The Cabinet approved three MoUs with IBM, TCS, and L&T for the Quantum Valley Project, positioning Andhra Pradesh as a tech innovation hub and generating high-skill jobs by attracting global talent
Published May 21, 2025 | 10:19 AM ⚊ Updated May 21, 2025 | 10:47 AM
AP cabinet clears Quantum Valley project in Amaravati
Synopsis: The Andhra Pradesh Cabinet, led by Chief Minister N Chandrababu Naidu, approved key resolutions to boost industry, education, and welfare. Ministers Kolusu Parthasarathi and Nadendla Manohar announced SIPB-cleared investment proposals worth ₹22,000 crore, expected to generate nearly 27,000 jobs. The Cabinet’s decisions aim to fast-track economic development and strengthen public services across the state.
The Andhra Pradesh Cabinet, chaired by Chief Minister N Chandrababu Naidu, at state secretariat in Amaravati, on Tuesday, 20 May, approved a slew of resolutions aimed at accelerating industrial growth, enhancing education, and improving public welfare.
Briefing media persons on the decisions, Minister for Information, Public Relations, and Housing Kolusu Parthasarathi and Minister for Consumer Affairs, Food, and Civil Supplies Nadendla Manohar said that the cabinet has given a go-ahead signal for investment proposals worth over ₹22,000 crore, expected to create 26,943 jobs across various sectors. Key approvals from the State Investment Promotion Board (SIPB) include:
Five Major Industrial Projects M/s. Deccan Fine Chemicals, M/s. Bharat Electronics Limited, M/s. PUR Energy Pvt. Ltd., M/s. Blue Jet Healthcare Ltd., and M/s. Jupiter Renewables Pvt. Ltd. These projects, totaling ₹9,246 crore, will generate 7,766 jobs.
The Cabinet also approved land and infrastructure support for M/s. Windtek Mobile Communications (India) Pvt. Ltd. and the Association of Lady Entrepreneurs of India (ALEAP). These projects, with a combined investment of ₹1,066 crore, will create 11,598 jobs. Windtek will invest ₹1,061 crore in mobile phone manufacturing (10,098 jobs), while ALEAP’s Kuppam Industrial Park will invest ₹5 crore, generating 1,500 jobs.
The other decisions include approval to M/s. Daikin Air-Conditioning India Pvt. Ltd’s decision to invest ₹2,475 crore to expand its air-conditioning manufacturing facility in Sri City, Tirupati, creating 5,150 jobs. This brings Daikin’s total investment in Sri City to ₹4,079 crore.
For the Quantum Valley Project, the cabinet ratified three Memoranda of Understanding (MoUs) with IBM, TCS, and L&T. This initiative aims to establish Andhra Pradesh as a hub for technological innovation, attracting global talent and creating high-skill job opportunities.
The Cabinet also approved several projects to enhance infrastructure and renewable energy:
They include allotment of 500 acres of land to GMR Visakhapatnam International Airport Limited (GVIAL)d to develop the airport, to improve connectivity and economic activity. Two projects by Adani Green Energy Ltd were also approved – 1,000 MW project in K Bommepalli, YSR District (₹ 209.95 lakh for 41.99 acres, creating jobs), and a 500 MW project in Peddakoll, Sri Sathya Sai District (₹64.35 lakh for 12.87 acres).
The Andhra Pradesh Cabinet has approved the establishment of the India International University of Legal Education and Research (IIULER) in Amaravati, under the Bar Council of India Trust, through the “India International University of Legal Education and Research Ordinance, 2025.” The university aims to deliver world-class legal education and research, promoting advocacy, ethical practice, and professional legal skills. Notably, 20 percent of seats will be reserved for students from Andhra Pradesh, reinforcing the state’s status as a legal education hub.
Additionally, the Cabinet approved a notification to establish the headquarters of Dr. BR Ambedkar Open University near Eluru, revoking earlier orders. The university will function through 70 study centres across the state, advancing inclusive and accessible education for marginalised and underserved communities.
The Cabinet approved a notification to establish the headquarters of Potti Sriramulu Telugu University in Rajamahendravaram, as per the Potti Sriramulu Telugu University Act, 1985. The university will manage three centres to promote Telugu language, literature, culture, and advanced research in fields like music, drama, painting, and archaeology.
By another decision, the cabinet approved 2,260 new posts (1,136 SGTs and 1,124 school assistants) for special education, per Supreme Court orders in W.P.(C) No. 132/2016. These posts aim to support students with intellectual and learning disabilities, ensuring equitable education access.
Taj Gateway Redevelopment: Varun Hospitality Pvt. Ltd. will invest ₹899 crore to redevelop Taj Gateway on Visakhapatnam’s Beach Road into a 5-star deluxe hotel and serviced apartments, creating 1,300 jobs.
IBIS Styles and Novotel Cluster in Tirupati: M/s. Shravanti Hotels & Resorts Pvt. Ltd., Bengaluru, will invest ₹327 crore in a 3-star and 5-star hotel cluster, creating 570 jobs.
5-Star Resort in Tirupati: M/s. Bengal Ultimate Resorts LLP, Odisha, will invest ₹150 crore in a 5-star resort at SV Puram, Vadamalapeta, creating 350 jobs.
The Cabinet, by another decision, approved discontinuing the Mobile Dispensing Unit (MDU) system for public distribution and reinstating fair price shops (FPS) from 1 June, 2025.
Feedback from ration cardholders revealed issues with MDUs, including 25 percent reporting non-delivery of essentials, 26 percent citing overcharging, and operational inefficiencies like goods diversion (288 cases) and operator shortages (570 vacancies).
The move is expected to save ₹353.81 crore annually. FPS will offer doorstep delivery for senior citizens and differently-abled individuals, curb rice smuggling, and allow shops to sell additional goods. Vehicles procured under SC/ST/BC/EBC corporations will be transferred free to those who paid 10 percent of the cost.
The Cabinet exempted registration fees and user charges for cancellation deeds under Section 26(k)(i) of the Andhra Pradesh Registration Act, 1908, for illegal transfers of government, assigned, endowment, or Waqf lands. It also approved transferring mandals from Palamaneru and Chittoor Revenue Divisions to Madanapalle Revenue Division in Annamayya District.
Judicial Posts: The Cabinet approved 245 new posts in various categories for the Andhra Pradesh High Court, including registrars, section officers, and technical staff, to enhance judicial efficiency.
Green Tax Reduction: The Cabinet approved a draft bill to amend the 5th Schedule of the AP Motor Vehicles Act, 1963, to reduce green tax rates for transport vehicles.
(Edited by Ananya Rao)
