1.

GENERAL REVIEW
Endowed with abundant natural resources fertile land and highly conducive agroclimatic conditions, Andhra Pradesh State is blessed with major river systems like the Godavari, Krishna, Pennar, Vamsadhara and 36 other rivulets. The State, with a total geographical area of 275.04 lakh hectares accounts for 8.37% of the Countrys area stands 4th largest in the country and enjoys several competitive socio-economic advantages. The State, situated in a tropical region stands as the 2nd longest coastline in the country with a length of 974 km. With 63,814 Sq.Kms of Forest area and accounting for 23.2% the total geographical area, Andhra Pradesh has a variety of physiographic features ranging from high hills, undulating plains to a coastal deltaic environment. As the largest producer of rice in India, Andhra Pradesh State is also the leading producer of cash crops like Tobacco, Groundnut, Chillies, Turmeric, Oilseeds, Cotton, Sugar and Jute. It produces some of the finest fruit varieties of mango, grapes, guava, sapota, papaya and bananas. The State continues to be a preferred destination in the Country for Information Technology and IT enabled services and has eventually become a home for Indian IT majors. With several holy pilgrim centres, ports, rivers, beaches and hill stations, the State is an important tourist hub both for national and international travelers. The Provisional Census-2011 figures revealed certain favourable trends. With a population of 8.47 Crores, the State accounts for 7% of countrys population making it the 5th most populous State. A significant decline is observed in the rate of growth of population during 2001-11 which has come down to 11.1 percent from 14.6 percent during 1991-2001. The Sex Ratio in the State, up from 978 in 2001 to 992 in 2011, higher than All Indias 940 in 2011 reflects the sustained efforts of the Government in educating the masses, especially those the rural areas. Its a great augury that the favourable trend in sex ratio registered for the first time in the State in 2001 continued in Census 2011 also. While the overall 1 literacy rate has gone up from 60.47 percent in 2001 to 67.66 percent in 2011, the male literacy rate has increased from 70.32 percent to 75.56 percent. The female literacy rate has gone up from 50.43 % in 2001 to 59.74% in 2011. Growth of the Economy: The economy of Andhra Pradesh since formation of the State way back in 1956 has progressed rather slowly but turned vibrant over a period of time. The States economy more or less maintained the rhythm of the national economy and broke from the past growth trend around 1980. The average annual growth of the economy of the Andhra Pradesh till beginning of 80s was a little over 3% and progressed towards a higher growth trajectory after 80s. The State, since its formation in the beginning of Second Five Year Plan, has successfully implemented various policy initiatives and growth propelling programs that essentially focused on poverty alleviation and employment generation. After a moderate performance during the Ninth Five Year Plan (1997-98 to 2001-02), the economy of the State accelerated in the Tenth Five Year Plan (2002-03 to 2006-07) to register impressive growth. The growth momentum continued during the 11th Plan(2007-08 to 2011-12) also, as the State registered an average GSDP growth rate(at 2004-05 prices) of 8.33% even surpassing the All-Indias GDP growth rate of 7.94% during the same period. The strength of fundamentals of the economy is evident from the remarkable transition to a high growth path, which has been achieved in the recent years. Various strategic initiatives put in place by the State, by and large have improved the living standards of the people including those living at the lower echelons of the Society. Macro-Economic Aggregates: The distinguished feature of the state economy in the recent past was that the remarkable progress registered in all the three sectors(Agriculture, Industry and Services). In fact, the State economy witnessed the

strongest phase since 2004-05 onwards. While the Nations economy grew at an impressive rate of 8.39% during 2004-05 to 2011-12, the performance of the State economy was even more impressive with the average growth of 9.26%. The GSDP at constant (2004-05) Prices for the year 2011-12 (Advance Estimates) is estimated at Rs.4,07,949 crores as against Rs.3,81,942 crores for 2010-11 (Quick Estimates) indicating a growth of 6.81%. The corresponding sectoral growth rates are (-) 1.54% in Agriculture sector, 7.33% in Industries sector and an impressive growth of 9.80% in the Services sector. The Per Capita Income is an indicator of the standard of living of the people. As per the Advance estimates of 2011-12, the Per Capita Income of Andhra Pradesh at current prices increased to Rs.71,540 from Rs.62,912 in 2010-11 registering a growth of 13.7 percent while at constant (2004-05) prices, it has also gone up from Rs.40,366 in 2010-11 to Rs.42,710 in 2011-12 registering a growth rate of 5.8 per cent. Public Finance The States own tax revenues have grown by 28.33% in the year 20010-11 over the previous year i.e. 2009-10 and stood at Rs.45,140 crores. The States own non-tax revenue has increased to Rs. 10,720 crores in the year 2010-11 from Rs.7,803 crores in 2009-10. Sales Tax continues to be the major source of revenue in the State. The revenue realized through Sales Tax during 2010-11 was Rs.29,145 Crores as against Rs.23,640 Crores during 2009-10 registering an increase of 23.29%. Out of total expenditure of Rs.92,799 Crores during the year 2010-11, capital expenditure constitute 11.99%. Prices The recent trends of the data on prices revealed that the Average Daily Retail Prices of all the essential commodities except Redgramdal (II sort) and Onion (Gr-II) have shown a definite surge. However, with the food inflation showing sharp decline in the recent weeks, it is likely that the overall impact may not be that severe this year. The average Consumer Price Indices during April to November 2011 for rural, urban and

combined in Andhra Pradesh were found to be less than that of India. Consumer Price Indices for Industrial Workers increased by 5.83% and 9.12% in the State and All India respectively during April to November 2011 over the corresponding period of previous year. During April-November 2011, the Consumer Price Index Numbers for Agricultural Labour increased by 11.95% in the State and 9.29% at All India when compared to the corresponding period of the previous year. The Average Daily Wages of Artisans and Field Labour (both men and women) have increased during 2010-11 when compared to the previous year and the increase continued during April to November 2011 also. Public Distribution There are 44,579 Fair Price Shops functioning in the State as on 31.11.2011. Out of them 6,747 are in urban areas and 37,832 are in rural areas. On an average, each shop is having 535 cards / families. As against Government of Indias norm of one Fair Price Shop for every 2,000 persons, there is one shop for every 1,965 persons in Andhra Pradesh. As a nutritional support to the poor, supply of rice to BPL families at Rs.1/- per kg is being made. Seasonal Conditions The rainfall received during the South West monsoon period for 2011-12 was 539 mm. as against the normal rainfall of 624 mm. recording a deficit by 13.6%. The rainfall received during the North East monsoon period for 2011-12 was 113 mm as against the normal rainfall of 224mm recording a deficit of 49.6%. Area and Production (Kharif and Rabi Season) - Second Advanced Estimates 2011-12) As per the second advance estimates, the area as well as production of food grains for the year 2011-12 are expected to show a decline in comparison with the previous year, viz, 2010-11. While the area under food grains is expected to be 70.60 lakh hectares as against 80.29 lakh hectares in 2010-11, showing a decline of 12.07%, the total production of food grains for the year 2011-12 is estimated to decline by about 30 lakh tonnes over the 2

