There was a time when Telugu Desam Party president and Andhra Pradesh Chief Minister N. Chandrababu Naidu frequently spoke about “Ease of Doing Business.” Now, however, the terminology appears to have changed to “Speed of Doing Business.” The government says this approach is aimed at granting approvals to investors at a much faster pace, enabling projects to take off without delays. This is one of the reasons why the state government has been holding Cabinet meetings twice a month, along with regular meetings of the State Investment Promotion Board (SIPB), to quickly clear investment proposals. While some of these projects are expected to benefit the state, others appear to be more advantageous to industrialists, potentially generating profits worth thousands of crores of rupees for private players.
The coalition government in Andhra Pradesh is set to complete two years in office in less than ten days. However, despite repeatedly emphasizing the concept of “Speed of Doing Business,” the government has yet to take a final decision on the Rushikonda buildings in Visakhapatnam, which were constructed during the tenure of former Chief Minister Y.S. Jagan Mohan Reddy at a cost of nearly ₹500 crore. The issue has already been used extensively for political purposes, and there is nothing unusual about a political party seeking to derive political advantage from such matters. However, critics argue that after securing those political gains, allowing a ₹500-crore public asset to remain unused for nearly two years is difficult to justify.
The government had constituted a ministerial sub-committee to examine the issue. The committee reportedly met several times and submitted its recommendations. Yet, despite all the discussions and recommendations, the Chandrababu Naidu government has still not arrived at a final decision regarding the property. According to official sources, the government continues to bear significant expenses in the form of electricity charges and other maintenance costs. Keeping a ₹500-crore asset vacant for two years has not only yielded no tangible benefits but has also imposed an additional burden on the state exchequer. Officials privately point out that despite this, the government continues to delay a decision on the matter.
One IAS officer reportedly remarked that approvals for new projects often create multiple benefits for those in government. However, since the Rushikonda project has already been completed, there may be little incentive to expedite a decision regarding its future use. Ministers themselves had earlier announced that leading hospitality brands such as Taj Hotels and The Leela Palaces, Hotels and Resorts, along with a few other companies, had shown interest in taking over the Rushikonda buildings. Yet, nearly six months have passed since those announcements, and no final decision has been made. As a result, questions are now being raised about whether this delay is consistent with the government’s much-publicized “Speed of Doing Business” model. Observers say it remains to be seen whether the coalition government will finally take a decision on the Rushikonda property before completing two years in office.