How Andhra Pradesh beats the clock and competing states to bag investments

Andhra Pradesh minister for industries, commerce and food processing T.G. Bharath says the pace of decision-making by the Chandrababu Naidu government is the stand-out advantage in the state’s model of attracting investment. Bharath pitched the argument at the India Today Conclave South in Kochi on September 29.

Taking part in the session ‘Speed of Doing Business: How AP Became an Investment Magnet’, Bharath said chief minister Naidu has put additional emphasis on taking decisions within a timeframe, and this was how the cabinet was able to approve investment proposals worth Rs 14 lakh crore in the past two years. He added that the total value of MoUs (memorandums of understanding) signed was even higher, at around Rs 50 lakh crore.

The Telugu Desam Party (TDP) leader said Andhra Pradesh follows a cluster-based approach to industrialisation, with some industries localised at certain places. Naidu has also introduced governance reforms such as e-offices, wherein officers are marked for the speed at which they take decisions. The government is about to adopt an escrow-based model for releasing incentives to the industry. These measures, Bharath said, reduce the scope for corruption.

Andhra Pradesh has a speedy land allotment model for industry. The minister said the allotted land, however, is first given under an agreement and transferred only upon completion of all conditions of investment and employment generation. This weeds out the non-serious players, he argued.

Bharath also spoke about an early bird scheme whereby investors can get additional benefits for their projects. He said Naidu, among other measures, has been trying to promote work from home in a big way and is also focusing on pushing broadband internet connectivity in the rural areas.SESSION HIGHLIGHTS