previous year - a decrease of 14.81%, from 203.14 lakh tonnes during 2010-11 to 173.05 lakh tonnes in 2011-12. Agricultural Credit The Annual Credit Plan 2010-11 for the State was Rs.37,835 crore towards Agriculture Credit. The achievement under Agricultural credit disbursement was Rs.47,930 crores (127%). During Kharif 2011, Rs. 20,905 crores (67%) Crop loans have been disbursed against the target of Rs.30,985 crores. Under Agricultural Term loans during Kharif 2011, Rs. 8,615 crore(51%) is disbursed against the target of Rs.17,015 crores. Over all achievement during 2011-12 is Rs.29,520 crore against the target of Rs.48,000 crore (62%). Weather Based Crop Insurance Scheme (WBCIS): Weather Based Crop Insurance Scheme (WBCIS) is launched in Guntur District for Red chilly crop during Kharif 2009 and it was extended to other crops and Districts during 2010-11 and 2011-12 years in the interest of the farming community. Modified National Agriculture Insurance Scheme (MNAIS) Apart from NAIS, Modified National Agricultural Insurance Scheme is launched in the State during Rabi 2010-11 on pilot basis in 3 Districts viz., Prakasam, Nellore and Warangal. The scheme is encompassed with certain additional farmer-friendly features viz., Localized calamities such as Hailstorm and Post harvest losses. Rice, being a major crop in the State, was notified for implementation under Village as Unit. In the interest of the farming community, the modified pilot scheme is continued during Kharif and Rabi 2011-12. Co-operation The PACS in the State have been reorganized from 4465 to 2949. Total financial assistance received so far under Revival Package for Rural Coop. Credit Structure is Rs.1868.69 crores including of State Government share of Rs.261.12 crores. Horticulture In reality, the transition from traditional Horticulture to trade oriental outlook has

brought a perceptible change in the concept of Horticulture development in the state. In view of the increased public investment in Horticulture sector, the Government of Andhra Pradesh has been giving much needed emphasis to Horticulture development primarily targeted at increasing the production and productivity of horticulture crops, development of infrastructure for post harvest management and providing access to domestic and export markets. Andhra Pradesh Ranks 1st in production of Spices and Fruits and 3rd in production of Flowers in the Country. Crop wise, Andhra Pradesh Ranks 1st in production of Sweet Orange, Lime/ Lemon, Papaya, Oil Palm; 2nd in the production of Mango, Cashew and Tomato; 3rd in production of Loose flowers, Pomogranate, Cocoa, Brinjal, Bhendi & Tapioca and 4th in production of Banana, Grapes & Sapota (NHB data base 2009). The area under Horticulture has increased from 3.70 lakh ha. in 1982 to 24.97 lakh ha. by 2010-11 and it is 25.59 lakh hectares as per advance estimates(A) 2011-12. Livestock and Livestock Products The State got elevated to a prominent position in the Country in the Livestock Sector over the years with its livestock resources and gradual enlightenment of the farmers coupled with dedicated and sustained efforts of the Government. From a humble beginning of backyard poultry it has grown to a stage of dynamic industry, the Milk production also made quantum leap and Meat production is increasing substantially. Effective Veterinary and Animal Husbandry services rendered over the years have been the main instrument in achieving these production levels. Livestock and dairying activity is more lucrative and provides sustainable daily income to nearly 60 Lakh families even during adverse seasonal conditions. The Livestock population in the state as per 2007 census consists of 112.23 lakh Cattle, 132.72 lakh Buffaloes, 255.39 lakh Sheep, 96.26 lakh Goats, 1239.85 lakh Poultry besides others.

There are 20 Veterinary Polyclinics, 3 Super Specialty Veterinary Hospitals, 281 Veterinary Hospitals, 1823 Veterinary Dispensaries, 42 Mobile Veterinary Clinics and 3110 Rural Livestock Units functioning mainly to attend to animal health needs throughout the State. 270.73 Lakh cases were treated, 4.10 lakh castrations were done and 478.73 Lakh vaccinations were conducted by these institutions during the year 2011-12 (up to 30-9-2011). 22 Animal Disease Diagnostic Laboratories (ADDLs) are functioning for proper diagnosis of disease. Fisheries Andhra Pradesh ranks First in Brackish water shrimp production, First Fresh water prawn production; Second in Fresh water fish production, second in total value of fish and prawn produced and Fifth in Marine fish production. The State is contributing about Rs.3,000 Crores by way of marine exports, which is nearly 40% of the marine exports from India. Forestry Andhra Pradesh is the second largest State in forest area in the Indian Union. Andhra Pradesh has 63,814 Sq. Kms of forest area constituting 23.2 percent of the total geographical area of the State. Out of the total forest area, Reserved Forest area accounted for 50,478 Sq. Kms. Protected forest forms 12,365 Sq. Kms and the rest 971 Sq. Kms are unclassified. The forest products in the state include Timber, Bamboo, Firewood & Charcoal, Beedi leaves and miscellaneous. The income accrued from forestry sector in the State was Rs. 81.38 crores in 2006-07, 80.14 crores in 2007-08, 87.19 crores in 2008-09, 103.38 crores in 2009-10, 128.74 crores in 2010-11 and 69.04 crores in 2011-12 (upto September 2011). Sericulture Andhra Pradesh is the second largest producer of Mulberry and tasar cocoons in the country, and Muga culture is in initial stage. Andhra Pradesh has the privilege of producing all 4 types of silk called Tasar, Eri, Muga besides mulberry being predominantly practiced in Tribal areas of the State. As vast tracts of forest based tasar plantations are available in the State, judicious exploitation for rearing tasar silkworms can offer 4

