Published Feb 25, 2026 | 8:46 PM ⚊ Updated Feb 25, 2026 | 8:46 PM
The greenfield airport is being developed under the Public-Private Partnership model at an estimated cost of ₹2,300 crore. (Representational Image)
Synopsis: The Andhra Pradesh government has ruled out privatising State sea ports and said the Alluri Sitarama Raju (Bhogapuram) International Airport is 95 percent complete, with full operations due by mid-2026. Minister BC Janardhan Reddy said there is no proposal to privatise any ports and that work will continue on schedule.
The Andhra Pradesh Investments and Infrastructure Minister BC Janardhan Reddy on Wednesday, 25 February, told the Legislative Council that the State’s key airport and sea port projects are on schedule and that there is no proposal to privatise any State sea ports.
Answering questions from YSRCP MLCs PVV Suryanarayana Raju and Varudu Kalyani, the Minister said the Alluri Sitarama Raju International Airport at Bhogapuram in Vizianagaram district is nearing completion, with nearly 95 percent of the works finished.
A key milestone came on 4 January, he said, when a commercial validation flight landed successfully. The trial tested navigational systems and operational procedures. Full commercial services are expected by mid-2026.
He added that all statutory clearances were secured before the foundation stone was laid.
The Union Ministry of Civil Aviation granted site clearance and in-principle approval on 6 April 2015. The Union Ministry of Defence gave defence clearance on 30 March 2017. Environmental and forest clearances followed on 13 April 2017. CRZ approvals and other mandatory permissions were also obtained.
Land acquisition began in 2015 and was completed in 2023. The concessionaire signed the agreement on 12 June 2020, with a 36-month deadline.
The appointed date was issued on 14 December 2023 under the agreement, which requires construction to be completed by 13 December 2026.
The greenfield airport is being developed under the Public-Private Partnership (PPP) model at an estimated cost of ₹2,300 crore.
The government has spent ₹1,361 crore on land acquisition alone. Of this, ₹745 crore was spent between 2014 and 2019, ₹443 crore between 2019 and 2024, and ₹172 crore after 2024.
Infrastructure Minister BC Janardhan Reddy hit out at the YSRCP, saying the government takes pride only in projects it has executed and does not need to “hijack” works done by others. “Everyone knows who hijacked the Bhogapuram airport project,” he added.
Drawing comparisons, he alleged that though the Kurnool Airport was completed between 2014 and 2019 when the TDP was in power, the subsequent regime reopened it with much fanfare and claimed credit. He also referred to Kuppam, alleging that artificial tanks were constructed and water was released for optics.
Turning to maritime infrastructure, the Minister firmly ruled out any move to privatise sea ports. “There is no proposal to privatise any of the State ports,” he told the Upper House.
Replying to YSRCP MLCs Tumati Madhava Rao, Varudu Kalyani and Monditoka Aruna Kumar, he said the government is focused on completing ongoing port and fishing harbour projects within set timelines and strengthening infrastructure along the coastline.
Four ports proposed during 2014–19—Machilipatnam, Moolapeta, Ramayapatnam and Kakinada SEZ—are at various stages of construction. As of 31 January 2026, ₹8,357.38 crore has been spent on these projects.
The Minister said that, as per the directions of Chief Minister N. Chandrababu Naidu, the government is committed to completing the greenfield ports and fishing harbours within stipulated timelines.
Ramayapatnam Port has received ₹2,639.97 crore. Machilipatnam Port accounts for ₹2,264.25 crore. Moolapeta Port has seen ₹2,833.16 crore in spending. Kakinada SEZ Port has received ₹620 crore so far.
The Minister also shared updates on fishing harbours. Between 2014 and 2019, nine harbours were proposed: Juvvaladinne, Vadarevu, Uppada, Nizampatnam (Phase II), Machilipatnam (Phase II), Budagatlapalem, Pudimadaka, Kothapatnam and Biyyapu Thippa.
Uppada, Machilipatnam, Nizampatnam and Juvvaladinne fishing harbours are now under construction. Under Phase I, expenditure on these four projects has reached ₹975.56 crore as of 31 January 2026.
Highlighting comparative progress, the Minister said that in the case of Ramayapatnam Port, 48.41 percent of funds were spent over four years till June 2024 under the previous government, while 24.91 percent was utilised in the past 18 months.
For Machilipatnam Port, 15.32 percent of funds were used over four years till June 2024, while 29.08 percent was spent in the past 18 months. For Moolapeta Port, 24.31 percent was utilised in the earlier four-year period, compared with 37.23 percent in the last 18 months.
(Edited by Dese Gowda)
