The Andhra Pradesh government is utilising ₹10,461 crore, which was released by the Union government under the revenue deficit grant fund for the 2014-15 financial year, to clear all small bills of contractors below ₹5 lakh as per the A.P. Reorganisation Act, 2014, a senior leader of the ruling YSR Congress Party (YSRCP) has said.
The contractors whose bills are yet to be cleared can expect payment in the next phase, he said.
The YSRCP leader, during a discussion, hinted that the government would get an additional ₹4,000 crore from the Central government through other provisions.
“Once the State government receives this money it could be used for clearing the dues of contractors if needed,” he said.
Apart from this, the State government is confident of receiving another ₹12,911 crore for Polavaram irrigation project as soon as the Union Cabinet approves the proposal.
“The Union Ministry of Finance and the Union Ministry of Jal Shakti have given their nod for it and only the approval of the Cabinet is pending,” YSRCP general secretary and Rajya Sabha member V. Vijaya Sai Reddy said in an interaction with the media.
Once the State government receives this amount, the total additional funds from the Centre in the first quarter of the financial year would touch ₹27,372 crore and it is a significant development.
