BJP

N Chandrababu Naidu

Rayalaseema Steel Corporation

Telugu Desam Party

TDP

Andhra Pradesh

Trying to thwart the’s attempts to fuel Rayalaseema sentiment, thegovernment on Tuesday decided to createto set up and run a steel plant with Rs 15,000 crore to Rs 18,000 crore in Kadapa. The state government proposes to bear the 100 percent investment through loans.This major decision comes in the wake of Chandrababu Naidu’s vow to develop the state without the Centre’s help. Naidu’shad snapped ties with the BJP-led NDA in March this year, accusing it of meting out injustice to the bifurcated state.The BJP, in its attack on Naidu, has been accusing him of ignoring Rayalaseema development. BJP spokesperson GVL Narasimha Rao, who has been targeting the, has been demanding that a high court should be set up in Rayalaseema. Chandrababu Naidu turned down the demand saying the high court should be in the administrative area of Amaravati.Rayalaseema comprises four districts: Kurnool, Anantapur, Kadapa and Chittoor. Chandrababu hails from Chittoor district.The name Rayalaseema Steel Corporation will bring identity to the region at national level. Already, Kia Motors has set up its plant in Anantapur district. Steel plant in Kadapa is a promise made in the AP Reorganisation Act that separated Telangana from. However, the steel ministry has not taken a decision on the plant. It has set up various committees for assessing the feasibility. Last month, Naidu asked the Centre to make clear its stand on the plant issue.While estimating that the project would involve Rs 15,000 crore to Rs 18,000 crore, Naidu told the cabinet that raising funds would be possible because of the availability of iron ore.With no positive indications from the steel ministry, the state cabinet on Tuesday took the crucial decision to set up the plant on its own.Another important decision by the cabinet was to build metro rail project on a Public Private Partnership (PPP) model in Visakhapatnam. Information and Public Relations Minister K Sreenivasulu said the Korean government had come forward to extend Rs 4,200 crore loan for the Vizag metro rail project.The cabinet also decided to write three letters to Prime Minister Narendra Modi on the non-implementation of commitments made in the bifurcation act.