Infra firms face uncertainty in Andhra as Jagan cancels several projects

Industry experts do not expect much trouble in projects where work hasn't started

The new Andhra Pradesh government’s move to cancel projects awarded before April and where work is yet to start is likely to impact orders worth Rs 30,000 crore.

South-based infrastructure developer NCC, GMR Infrastructure and engineering conglomerate Larsen & Toubro (L&T) are among those with exposure to projects in the state.

“This is not the first time a change in state government has led to cancellation of orders. As far as projects where no work has started are cancelled, it will not impact much,” says Shubham Jain, senior vice-president at ratings agency ICRA.

“The value of these projects we have estimated is around