supplementary gainful employment for tribals. Andhra Pradesh is having larger extent of Castor and Tapioca plantations particularly in MahabubNagar, Nalgonda, Rangareddy and East Godavari districts. The farmers can utilise 30% of the castor / Tapioca leaf for rearing of Eri silk worms without any deterioration in the yield of castor seed and Tapioca tuber, to get additional income of Rs.2,000 to Rs. 4,000. Marketing There are 330 Agricultural Market Committees in the State under which 906 market yards are notified in the State. The Market Committees have collected Rs.472.28 crores towards market fee during 2010-11 and Rs.248.98 crores during 2011-12 (upto Oct. 2011). There is a network of 106 Rythu Bazars in the State. About 45,000 farmers are selling over 1.75 Lakh quintals of vegetables, on an average, every week through these Rythu Bazars directly to the consumers. Industrial Development Since beginning of the Single Window Act, 86,447 clearances were issued under Single Window in respect of 55,983 units with a proposed investment of Rs.4,23,003 Crores and an employment potential of 13,28,696 persons(as on 31-07-2011). After introduction of Industrial Policy in 1991, Andhra Pradesh has received investment intention (IEM) for 7,346 proposals with an investment of Rs. 7,78,494 crores to provide employment to 13,49,084 persons so far (up to 30.09.2011). Out of the above, 3,132 proposals have gone into production with an investment of Rs.73,858 crores providing employment to 4,79,900 persons. During 2010-11 and 2011-12 (as on 30-112011), 24,974 Micro, Small and Medium Enterprises are established providing employment to 3,92,821 persons involving an investment of Rs.33,220.91 crore. The State has received Rs. 35,257.40 crores of Foreign Direct Investment (FDI) inflows as equity as on September 2011. Government of Andhra Pradesh have announced Industrial Investment Promotion Policy 2010-2015, in the year 2010 extending

various incentives for the MSME Sector and Large Industries. There are 114 SEZs approved by the Government of India and out of these, 75 are notified and 27 SEZs have become operational. The projected direct employment generation is 8,50,022 and created employment is 97763 so far. The projected investment is Rs.1,05,447 crores and achievement so far is Rs. 14,267.43 crores. Department of Chemicals & Fertilizers, Government of India has accorded approval in March 2009 for development of Petroleum Chemical and Petrochemical Investment Region (AP PCPIR) in Visakhapatnam Kakinada Region in an extent of 603.58 Sq.Km. The capital employed by all the 30 state level public enterprises was Rs.32,580.96 crores. The capital employed by the top five SLPEs constitute 81.43% of the total capital employed by all the SLPEs in the state. 23 SLPEs, out of the 30 have made profit totaling to Rs.2258.49 crores during 2008-09. Mines and Geology State produces about 100 to 110 million tonnes of industrial minerals and 200 million cubic meters of dimensional stones and building material and A.P. stands 1st in Barytes and Limestone production in the country. The state contributing about 15 per cent to the countrys mineral value production and approximately Rs.1000 Crores by way of foreign exchange. The Mines Department has taken initiative to get NOCs from Revenue and disposed record number of Mineral Concession Applications. The Department has disposed 8547 Mineral Concession applications in the year 2008-09, 10140 in the year 2009-10, 7731 in the year 2010-11 and 3479 in the year 2011-12(up to November 2011). Commerce and Exports The exports from the State have recorded Rs.91,614 crores in the year 2010-11 while it was Rs.73,143 crores in the previous year 2009-10. Computer software contributes more than 30 percent to the total exports. The other major exports from the State are Engineering items, Drugs, Pharmaceuticals and allied Chemicals and plastics, Animal, 5

Marine and Leather Products, Agriculture and Agro based Products, Minerals and Mineral Products, Handlooms, Handicrafts, Textiles, Gems and Jewellery and imitation Jewellery items and Electrical items. Irrigation 86 projects (44 Major + 30 Medium + 4 Flood Banks + 8 Modernisation) are considered under Jalayagnam. With the above projects including Minor Irrigation and APSIDC new irrigation potential of 97.03 lakh acres will be created besides stabilization of 9.45 lakh acres. During 200405 to 2011-12, 13 projects were completed and water released for 21 more projects creating partial irrigation potential under Major and Medium irrigation projects. The remaining projects are programmed to be completed in a time bound and planned manner. Since 2004-05 to 2011-12, 20.90 Lakh acres of Irrigation Potential (16.94 Lakh acres new and 3.96 Lakh acres stabilization) has been created under Major and Medium irrigation projects besides 4.89 Lakh acres under Minor irrigation sources and 2.69 Lakh acres under APSIDC irrigation projects. Modernization of Delta Systems and other projects has been taken up with a cost of Rs. 15001.45 crores. Under Minor Irrigation, about 78,000 tanks are serving an ayacut of 46.50 lakh acres including 66,000 tanks transferred from Panchayat Raj Department with an ayacut of 14.70 lakh acres. Rehabilitation of Minor Irrigation (MI) schemes has been taken up to stabilize 6.25 lakh acres ayacut at a cost of Rs.1044 Crores. In the first phase, Rehabilitation of MI schemes sanctioned under World Bank assisted AP Community Based Tank Management Project (APCBTMP) are in progress. The scheme is intended to improve 3000 Tanks of a total project cost of Rs. 1044 Crores. The scheme is in progress and about 1899 Schemes have been grounded. Groundwater As per the estimation of Groundwater resources done in 2010-11, with 2008-09 database, 84 mandals are categorized as over exploited, 26 mandals as critical, 93 mandals as semi-critical and 905 mandals as safe,

