Andhra pays Rs 54cr to Polavaram project-hit

The Andhra Pradesh government has paid Rs 54.34 crore compensation towards rehabilitation to persons affected under the Indira Sagar Polavaram project, according to state major and medium irrigation minister Ponnala Lakshmaiah.

“A total of 1,32,288 people belonging to 42,714 families have been notified for displacement for the construction of the Polavaram project in Khammam, East and West Godavari districts. However, only 277 persons who are actually displaced, had been rehabilitated,” the minister said in a written reply to a question by Chada Venkat Reddy (CPI) in the Assembly on Tuesday.

Major industries, sugar and commerce and export promotion minister J Geeta Reddy —in response to a different question by T Harish Rao (TRS) on whether the government had announced any special packages recently for closed sugar factories — said the factories had not closed but crushing operations could not be taken up due to shortage of cane.

“Of the 11 cooperative sugar factories, which have been working, only eight have taken up crushing operations for the 2008-09 season. Crushing could not be taken up in three co-op sugar factories including the one at Nizamabad in the Telangana area, due to shortage of cane by more than 80 per cent. Steps are being taken to increase the cane area by the next crushing season,” Reddy said.

She said crushing operations at the Nizamabad factory (shortage of cane by 81.5 per cent) would be taken up during the next season (2009-10) subject to the availability of minimum cane in the factory area.

“Employees on permanent rolls at the Nizamabad factory are being paid salaries regularly. Seasonal employees will be paid full salaries during the running season and retaining allowance during the off-season as per the rules,” she said.