Goa Shipyard project, Amaravati infrastructure, employee DA and social media influencers policy among key decisions taken at Cabinet meeting
Vijayawada, Sept 2027 : The Andhra Pradesh Cabinet, chaired by Chief Minister N. Chandrababu Naidu, on Wednesday approved a series of measures covering industrial investment, infrastructure, policing, employee welfare and administrative reforms, with a focus on strengthening the state's investment ecosystem and accelerating development.
The Cabinet cleared investment proposals worth ₹22,177.84 crore, with the projects expected to generate about 19,739 employment opportunities. The proposals span infrastructure, energy, industries and commerce, food processing, IT and electronics and tourism. The investment package had earlier been cleared by the State Investment Promotion Board (SIPB).
Minister for Information and Public Relations Kolusu Parthasarathy briefed the media on the Cabinet decisions.
₹8,000-crore Goa Shipyard project
Among the major industrial decisions was approval for defence public sector undertaking Goa Shipyard Limited to establish a shipbuilding facility at Machilipatnam in Krishna district with an investment of ₹8,000 crore.
The state has proposed allocating 400 acres and 1.7 km of coastline for the project. The initiative is expected to strengthen the state's shipbuilding and defence manufacturing ecosystem and add an industrial dimension to the development of the Machilipatnam port region. The project forms part of the infrastructure proposals approved by the SIPB.
The Cabinet also approved steps to facilitate the establishment of a Quantum Valley, aimed at developing Andhra Pradesh as a hub for quantum computing and related technologies. Electronics major Dixon Technologies, which had earlier signed an MoU with the state, is also set to return with investment plans under the current administration.
Four new police commissionerates
In a major administrative and law-and-order reform, the Cabinet approved four new police commissionerates headquartered at Tirupati, Guntur, Kurnool and Rajamahendravaram.
The commissionerates will be headed by officers of IGP or DIG rank. The government said the move was necessitated by urbanisation, population growth and the expansion of commercial, industrial and transport activities. The new structure is intended to provide integrated command and control and improve coordination between different police wings.
Dedicated cybercrime and social media crime units, each comprising 20 personnel, will also be established in every district.
DA relief for employees and pensioners
The Cabinet ratified two instalments of Dearness Allowance (DA) for government employees and Dearness Relief (DR) for pensioners. The first instalment of 2.73 per cent is effective from July 1, 2024, while the second, 1.82 per cent, is effective from January 1, 2025.
According to the Cabinet briefing, cash payments will begin with September 2026 salaries, while arrears will be released in instalments. The overall financial liability on the state exchequer for the arrears is estimated at around ₹4,556 crore.
Amaravati gets infrastructure push
The Cabinet approved ₹661 crore for construction of the Legislative Assembly building in Amaravati. It also approved revised administrative sanction of ₹1,548.98 crore for infrastructure works across gram panchayats in the capital region, including water supply, sewerage, storm-water drainage, roads and street lighting.
The Cabinet also approved changes benefiting farmers who contributed less than one acre of land under the Land Pooling Scheme, allowing them to receive the full per-acre annual annuity.
Social media policy and other measures
A Social Media Influencers Policy was approved to empanel content creators for government awareness campaigns. Influencers on platforms including Facebook, Instagram, YouTube and X will be engaged to disseminate information about government schemes and initiatives, with remuneration linked to the approved framework.
The Cabinet also decided to renew liquor shop licences while imposing stricter penalties for violations of maximum retail prices. A first violation will attract a ₹10 lakh fine, while a second violation will lead to cancellation of the licence.
Loans will be facilitated to address issues involving closed cooperative sugar factories and clear pending dues to farmers and workers. APIIC was permitted to utilise a ₹2,500-crore term loan for land acquisition under Sagarmala projects.
Other decisions included allotment of land to DRDA in Vizianagaram for a millet processing unit and framing of special service rules to provide promotion opportunities for different categories of ward secretariat employees.
The Cabinet also approved an ordinance to raise the retirement age of judicial officers from 61 to 62 years.
During the briefing, Parthasarathy criticised the previous YSRCP government and former Chief Minister Y.S. Jagan Mohan Reddy, alleging that political opposition was creating uncertainty among investors. These were political allegations made by the minister and were not independently established.
The Cabinet decisions collectively cover industrial expansion, employment generation, Amaravati infrastructure, policing, employee welfare and administrative reforms as the state government seeks to advance its development agenda.
