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Andhra Pradesh Details ₹66,523-Crore PPP Plan for Urban Infrastructure by 2029

A defined pipeline backed by fresh funding signals that execution is starting.

Overview

  • The state set aside ₹2,000 crore in this year’s budget as viability gap funding to attract private bidders.
  • A pipeline of 33 PPPs has been announced across mobility, water, housing, tourism and renewable energy, with waste-to-energy clusters worth about ₹1,254 crore advancing in Nellore, RajahmundryKakinada, Kurnool, Kadapa, Vijayawada and Tirupati.
  • Targets include five smart cities with integrated digital systems, upgrades to 2,500 km of roads and 15 new urban transit systems, plus green building norms aiming for roughly 40% higher energy efficiency.
  • The financing stack draws on municipal and green bonds, international lenders, the Urban Challenge Fund (₹10,000 crore) and a ₹400 crore credit enhancement programme, alongside nearly ₹2,000 crore in urban reform incentives being finalised.
  • A land monetisation drive has identified 1,300 acres across 73 parcels in 18 urban development authorities, with expressions of interest already issued in four.