The Centre has released a sum of Rs 1,269 crore to Andhra Pradesh under different heads in the last few days in order to implement special financial aide relief to the state, as promised post the bifurcation of the state in 2014. The gross grant included Rs 417.44 crore for the Polavaram multipurpose project.
Last few days saw heightened protest by Andhra Pradesh MPs in both house of Parliament demanding Central relief. There were also reports of the strain in ties between the NDA and its ally TDP over allocation given to the state in the Union Budget.
“The release (of Rs 417.44 crore) is towards the amount already utilised by the state against the irrigation component (of Polavaram) after April 1, 2014,” an order issued by the Union water resources ministry’s senior joint commissioner, RPS Verma, said.
The Centre, through the Polavaram Project Authority, had so far released Rs 4,329 crore for the project while the state government said it spent over Rs 7,200 crore after it was declared a national project.
Andhra Pradesh finance minister Yanamala Ramakrishnudu submitted a memorandum to Union Finance Minister Arun Jaitley last month stating that a sum of Rs 3,217.63 crore, spent on Polavaram, was yet to be reimbursed to the state.
Of this, the Centre has now released Rs 417.44 crore, an official of the water resources department here said.
The Centre, meanwhile, also released Rs 369.16 crore last night under post-devolution revenue deficit grant, as per the recommendation of the 14th Finance Commission, to Andhra Pradesh.
The Centre also released Rs 253.74 crore as ‘basic grant’ to urban local bodies in the state. This was the second instalment during the current financial year.
Apart from this, a sum of Rs 196.92 crore was released for the anganwadi services scheme and the supplementary nutrition programme and another Rs 31.76 crore was released for the Mahatma Gandhi National Rural Employment Guarantee Programme, a state official said.
(With inputs from PTI)