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Reliance to take over Andhra transport

Hyderabad, Aug 20 (): Andhra Transport Corporation may be given to Reliance to manage as the losses have touched Rs 24,000 crore.

Andhra which inherited the loss-making public sector transport incurs Rs 100 crore losses every month. Reliance had offered the Congress government to manage the transport corporation when Andhra was undivided. The company was willing to absorb only 30,000 of the 70,000 staff. It was not ready to keep the clerical staff that is numbering 40,000. Operating crew and technicians would be retained.

The company said that it would pay Rs 25,000 per month to driver and conductor who are now getting Rs 12,000. The government will then have to offer VRS which will cost Rs 350 crore. Reliance has not decided on the amount it will pay to Andhra government for taking over the buses and infrastructure. The other option is that the Andhra Government infuses more funds into the corporation.

Andhra has put up a proposal to the Union government to set up an industrial corridor between Bangalore and Hyderabad via Anantapur and Kurnool districts. Already, there is an industrial corridor coming up between Visakhapatnam and Chennai.

A committee of Principal secretaries from roads, investment, infrastructure and finance has been formed for industrial and infra growth. Andhra has put in practice a Swiss challenge system to select investors for infra projects.

Any infra project proposal that is given to Andhra government will be put up on the website and if any other company comes with better solutions or planners with suggestions will be accepted. The high level committee will also coordinate rural and urban development projects including medical field to reduce infant mortality.

According to minister for roads, the land in Vijayawada is costing Rs 15 crore for an acre after it was announced as temporary capital and that the new one would be between the city and Guntur. Anantapur MP too said that an acre of land was around Rs 20 crore.