Amaravati - AP farmers' loss, Singapore Companies' gain

(Sakshi Web Exclusive)

It is now increasingly becoming clear that at the root of the AP Capital Amaravati's construction is mega huge realty business. The recent developments in Singapore show that the 34000 acres of land acquired from the farmers in Capital area are being handed over to corporate biggies.

In a development of far reaching complications, Teo Eng Cheong, who signed agreements on December 8, 2014 with the Andhra Pradesh Government for preparing masterplan for the AP Capital as the CEO of Singapore Government enterprise International Enterprise (IE) has resigned. Till now, this was touted as a Government-to-Government (G2G) agreement.
However, soon after the MoU, Teo Eng Cheong delegated the responsibility of preparing the master plans to private corporate companies Surbana International and Jurang International. These companies presented a three-phased master plan (Capital Region Plan, Capital City Master Plan and Seed Development Master Plan). This drawings in colour and the graphics were proudly shown to the people of the Andhra Pradesh.

Teo joins Surbana-Jurong
However, Teo Eng Cheong resigned as the CEO of IE and joined Surbana-Jurang, an agglomerate formed after the merger of Surbana International and Jurang International, as CEO. Till the master plan was prepared, these two companies functioned as separate entities. Thus the man who signed the MoU is now the CEO of the private companies that have prepared the master plan. He will take over from January 1, 2016.
After the master plan was received, the Government of Andhra Pradesh announced that it would select a master developer through Swiss Challenge.

Immediately after the announcement, Singapore Commerce Minister announced that his government would vie to become the master developer. Soon, Ascendas -Singh Bridge and Semb Corp of Singapore have sent expression of interest in working as the master developer. In Singapore, Ascendas-Singbridge, Surbana-Jurong and JTC have formed themselves into a consortium for the purpose of capital construction. But, these companies wanted the Seed Capital area to be 16.9 sq km as against the 8 sq km shown in the master plan. This is more than two times the proposed area.

Singapore Cos eying Capital lands
What are the implications of doubling the Seed Capital Area, which houses Raj Bhavan, Assembly, High Court, Secretariat, Ministers' quarters and MLA quarters?  It is clear that the Singapore companies want to develop the  additional land for realty. Can this happen without the State Government being complicit in this?
It is now clear that IE, a Singapore government enterprise, acts as a company that enters into MoUs and then delegates the work to companies that have expertise in the respective fields. Accordingly, it entered into an MoU with Government of Andhra Pradesh and has now paved way for private companies to take up the Capital Area construction work. It is now suspected that these private companies will demand huge profits for the work (already the companies are demanding 3000 acres for developing Amaravati). Any agreement they enter or any sub-contract these companies give should be through Capital Region Development Authority. This modus has been decided by the AP Cabinet. And who, pray, is the chairperson of CRDA? It is none other than Chandrababu Naidu.

K Sudhakar Reddy