based on the stage of development of groundwater. Power From 1959 to 2011-12 (upto September,2011), the installed capacity has been increased from 213 Mega Watt (MW) to 15768.14 MW; the consumers served have grown up from 2.7 lakhs to 234.63 lakhs, the energy handled per annum increased from 686 MU to 42,468.84 MU (April11 to Sep11). The annual total revenue including non-tariff income from sale of power increased, from mere Rs.5.50 crs to Rs.17584.20 Crs.(excl. State Govt subsidy). Government has provided a Tariff subsidy of Rs. 4209.95 Crs in the current year ie. 201112. The Tariff subsidy provided to agricultural sector is Rs 2401.32 Crs and cross subsidy to agricultural sector is Rs.2670.39 Crs. Government of Andhra Pradesh provided free power to Agriculture Sector with effect from 14.05.2004 in view of the extreme hardships faced by agriculture consumers in the past years. Government has also waived the power consumption arrears relating to agricultural consumers of DISCOMs and RESCOs and in this connection the Govt. reimbursed Rs.975 crores to the utilities. Roads The total R&B Road Network in the State is 70,394 Kms as on 30-09-2011. Of this, the National Highways constitute 4,730 Kms, the State Highways constitute 10,470 Kms and Major District Roads constitute 32,205 Kms and Rural Roads 22,989 Kms. The density with reference to R&B Road Network in the State is 0.23 Kms per one Square Kilometer and 0.86 Kms per 1,000 persons. The total length of the rural roads under Panchayat Raj engineering department is 1,38,781 Kms in the State as on 01-04-2011. Out of this, Other District Roads consist of 5,506 Kms, Major District Roads 1,096 Kms and Village roads 1,32,179 Kms. The surface details of the road length are CC Roads 3,586 Kms; BT 36,441 Kms, WBM 26,395 Kms and Gravel 72,359 Kms. Transport As on 30-11-2011, the State has a registry of 110.53 lakh vehicles. About 72.22% of the vehicles on road are two wheelers, followed by cars, three wheelers, buses and trucks. The

growth of vehicles in the State is around 14%. APSRTC The corporation has 7 Zones, 23 Regions and 210 Depots with a total fleet strength of 22,216 buses and 1.21 lakhs employees on rolls as at the end of September, 2011. All the 210 depots having fleet operation were computerized and linked through a dial up network. The fuel efficiency is 5.13 per litre during 2011-12(upto Sep,2011). It operates about 77.94 lakhs kms and transports about 1.37 crore passengers daily. The average vehicle productivity per day is 353 kms. Airports At the Hyderabad International Airport, the Domestic passenger growth for the year 2010-11 is around 20.03% YoY, whereas International passengers traffic has grown by 10.68 %. Overall the passenger traffic has shown growth of 17.59% YoY. In the year 2010-11 the airport has handled 7.63 Million passengers. During the year 2011-12(upto Dec,2011) Domestic passenger growth is 18.22% YoY, where as International passengers traffic has grown by 0.42%. Overall the passenger traffic has shown growth of 13.74% YoY. The airport handled 6.47 Million passengers upto December, 2011. Sea Ports There is one major Port at Visakhapatnam under Government of India and 14 NonMajor Ports under State Government. Ports offer tremendous potential for development and for the growth of a wide spectrum of maritime activities such as international shipping, coastal shipping, ship repairs, fishing, captive ports for specific industries, all weather ports, tourism and sports etc. Communications As on 31st March 2011, there are 16,150 Post Offices in the State, of which 104 Mukhya Dak Ghars/Head Post Offices, 2,343 Sub Post Offices and 13,703 Branch Post Offices. Similarly, there were 169 Customer service centers having Telegraph section, 4,266 Telephone Exchanges. There are a total of 677.90 lakh telephone connections at the end of October, 2011 in the state. Out of 6

which, 23.48 lakh connections are wireline (land line) and 654.42 lakhs are wireless. Banking The number of scheduled bank offices in the State is 8,211 at the end of March, 2011. The aggregate deposits amounted to Rs.2,83,600 crores and the total bank credit extended was of the order of Rs.3,27,275 crores as on 31-3-2011. The credit-deposit ratio of the banks in the state is 115.40% as against RBI norm of 60%. Total priority sector advances to Net Bank Credit is Rs.1,54,227 crores (47.12%) against RBI norm 40%. Agricultural advances to Net Bank Credit are Rs.83,098 crores or 25.39% of Net Bank Credit (NBC) against RBI norm of 18%. Tourism Andhra Pradesh with more then 600 tourist locations attracts the largest number of tourists in India. More than 7 million visitors visit the state every year. Andhra Pradesh tourism is known as Koh-i-Noor of India. APTDC runs 53 hotels and other tourism facilities with 1049 rooms in prime locations fostering homely ambience packages an impressive fleet of 126 buses that connect to important tourism locations within and outside the state. Information Technology IT sector in A.P. is making steady strides for rapid socio-economic development of the State. As a growth engine, IT sector in A.P. is making steady strides for rapid socioeconomic development of the State. As of now, the share of IT exports from the State of Andhra Pradesh occupies 13.9% of national IT exports. IT sector contributes to about 49% of total exports from all sectors in the Sate. Andhra Pradesh ranked 4th position in IT performance in the Country. School Education The enrolment in the state during 2010-11 was 133.18 lakhs in all types of schools, out of which 54.64 lakhs were in Primary schools; 23.30 lakhs in Upper Primary and 53.97 lakhs were in High schools. In Higher Secondary, there was an enrolment of about 1.27 lakhs. The enrolment of children consists of about 53.49% in Primary stage (IV), 18.96% children in upper primary (VIVII) and 24.45% in secondary stage (VIII-X) 7

and the balance 3.10 percent accounted for by the Preprimary and Higher Secondary (CBSE). For the enrolment of school aged group children into the schools, the problem of retention is observed at different levels. During 2010-11, dropouts figured as 17.43% at I-V classes (Primary Level), 22.34% at IVII (Upper Primary Level) and 46.21% at IX (Secondary Level). During 2010-11, there were 4,76,555 teachers in position in all types of schools in the state. Midday Meal Scheme is being implemented in the State from January 2003 to the children of classes I to VII and to the children of classes VIII to X from October 2008. During 2011-12, 78.04 lakh children are covered under this programme. Out of which, 40.96 lakh are in Primary (I to V), 22.61 in Upper Primary (VI to VIII), 14.22 lakh children in High Schools (IX and X) and 0.25 lakh children of National Child Labour Projects. Intermediate Education There are 806 Government Junior Colleges and 12 Government Vocational Junior colleges of Intermediate Education. 34 Vocational courses are also offered in 1,355 Junior colleges in the field of Engineering & Technology, Agriculture, Home Science, Para-medical, Business & Commerce and Humanities. In addition to 698 Exclusive Private Vocational Junior Colleges, 12 Exclusive Government Vocational Junior colleges and 753 Junior Colleges (both Government and Private) are also offering Vocational courses. The overall pass percentage in the Intermediate is 64.69%. Girls performance at 67% is better than that of boys at 63%. Collegiate Education There are 251 Government Degree Colleges and 179 Aided Colleges in the state with a total enrolment of 3,85,126. During the last three years, 76 Under Graduate Restructured courses were started in 78 degree colleges. Similarly, 60 Restructured Post Graduation courses were started in 59 colleges. Technical Education The intake in the Engineering courses is 3,04,200 in 705 institutions; in the MCA courses is 46,795 in 644 institutions; in the MBA courses is 86,905 in 926 institutions;

