Even as the controversy over the allotment of 60 acres of land to Ursa Clusters in Visakhapatnam stirs political circles and draws sharp criticism from various quarters, the Chandrababu Naidu-led government is making a strong effort to defend its decision.
The company claimed it is purchasing the land at ₹50 lakh per acre in Kapulappada and ₹1 crore per acre in the IT Park area of Visakhapatnam.
The government clarified that the land allotment would be carried out in accordance with the APIIC Land Allotment Regulations, 2023 — formulated during the Jagan Mohan Reddy administration.
As per these regulations, the land will be allotted to the company through a Sale Agreement, which will include specific conditions tied to the implementation of the project, as outlined in the Detailed Project Report (DPR) submitted by the company.
"The Sale Deed will be executed only after the successful implementation of the project. The company must fulfill its investment and employment commitments within the agreed timelines. If it fails to do so, the allotment will be cancelled and the land resumed by APIIC. These conditions will be clearly specified in the Sale Agreement to safeguard the interests of APIIC and the state government," the government stated in its clarification.
The Andhra Pradesh Economic Development Board (APEDB) thoroughly reviewed the DPR submitted by the company and approved the land allotment only after being satisfied with the proposed conditions.
“The APIIC also assessed the applicant’s technical capability based on the promoters' past experience. The financial capability of the applicant was reviewed to ensure sufficient equity and debt sources were available to raise the capital required for the proposed project,” the government added.
