, Energy, Transport, and Industries, along with the Commissioner of APCRDA as directors.
Cabinet Nod for Amaravati Revamp
At the state cabinet meeting held on Friday, chaired by Chief Minister N. Chandrababu Naidu, several proposals related to Amaravati were cleared, including the SPV’s formation and steps to resume land acquisition for capital region projects.
Information Minister Kolusu Parthasarathy said the SPV would oversee township construction, infrastructure, and maintenance, in line with APCRDA resolution 575/2025. He described the move as a “clear signal of the government’s intent to accelerate capital city development.”
Land Acquisition and Exemptions
The cabinet also gave the green light for land acquisition under the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement (RFCTLARR) Act, 2013, to be handled through the Guntur District Collector for institutional and industrial allocations.
Earlier notifications covering 343.36 acres will be withdrawn.
In a key decision, Amaravati projects have been exempted from Social Impact Assessment (SIA) and Food Security provisions by invoking the 2018 State Amendment to the RFCTLARR Act, expediting clearances and implementation.
Reaffirming Amaravati Vision
Officials said the formation of the SPV reflects the government’s determination to reignite Amaravati’s capital city vision and ensure structured, accountable, and faster execution of large-scale projects under a coordinated institutional framework.