29,520 in the B. Pharmacy courses in 290 institutions; in the D. Pharmacy course is 2560 in 47 institutions; and the intake in Polytechnic courses is 69,450 in 251 institutions. Craftsmen training is being imparted in 134 Government Industrial Training Institutes and 611 Private ITCs. During 2011-12, total intake capacity of Government ITIs is 31,555 and Private ITCs is 1,00,030 students. Family Welfare Family Welfare Department is providing maternal health care, child health care and family welfare services to the people through 12,522 Sub-Centres 1,624 Primary Health Centres, 281 Community Health Centres, 58 Area Hospitals, 17 District Hospitals, 11 Mother and Child Care hospitals and 14 Teaching hospitals. There are 116 Urban Family Welfare Centres, 12 Urban Health Posts in Hyderabad and 267 Urban Health Centres in Urban Areas Centres in Urban Areas of the State.. The estimated Birth rate, Death rate and Infant Mortality Rates for the year, 2010 in the state are 17.9, 7.6 and 46 respectively while it is 22.1, 7.2 and 47 for All India (as per Sample Registration System, Bulletin Dec.2011). Expected life at Birth, (2011-15) for Male and Female in the State are 66.9 and 70.9 respectively as against 67.3 and 69.6 for All India. Maternal Mortality Ratio (MMR) is defined as the proportion of maternal deaths per 1,00,000 live births reported, which is 134 in the state as against 212 in All India as per the Sample Registration System, 2007-09. Rajiv Aarogyasri Health Insurance Scheme Under Insurance scheme, 8.75 lakh surgeries costing Rs.2554.99 crore were done upto September, 2011. Under Aarogyasri Trust Scheme, directly run by Trust, 3.38 lakh surgeries costing Rs.817.41 crore were done upto September, 2011. Both the schemes provide end-to-end cashless services for identified diseases through a network of hospitals from Government and private sector. Since inception of the scheme (01.04.2007) till 30th September 2011, 29,021 Medical camps were held by the network hospitals in 8

rural areas and 48.89 lakh patients were screened in these health camps. So far, 31.75 lakh patients were treated as outpatients and 13.48 lakh patients treated as in-patients in 346 network hospitals under the scheme. A.P. Vaidya Vidhana Parishad (APVVP) APVVP hospitals are providing out- patient, in-patient services, Diagnostic services and Laboratory services. There are 233 health institutions with a total of 16,144 beds, out of which, 17 are District Hospitals with 4,550 beds, 60 Area Hospitals with 6000 beds, 120 Community Health Centers with 4740 beds, 10 Speciality Hospitals with 824 beds, and 26 dispensaries in the State under the control of APVVP. There are 2534 Medical, 4733 Nursing and 3893 Paramedical, 2743 Support & Administration cadres working for the health cause of the people. Health A revitalized school health program as Jawahar Bala Arogya Raksha (JBAR) was launched by GOAP on 14th November 2010. The program is aimed at prevention of illness as well as promotion of health and well being of the school children, through early detection and care, development of healthy attitude and behavior, ensuring healthy environment at school, prevention of communicable diseases and increased learning capabilities. Under the scheme, 59.58 lakh students (78%) in 66,230 schools (87%) were screened and 75,687 students were referred to the higher health centres benefited from the program. Women Development and Child Welfare The Women Development and Child Welfare Department implements various development and welfare programmes/ schemes to provide access of women, particularly those belonging to weaker sections, in the rural areas and in the informal, unorganized sector to education, health and productive resources and for the development and welfare of children in the State. There are various Institutions for Children and Women being run to cater to their needs in difficult circumstances. 387 ICDS projects and 91,307 Anganwadi centres are functioning for the welfare of the children.

Rajiv Gandhi Scheme for Empowerment of Adolescent Girls(AGs)-SABALA) is being implemented to enable self-development and empowerment of Adolescent Girls. During 2011-12 (upto Dec,2011), 13.77 lakh girls are benefitted under the scheme. Disabled Welfare There are 5 Residential Schools for visually Impaired, 6 Residential Schools for Hearing Impaired, One Residential Junior College for Hearing Impaired at Bapatla and one Residential Junior College for Visually Impaired, and 40 Hostels and 3 Homes are functioning under the control of department. Economic Rehabilitation and Development schemes are being implemented with bank linkage. Backward classes Welfare Hostels are providing free boarding and lodging to students belonging to Backward Classes and enabling them to pursue their Pre-Matric studies. At present, there are 1,422 Government B.C. hostels, (1,102 hostels for boys and 320 hostels for girls) including 14 hostels for de-notified and Nomadic tribes. A total strength of 1,68,538 boarders have been admitted during 2011-12. All these hostels have a combination of 76% Backward Classes, 10% Scheduled Castes, 5% Scheduled Tribes, 3% Minorities and 6% other castes for the purpose of Social Integration. Social Welfare There are 2,358 hostels (Boys 1,640 and Girls 718) in the State in 2011-12, with an intake of 1.96 lakh students. Government have enhanced the mess charges in Govt. hostels from Rs.338/- per month to Rs.475/p.m. for boarders up to 7th class and from Rs.412/- p.m. to Rs.535/- p.m. for boarders from 8th to 10th class from the academic year, 2008-09. At present, there are 79 Ananda Nilayams functioning in the State. 50 percent of the seats in Ananda nilayams are filled up with orphan students and the remaining 50 percent with the children whose parents are engaged in unclean occupations. Under INDlRAMMA programme, 4,13,764 house sites were provided under phase-I, 4,64,313 house sites were distributed under 9

