AP Cabinet clears PPP policy, withdraws Disha bill, approves Amaravati projects

The Andhra Pradesh Cabinet on Thursday, August 6, approved the draft PPP Policy 2026, withdrew the Disha Bill and cleared several key infrastructure and industrial proposals in the greenfield capital city of Amaravati.
Briefing reporters after the Cabinet meeting, Information and Public Relations Minister Kolusu Parthasarathy said the Cabinet approved 33 agenda items covering investments, governance reforms, urban development, education and welfare initiatives.
"The Cabinet approved 33 agenda items, including the Public Private Partnership (PPP Policy), withdrawal of the Disha Bill and several infrastructures in the state, and industrial development proposals," Parthasarathy said.
The Cabinet approved the draft Andhra Pradesh PPP Policy 2026, aimed at attracting private investment in sectors such as transport, ports, airports, healthcare, education and renewable energy. The policy provides for Rs 1,500 crore under the Viability Gap Funding (VGF) scheme and a Bridge Fund to support financially unviable projects with long-term revenue potential.
The Cabinet also approved withdrawal of the Andhra Pradesh Disha Bill, after the Union Ministry of Home Affairs advised the state government to withdraw the existing legislation and submit a fresh Bill incorporating the Centre's suggestions.
The decision follows the implementation of the Bharatiya Nyaya Sanhita, 2023, and the Bharatiya Nagarik Suraksha Sanhita, 2023, which strengthened legal provisions relating to crimes against women and children. The state government said the objectives of the Disha Bill are now substantially covered under the new central criminal laws.
The Cabinet cleared major Amaravati proposals, including re-tendering of the Amaravati Eye project, twin office towers in Quantum Valley Tech Park, ratification of a Rs 300 crore Andhra Pradesh Capital Region Development Authority (APCRDA) loan, and land pooling for a railway line.
It also approved fresh and revised land allocations in the APCRDA area, Rs 122.2 crore compensation for Vaikuntapuram land pooling claims, and revised High Court consultancy costs. The claims relate to Endowment Inam lands in Vaikuntapuram village under the second-phase land pooling scheme.
The Cabinet extended the Rs 1.5 per unit electricity tariff subsidy for aquaculture farmers from June 1, 2026, approved an omnibus Ease of Doing Business law, and adopted the Pedestrian Safety Policy.
Among other decisions, the Cabinet approved administrative sanction of Rs 210.06 crore for 238 bathing ghats and other infrastructure works across six districts in preparation for Godavari Pushkaralu-2027.
It also cleared the creation of 15 District Educational Officer (DEO) posts in line with the newly formed districts, and the establishment of two private universities under the brownfield category.
Further approvals included redevelopment of the Velampeta slum in Visakhapatnam under the PPP mode, reorganisation of Urban Development Authorities (UDAs) in accordance with the newly reorganised districts, and adoption of the Andhra Pradesh Pedestrian Safety and Universal Accessibility Policy-2026.
The Cabinet also approved a reduction in monitoring charges levied by the Andhra Pradesh Transmission Corporation (APTRANSCO) and Andhra Pradesh Power Distribution Companies (APDISCOMs) for industries, a Rs 680.2 crore loan from the Housing and Urban Development Corporation (HUDCO) for the Andhra Pradesh Bulk Drug Infrastructure Corporation Limited (APBDICL), and land transfers for solar projects under the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM) feeder-level solarisation scheme in Kadapa district.
(Inputs from PTI)















