naidu snubs pawan kalyanChandrababu Naidu said his government’s focus on building a larger capital city was for the sake of economic development and the employment generation rather than just housing a couple of government buildings. He brushed aside the voices of opposition against forcible acquisition of farm lands in the proposed capital city area. His fresh remarks on the land issue came hours after Pawan Kalyan turned the tables on the state government by promising the farmers that he would fight on their behalf if the government tries to take away their lands by force.

“Why should the government need such a large extent of land for building the capital city in the first place,” Pavan Kalyan questioned during his maiden visit to the villages falling under capital city area. Pavan said that he would start even indefinite fast if the government uses the land acquisition act against the farmers lands.

“When 95 per cent of the farmers had willingly parted with their land for building the capital city under the voluntary land pooling system there was no reason why the rest should not fall in line,” the Chief Minister said in defence of his government’s stated position that the land acquisition act will be used against those who did not join the land pooling system. Taking light of the objections raised by Pavan Kalyan, Naidu also said the farmers who did not join the land pooling system only wanted to make more money at the expense of others and not out of their love for cultivation.

With no funds from the centre, AP looks at PPP model for capital construction

Ending the suspense on how exactly the government was going to develop the capital city, Naidu today said the land will be given to the developers after setting aside the farmers’s share and the land meant for the common infrastructure. ” The 25 per cent of the land will be given back to the farmers in the form of the developed plots and 50 per cent of the land will be set aside for building the common infrastructure including roads and parks. The remaining 25 per cent of the land will be given to the developers,” Naidu said while addressing a seminar meant for Japanese entrepreneurs. Barring a few government buildings such as assembly and Raj Bhavan, the government intends develop rest of the office space and the residential quarters for the government employees through the private developers in exchange for the land while looking at developing the common infrastructure like roads with the Central funds. Naidu cited resource constraints for choosing the public private development mode for developing the capital city.

According to some sources, the government was considering a proposal to allot land parcels of 100-200 acres each to the developers on a 70:30 basis wherein the private developer would give 30 per cent of the built up area to the government in exchange for the land and keep the rest for their own commercial real estate endeavors. Naidu said his government is taking steps in such a way that all the developed plots that would be given to farmers would also enjoy a good premium. One such step was to develop the industrial nodes around the capital city to create enough demand for businesses and real estate.