Adani Group to ground Rs.14,634-cr project in AP post-Hindenburg row

• Allotted 130 acres in which data park will be set up in 82 acres

• Tech park in 28 acres, skill university in 11 acres, High-end recreation park in 9 acres

• Project downsized from Rs 70,000 cr to Rs 15,000 cr

Visakhapatnam: Adani Group is all set to launch its first big ticket project in Andhra Pradesh following the sensational ‘disclosures’ made by Hindenburg Research, a New York-based investment management firm founded by short-seller Nathan Anderson.

Even as SEBI has approached the Supreme Court seeking extension of deadline to complete the probe into allegations of brazen stock manipulation and accounting fraud committed by the Adani Group, Vizag Tech Company Ltd (VTCL), a subsidiary of Adani Enterprises is scheduled to kick-start work on the Rs 14,634 crore project at Kapuluppada, on the outskirts of Visakhapatnam on May 3.

Permissions have been obtained from the agencies concerned to undertake construction in 130 acres allotted to the project proponent. VTCL will set up a data park in an area of 82 acres, a tech/business park in an area of 28 acres, a skill university in 11 acres and high-end recreation park in nine acres.

Chief Minister Y S Jagan Mohan Reddy and Adani Group Chairman Gautam Adani will participate in the function. Though the foundation stone-laying was scheduled to be performed during the Global Investors' Summit (GIS) on March 3, it had to be put off due to Adani Senor’s preoccupation.

The stone for the project was laid during the erstwhile TDP Government by then Chief Minister N Chandrababu Naidu in February, 2019 along with the ground-breaking ceremony for the Bhogapuram International Airport. “Both the projects for which functions were held amid fanfare just before the elections had no clearances whatsoever at that time. Now our Chief Minister is coming to North Andhra to launch the twin projects -- the data park and Bhogapuram Airport -- after all the clearances,” Minister for Industries and Commerce Gudivada Amarnath said.

The data park project will also have a 200 MW solar power plant. VMRDA has already accorded clearance for the layout. During TDP time, the project was mooted with an investment of Rs 70,000 crore over a period of 20 years. However, the YSRCP Government downsized it with an investment of nearly Rs 15,000 crore over a period of seven years.

The greenfield airport at Bhogapuram will come up as Visakhapatnam Airport, is a civil enclave developed on the INS Dega airbase of the Eastern Naval Command thereby imposing restrictions on movement of commercial flights.

GMR Group, which bagged the Bhogapuram project, will invest Rs 5,000 crore in the first phase. The State Government after sorting out legal hurdles, has handed over 2200 acres to the group. It will have a 3.5 km runway along with 22 aerobridges to enable handling 22 wide-bodied aircraft simultaneously. The first flight from Bhogapuram is expected to fly in 2025.

“Both the projects, for which stone will be laid by the Chief Minister on May 3 will accelerate development in North Andhra,” YSRCP regional coordinator and TTD Chairman Y V Subba Reddy said after reviewing the preparation for the airport and data park functions.

The data park and Bhogapuram Airport for which functions were held amid fanfare just before the elections had no clearances whatsoever at that time. Now our Chief Minister is coming to North Andhra to launch the twin projects after all the clearances

- Minister for Industries Gudivada Amarnath