: The first phase of the Muktyala-Vijayawada-Kakinada waterway is poised for grounding in the foreseeable future as the financial bids for Muktyala-Chamarru (30km) and Chamarru-Harischandrapuram (38 km) links will be opened this week and tenders awarded for works estimated to cost Rs. 69.76 crore.
Principal Secretary (Energy and Infrastructure and Investment) Ajay Jain stated in a press release that it was a part of the government’s plan to develop inland waterways as a cost-effective means of transportation, control pollution and promote tourism.
The Government of India has agreed to bear the cost of land acquisition to the tune of Rs. 500 crore for the Muktyala–Vijayawada-Kakinada stretch of the National Waterway-4 that connects Kakinada with Puducherry.
Accord on SPV
The Inland Waterway Authority of India (IWAI) which is developing the project at an approximate cost of Rs. 3,200 crore, has agreed to meet the cost of dredging, modifying cross structures apart from land acquisition for the terminals. The IWAI has entered into an agreement with the Government of Andhra Pradesh for forming a Special Purpose Vehicle for the development of NW-4 and other waterways in the State.
The stretch of River Krishna from Vijayawada to Muktyala (Jaggaiahpet) would be dredged to create a waterway for moving cement required for the construction of Amaravati, the new capital city of A.P. These waterways will help in transporting cement at cheaper prices to cement industries located on the border of Krishna and Nalgonda districts.
While the Detailed Project Report and tender documents for setting up Inland Water Transport (IWT) terminals in the Muktyala–Vijayawada stretch of Phase 1 are to be submitted to the IWAI, the A.P Water Resources Department will identify three to four terminals on priority so that potential cargo commitments can be enabled.
