How Andhra Pradesh beats the clock and competing states to bag investments

At the India Today Conclave South, Andhra industries minister T.G. Bharath spoke about how the state benefitted from CM Chandrababu Naidu's quick decision-makingAndhra Pradesh minister for industries, commerce and food processing T.G. Bharath says the pace of decision-making by the Chandrababu Naidu government is the stand-out advantage in the state’s model of attracting investment. Bharath pitched the argument at the India Today Conclave South in Kochi on September 29.Taking part in the session ‘Speed of Doing Business: How AP Became an Investment Magnet’, Bharath said chief minister Naidu has put additional emphasis on taking decisions within a timeframe, and this was how the cabinet was able to approve investment proposals worth Rs 14 lakh crore in the past two years. He added that the total value of MoUs (memorandums of understanding) signed was even higher, at around Rs 50 lakh crore.The Telugu Desam Party (TDP) leader said Andhra Pradesh follows a cluster-based approach to industrialisation, with some industries localised at certain places. Naidu has also introduced governance reforms such as e-offices, wherein officers are marked for the speed at which they take decisions. The government is about to adopt an escrow-based model for releasing incentives to the industry. These measures, Bharath said, reduce the scope for corruption.Andhra Pradesh has a speedy land allotment model for industry. The minister said the allotted land, however, is first given under an agreement and transferred only upon completion of all conditions of investment and employment generation. This weeds out the non-serious players, he argued. Bharath also spoke about an early bird scheme whereby investors can get additional benefits for their projects. He said Naidu, among other measures, has been trying to promote work from home in a big way and is also focusing on pushing broadband internet connectivity in the rural areas.SESSION HIGHLIGHTST.G. Bharath“An entrepreneur from Dubai committed Rs 100 crore for developing Amaravati. This was due to the brand CBN (Chandrababu Naidu).”“The previous government (2019-24) brought policies with no guidelines. This was like having a car without keys. We brought policies with guidelines after comparing with other states.”“Usually, the cabinet meets twice a month and the investment promotion board and committee once a month. In case, we want to get an investment that other states too are vying for, the chief minister holds virtual meetings to pass proposals. That is the speed of doing business in Andhra Pradesh.”“Investment proposals for Rs 14 lakh crore have been cleared by the cabinet. We made a promise to create 2 million jobs. We are hungry to fulfil what we have promised to the people.”“The chief minister wants to do an escrow model for investment, which would clear incentive-based payments from the government to projects within a timeframe. This would reduce dependence on bureaucracy. If there is any delay in projects, the matter is flagged. Officers are being monitored for the time they take to clear files through an e-filing system.”Subscribe to India Today Magazine- Ends