March 15, 2017 9:27 PM

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Special assistance measure for Andhra Pradesh by way of special dispensation in funding of EAPs

The Cabinet gave its approval for the special assistance measure for Andhra Pradesh by special dispensation in funding of Externally Aided Projects (EAPs) and funding of irrigation component of Polavaram project. <br/><br/>The Central Government will provide special assistance measure to Andhra Pradesh, which would make up for the additional Central share the State might have received during 2015-16 to 2019-20, if the funding of Centrally Sponsored Schemes (CSS) would have been shared at the ratio of 90:10 between the Centre and the State. The assistance will be provided by way of repayment of loan and interest for the EAPs signed and disbursed during 2015-2016 to 2019-20 by the State. <br/><br/>The centre will also provide 100 per cent funding of the remaining cost of the irrigation component of the Polavaram project to the extent of the cost of the irrigation component on 1st of April 2014. Andhra Pradesh Government will execute the project on behalf of Centre. However, the overall coordination, quality control, design issues, monitoring and clearances related issues are to be dealt by the Polavaram Project Authority of Ministry of Water Resources. The Polavaram Project Authority will also assess the cost of the irrigation component as on 1st of April 2014 in consultation with the Ministry of Finance.

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