The Cabinet on Wednesday cleared a proposal to develop the Bhogapuram International Airport near Visakhapatnam in a Public-Private Partnership (PPP) mode. The Cabinet has decided to permit GMR Group to go ahead with the development of the airport.
Addressing a press conference on Wednesday, Information and Public Relations (I&PR) Minister Perni Venkataramaiah (Nani) said that the Cabinet approved the “highest bid” offered by GMR. “Initially, it was proposed to develop the airport on 2,703 acres of land but now we have decided to give only 2,200 acres to GMR for the purpose. The remaining part of the land will be developed by the State government, “ he said, adding, “The Cabinet decided to go ahead with GMR as it did not involve any monetary commitment on part of the government.”
Mr. Perni Nani said that the Cabinet has decided to permit the AP Genco and Andhra Pradesh Power Distribution Corporation Limited to avail ₹1,000-crore bank loan each. The State government would give counter-guarantee to them.
With the new loans, thermal power stations of 800 MW in Krishnapatnam and 800 MW at VTPS would be developed, he said.