phase II upto March, 2011 and 2,44,214 house sites have been distributed up to Nov 2011under Indiramma Programme 3rd Phase. During 2010-11, an amount of Rs 1010.52 crores was provided by APSCFC towards financial assistance for the benefit of 6,03,151 SC beneficiaries. During 2011-12, an amount of Rs. 283.93 crores was incurred as expenditure towards financial assistance for the benefit of 2,02,896 SC beneficiaries upto November,2011. Tribal Welfare Tribal Welfare Department is maintaining 599 Ashram schools with strength of 1,41,099 ST students. 442 Hostels with a strength of 69,274 and 3,060 Government Primary Schools with a strength of 90,289 and 143 Post-matric hostels with a strength of 22,861 ST students. 81% of students passed SSC exams held in March, 2011. A total of 3,30,479 claims were received covering 19,66,658 acres, and 1,67,797 certificates of titles were issued covering 14,51,223 acres upto Sep,2011 under RoFR. Special projects sanctioned under MGNREGS convergence for infrastructure development (Roads, Minor Irrigation structures and Buildings) as well as livelihood strengthening (RoFR land development and horticulture) with a total outlay of Rs. 998.93 cr. Minorities Welfare A.P. State Minorities Finance Corporation is assisting the weaker sections of Minorities viz., Muslims, Sikhs, Buddhists and Parsis etc., for their socio economic development through banks for which the corporation provides subsidy component for the economic assistance schemes and Grant-in-Aid for welfare Schemes. Youth Services During the year 2011-12, under Rajiv Yuvasakhati programme, it is programmed to assist 7667 beneficiaries with an outlay of Rs.53.66 crores, out of which Rs.23 crores is subsidy and Rs.30.66 crores as bank loan. The department of Youth Services is organizing skill development training programme in construction related trades through National Academy of Construction under Rajiv Udyoga Sree Programme during 2010-11.

Housing Under Weaker Section Housing Programme, since inception till the end of 31st March 2011, 1,00,57,318 houses have been completed comprising of 92,42,451 in rural areas and 8,14,867 in urban areas. During the year 2011-12 (upto September, 2011), 2,21,972 houses have been completed, of which 2,06,492 are in rural areas and 15,480 are in urban areas. Rural water Supply and Sanitation The Government is determined to solve the drinking water problem in rural areas by delivery of adequate, safe and potable drinking water to all rural people, Safe water to fluoride, brackish and other polluted habitations. During the year 2010-11, 6,971 habitations are covered by spending an amount of Rs. 790.03 Crore. Total Sanitation Campaign (TSC) The TSC Projects are sanctioned in 22 districts in the State in a phased manner by Government of India with matching share from State Government, beneficiaries and panchayats. During the year 2010-11, 6,56,048 ISLs(BPL), 3,961 School toilets, and 816 Anganwadi toilets have been constructed. Urban Water Supply and Sanitation Water Supply Improvement Schemes are being taken up in Urban Local bodies from time to time to improve per capita water supply on par with National Standards. During the period 2007 to 2011, 43 water supply schemes with an estimated cost of Rs.919.63 Crores were completed adding 370.44 MLD of water, raising the installed capacity from 1,229.24 MLD to 1599.68 MLD and thereby the average water supply was raised from 63 LPCD to 85 LPCD. Hyderabad Metropolitan Development Authority (HMDA): Outer Ring Road Project (Hyderabad) Government has taken up major infrastructure facilities in Hyderabad City including the construction of Outer Ring Road. The 158 Km long Outer Ring Road provides connectivity to various National Highways, State Highways and MDRs. The ORR is being taken up as an eight lane access controlled expressway with a design 10

speed of 120 KMPH. In addition, 2-lane service roads on either side are being provided. The entire project is being implemented in 3 phases. The phase-I works including service roads, flyover at Gachibowli and other miscellaneous works were completed. Rural Development Rural Development Programmes viz., Watershed Development Programme, Self Help Groups and related Programmes and Employment Guarantee Scheme are being implemented. At present there are 1,11,02,494 SHG members in 9,94,595 SHGs organized into 38,550 Village Organizations (VOs) and 1098 Mandal Samakhyas(MSs). In addition to above (MSs), there are 262 Mandal Vikalangula Sangams, 17 Chenchu Mandal Samakhyas, 7 Fishermen Mandal Samakhyas and 20 Yanadi Mandal Samakyas in the State. Total savings & corpus of SHG members are Rs.3383.10 crores and Rs.5070.51 crores respectively. Social capital created during the project period up to September, 2011 is 1,73,841. In all, 71,96,034 pensions are targeted to be distributed every month. During the year 2010-11, an amount of Rs. 1922.18 crores was distributed to 66,33,631 pensioners. For the year 2011-12, an allocation of Rs. 1922.86 Crores was made in budget and the Govt. have released an amount of Rs.1436.02 Crores and Rs.1343.82 Crores is distributed to 68,29,962 pensioners(upto Nov.11). Remote and Interior Areas Development Programme (RIAD) Remote and Interior Areas Development programme has been evolved for improving the Socio Economic conditions of the people living in Remote & Interior Areas. Backward Region Grant Fund (B.R.G.F.) The programme is being implemented in 13 districts in the State with an allocation of Rs.376.77 crores under Development Grant and Rs.13 crores under Capacity Building. Total 43,336 works with an estimated cost of Rs.520.31 crores(which includes 14,858 spill over works with an amount of Rs.216.03 crore) were taken up for the year 2011-12. An amount of Rs.171.12 crore including

Rs.28.63 Crores for SCSP and Rs.15.00 Crores for TSP was released to the districts during the year. Rajiv Palle Bata Rajiv Palle Bata programme started in 2004. In all 54,541 petitions have been received in the entire state of which about 98.02% have been responded to. In all 1,195 assurances have also been made during public interactions out of which, 1080 (90.38%) have been redressed and 107(8.95) assurances are under different stages of implementation while 8(0.67) are yet to be redressed. Rachabanda Rachabanda programme is a New Initiative taken up by the Government recently with the basic objective to instill more confidence among the public by redressing their grievances on the spot and in a bid to take the administration to the door steps of the people. The first round of Rachabanda programme was conducted between 24th January and 12th February, 2011 in 24,845 Gram Panchayaths/ Municipal wards out of 26,763 GPs/Wards with a success rate of 93%. During Rachabanda-II programme, held in Nov. 2011. About 20.73 lakh ration cards/coupons and 5.17 lakh pensions were distributed and 3.07 lakh houses were sanctioned during Rachabanda-II programme. Various fresh applications received during this programme are being redressed in a phased manner Poverty As per the official estimates of poverty released by the Planning Commission, poverty ratios of rural areas and urban areas of AP for 2004-05 were 11.2% and 28.0% respectively and that for the State as a whole was 15.8%. The corresponding figures for All India during the same period were 28.3%, 25.7% for rural and urban areas and 27.5% for the Nation as a whole. Over the period, the percentage of people below poverty line has declined both for the State as well as for All India. Employment The number of establishments in the organized sector has now grown to 20,867 by March, 2011. Out of these, 13,814 were in

