The Visakhapatnam-Chennai Industrial Corridor (VCIC) project is likely to take off with tenders to be called by the first half of 2016. Moreover, the Asian Development Bank’s retroactive financing and preparation of Detailed Project Reports (DPR) have reached the final stages.
A high-level team of the ADB met top officials of the Central and State governments and expressed satisfaction with the status of the project, which holds the key to the speedy development of the State.
They will now hold negotiations after going through the DPR, said Director of Industries Kartikeya Misra. He added that the VCIC comprised 10 road projects, 16 in the energy sector, two projects of APIIC and four of the Greater Visakhapatnam Municipal Corporation proposed for funding by the ADB.
The government expects a loan of $ 500 million from the bank, for which it has to give a matching grant of $ 215 million. However, a clear picture on the modalities of the loan will emerge during the negotiations.
The timeline of VCIC has been drawn for the next 30 years, during which the infrastructure needed for industrial development will be provided.
“The VCIC and the Bangalore-Chennai industrial corridor that pass through AP are of great significance, and the impetus given to them by the Central government would not have come at a more opportune time,” he observed.
Mr. Misra also announced the government’s plan to extend Kankipadu-Gannavaram node of the VCIC up to Amaravati to give a fillip to industrial development and job creation in the capital region.
Joint Director of Industries Department G. Rajendra Prasad was also present.
A high-level ADB team interacts with top officials of the Central and the State governments
