
The much-hyped Amaravati capital city — the dream project of Andhra Pradesh Chief Minister N. Chandrababu Naidu — has finally begun to take shape. Contracts have been awarded to various developers, and construction is underway in earnest.
The greatest credit for this project undoubtedly goes to the 24,000-odd farmers from 29 villages in the Amaravati region, who collectively gave up nearly 33,000 acres of fertile land through the land pooling scheme.
According to the agreement signed with the Andhra Pradesh Capital Region Development Authority (APCRDA), these farmers were allotted 250–400 square yards of commercial land (depending on location) and 1,000 square yards of residential land in the capital region for every acre they surrendered.
Additionally, each farmer received an annual annuity of ₹30,000 to ₹50,000 per acre — based on whether the land was dry or wet — for a period of 10 years, with a 10% increase each year.
Farmers who received returnable plots — both commercial and residential — are now pleased to see the Amaravati works resume, as the value of their plots has significantly appreciated.
According to officials, about 98% of the farmers have already registered their allotted plots in their names.
While some farmers have sold their plots to meet personal needs, others are considering developing them for commercial or residential purposes to recover the value of the land they gave up.
However, it appears that the Naidu government is now eyeing these very properties, seeking a share in the developed plots.
A couple of weeks ago, APCRDA officials held a meeting with farmers at their regional office and presented a new proposal.
Under this proposal, farmers are being asked to provide 10% of the built-up housing units in high-rise apartments — constructed on their pooled plots given for development — to the government at subsidized rates.
APCRDA officials explained that this initiative is intended to provide housing for the poor in Amaravati, particularly those who did not own land and therefore were not part of the original land pooling scheme.
However, sources allege that the real intention may be different: the government could potentially sell these subsidized units at higher prices to wealthy buyers, generating profits under the guise of a welfare initiative.
“Though the stated objective is to raise funds to build houses for the poor, it’s quite evident that influential politicians could end up acquiring these units at lower rates,” one source claimed.
Farmers have strongly opposed the APCRDA’s proposal, arguing that they already made a major sacrifice by surrendering their fertile land and receiving only 25 cents per acre in return. They questioned how much more they are expected to give up for the capital city.
Many also criticized the government for proposing this new policy before developing the basic infrastructure for the allotted plots.