Public Sector and 7,053 were in Private Sector. 20.59 lakhs persons were employed in the organized Sector as on March, 2011. The Public Sector alone accounted for 12.77 lakhs and the remaining 7.82 lakhs were employed in Private Sector. During the year 2011-12(upto Sept.11), a total of 1,44,553 candidates were enrolled, 4,156 vacancies were notified to Employment Exchanges and 816 candidates were placed. As many as 18,33,231 candidates were on the Live Register of Employment Exchanges at the end of September, 2011. The rural and urban unemployment rates in Andhra Pradesh as well as All India have increased from 1993-94 to 1999-2000. However, from 1999-2000 to 2004-05, the rural and urban unemployment rates in Andhra Pradesh have decreased. 11th Five Year Plan An appraisal The state economy, as measured by growth in the real Gross State Domestic Product (GSDP), on an average is expected to grow at 8.33% during the 11th Five Year Plan period (2007-12) even surpassing the All Indias GDP growth of 7.94% for the same period. Agriculture sector unlike during the 10th Plan period, showed certain signs of recovery and posted an average growth of 5.38% during the 11th Plan period. While the Industries sector grew at 8.19% during this period the Services sector continuing its predominance, posted a healthy growth rate of 9.62%. 12th Five Year Plan A Way Forward: The main goal of the 12th Plan would be faster, sustainable and more inclusive growth. Andhra Pradesh is targeting a growth of 10% during the 12th Plan period with the corresponding sectoral growth targets of 6% for Agriculture, 10.5% for Industry and 11.5% for Services. The overall strategy for 12th Plan would be to look beyond growth and focus on generation of employment to the millions of the youth in the State. This would eventually result in a faster reduction in unemployment and poverty through skill development and also help bridging multiple divides. **** 11

2. MACRO ECONOMIC AGGREGATES

Gross State Domestic Product 2.1 The outcomes on sustained human development depend on several factors such as the macroeconomic policies and strategies of the Central and State Governments, particularly with respect to health, education and more importantly on the economic growth. State Domestic Product (SDP) and its related aggregates are important indicators of the state economy. Improvement in the availability of basic data over the years helped to review the methodology from time to time for estimating the State Domestic Product which is also known as State Income. Updating the data from time to time and shifting the base year to a more recent year has constantly been undertaken so that the structural and sectoral shifts that are likely to take place in a developing economy could be properly gauged and captured. With an objective to incorporate the latest data from various surveys and censuses conducted by State / Central Governments as per latest international standards in order to capture the structural changes that have taken place in the economy, the Central Statistics Office (CSO) introduced the new series of National Accounts Statistics with base year 2004-05, in place of the previous series with base year 1999-2000. Accordingly, base year for the state has also been revised and information on the State Domestic Product has been presented in the new series of base year 2004-05. State Domestic Product (SDP) is usually estimated by Income originating approach, wherein incomes generated by the factors of production physically located within the geographical boundaries of the state are aggregated. It represents the value of goods and services produced within the state, counted without duplication during a specific period of time, usually a year. The estimates of SDP and related aggregates are prepared both at current and constant prices. These estimates of economy over a period of time reveal the extent and direction of the changes in the levels of economic development. Sectoral composition of SDP gives an idea of the relative position of different sectors in the economy over a period of time which not only indicates the real structural changes taking place in the economy but also facilitates formulation of plans for overall economic development. These estimates when studied in relation to the total population of the state indicate the level of per capita net output of goods and services available or standard of living of the people in the State. These are referred as estimates of Per Capita Income (PCI). During the 11th Five Year Plan (2007-08 to 2011-12), the State could register an average growth rate of 8.33% against the Nations GDP growth rate of 7.94%. The GSDP at constant (2004-05) Prices for the year 2011-12 (Advance Estimates) is estimated at Rs.4,07,949 crores as against Rs.3,81,942 crores for 2010-11 (Quick Estimates) indicating a growth of 6.81%. The corresponding sectoral growth rates are (-)1.54% in Agriculture sector, 7.33% in Industries sector and an impressive growth of 9.80% in the Services sector. Sectoral Composition of GSDP The sectoral composition of GSDP both at current and constant (2004-05) prices has undergone considerable change during the past few years and the shift was essentially from Agriculture sector to Services sector. In 2004-05, the share of Agriculture in the GSDP at Constant(2004-05) prices was 25.1%, Industry 24.3% and Services sector 50.6%. The sectoral contribution, during the past few years has shown a structural shift. In 2011-12, the share of agriculture in the GSDP declined to 19.2% and the services sector was the gainer whose contribution has moved up to 55.1%. The Industry sector has not shown much variation and it continues to hover around the 25% mark.

12

Sectoral Composition of GSDP at Constant (2004-05) Prices in 2004-05

Agriculture 25.1%

the sub-sectors, Registered Manufacturing showed relatively better performance. Services sector, with its consistently surging share in the GSDP, continued to be the engine for pushing the overall growth. Services sector comprising of Trade, Hotels & Restaurants, Transport by other means & Storage, Communications, Banking & Insurance, Real Estate & Business Services and Community, Social & Personal services registered a growth rate of 9.80 per cent during the year 2011-12. Among the subsectors, Communication, Banking & Insurance and other services have shown impressive growth. To envision the growth path, the sector wise growth rates of GSDP at Constant (2004-05) prices from 2007-08 to 2011-12 are depicted below.
Sectoral GSDP Growth Rates at Constant (2004-05) Prices
20 18 16 14

Services 50.6%

Industry 24.3%

Sectoral Composition of GSDP at Constant (2004-05) Prices in 2011-12(A)

Agriculture 19.2%

Services 55.1%

Industry 25.7%

17.4

Agriculture sector which showed great resilience posting impressive growth rates in the recent past, as per the Advance Estimates of GSDP for 2011-12 has shown a growth of (-)1.54%. Deficit rainfall and unfavourable seasonal conditions prevailed in most parts of the State was largely responsible for the slide. Within Agriculture sector, Agriculture (incl. Horticulture) has registered a negative growth rate of 9.96 percent due to decline in foodgrains and groundnut production. Among the sectors allied to Agriculture, the Livestock and Forestry & Logging subsectors have respectively registered moderate growth rates of 6.93% and 2.81% while substantial increase in the production of fresh water prawns helped the Fishing sector post an impressive growth rate of 17.04 % during 2011-12. Industry sector comprising of Mining & Quarrying, Manufacturing (Registered and Unregistered), Electricity, Gas & Water Supply and Construction, registered a growth rate of 7.33 per cent during 2011-12. Among 13

12 Growth Rate 10 8 6 4 2 0 -2 -4

10.9 10.3 9.5 7.2 7.8 6.4 1.3 0.8 2007-08 2008-09 (R) 2009-10 (P)

10.7 9.2 9.0 7.3 9.8

2010-11 (Q)

-1.5 2011-12 (A)

Agriculture

Industry

Services

Estimates of GSDP/GDP and growth rates both at Current and Constant (2004-05) prices of Andhra Pradesh and all India from 2004-05 to 2011-12 are shown in Annexures 2.1 to 2.8. GSDP of Andhra Pradesh and GDP of All India: The GSDP of Andhra Pradesh at Constant (2004-05) prices and GDP of All India at Constant (2004-05) prices are shown in Table 2.1.

Table - 2.1 GSDP of A.P. and GDP of All India at Constant (2004-05) Prices Andhra Pradesh All India Year GSDP (Rs.Crs)
Growth Rate (%)

GDP (Rs.Crs)

Growth

2004-05 2,24,713 29,71,464 2005-06 2,46,210 9.6 32,53,073 2006-07 2,73,730 11.2 35,64,364 2007-08 3,06,645 12.0 38,96,636 2008-09* 3,27,731 6.9 41,58,676 2009-10# 3,47,344 6.0 45,07,637 2010-11$ 3,81,942 10.0 48,85,954 2011-12@ 4,07,949 6.8 52,22,027 *Revised , # Provisional, $ Quick, @ Advance

Rate (%) 9.5 9.6 9.3 6.7 8.4 8.4 6.9

Source:-Directorate of Economics and Statistics, Andhra Pradesh and C.S.O., New Delhi.

Per Capita Income: The Per Capita Income is an indicator of the standard of living of the people. As per the Advance estimates of 2011-12, the Per Capita Income of Andhra Pradesh at current prices increased to Rs.71,540 from Rs.62,912 in 2010-11 registering a growth of 13.7 percent. The Per Capita Income at constant (2004-05) prices, has also gone up from Rs.40,366 in 2010-11 to Rs.42,710 in 2011-12 registering a growth rate of 5.8 per cent. The Per Capita Income of A.P and All India at Current prices are given in Table- 2.2.
Table - 2.2 Per Capita Income of A.P. and All India at Current Prices (in Rupees) Andhra Pradesh All India Year Per Per Growth Growth Rate Rate Capita Capita (%) Income Income (%) 2004-05 25,321 24,143 2005-06 28,539 12.7 27,131 12.4 2006-07 33,135 16.1 31,206 15.0 2007-08 39,727 19.9 35,825 14.8 2008-09* 46,345 16.7 40,775 13.8 2009-10# 52,814 14.0 46,117 13.1 2010-11$ 62,912 19.1 53,331 15.6 2011-12@ 71,540 13.7 60,972 14.3 *Revised , # Provisional, $ Quick, @ Advance Source:-Directorate of Economics and Statistics, Andhra Pradesh and C.S.O., New Delhi.

The Net State Domestic Product (NSDP) and Per Capita Income (PCI) of Andhra Pradesh at current and constant (2004-05) prices and Net Domestic Product of All India at current 14

and constant (2004-05) prices from 2004-05 to 2011-12 are presented in Annexure-2.9. Gross District Domestic Product: District Income is defined as the sum total of economic value of goods and services produced within the geographical boundaries of the district, irrespective of the fact whether persons reside inside the district or outside owning that income. The Gross District Domestic Product from 2004-05 to 2009-10 (Q) both at current and constant (2004-05) prices are given in Annexures-2.10 and 2.11 and District Per Capita Income in Annexures2.12 and 2.13. The Gross Value Added of Agriculture, Industry and Services sectors at current and constant (2004-05) prices are given in Annexures 2.14 to 2.19 respectively. Gross Fixed Capital Formation The growth of the productive capacity of the economy of a state depends on its rate of capital accumulation and it is assessed by estimating the capital formation of that state. The higher the rate of capital accumulation, the higher would be the growth of the productive capacity of the economy, where as its paucity leads to low level of production with higher cost. Thus Capital Formation assumes paramount importance in the context of policy making by the State and Central Governments. It reveals the potentiality of the investments in the public as well as the private sectors and gives net addition of the assets created during the year. The estimates of Gross Capital Formation (GCF) consists of Gross Fixed Capital Formation (GFCF) and changes in stock. GFCF is a better indicator than GCF since changes in stock is subject to more fluctuations and also non-availability of the stocks information in most of the industry groups of private sector. Hence, the estimates are confined to GFCF rather than GCF at current prices. For measurement of GFCF at State level, expenditure approach is followed as the data on imports and exports of capital goods across the state boundaries and net inflow of resources from outside the State are not available. The GFCF by industry group has been revised from 200405 to 2009-10 due to the revision Supraregional sub-sectors data by the CSO.

Gross Fixed Capital Formation in Andhra Pradesh for the year 2009-10 (provisional) at current prices is Rs.1,34,415 crores as against Rs.1,23,671 crores in 2008-09 reflecting a growth rate of 8.69 percent. During 2009-10, the GFCF at national level is Rs.20,41,759 crores as against Rs.18,21,099 crores in 2008-09 showing a growth rate of 12.12 percent. GFCF of A.P and All India from 2004-05 to 2009-10 at current prices are shown in Table - 2.3.
Table-2.3 Gross Fixed Capital Formation in Andhra Pradesh and All India at Current Prices Andhra Pradesh Year 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10
(Provisional)

Gross Fixed Capital Formation by type of institutions i.e., public and private participation in creation of assets since 200405 to 2009-10 in Andhra Pradesh is shown in Table 2.5.
Table 2.5

Gross Fixed Capital Formation in A.P and All India at Current Prices
Year Andhra Pradesh Public Private (Rs.Crores) All India Public Private

2004-05 2005-06

14,104 (24.26) 19,123 (26.43)

44,032 (75.74) 53,240 (73.57) 63,014 (72.50) 78,009 (70.55) 86,953 (70.31) 95,940 (71.38)

2,24,108 (24.07) 2,71,342 (24.22)

7,06,920 (75.93) 8,48,951 (75.78)

All India GFCF

(Rs. Crs)

GFCF
(Rs.Crs)

Growth Rate

Growth Rate

2006-07

23,903 (27.50)

3,39,617 10,04,157 (25.27) (74.73)

58,136 72,363 86,917 1,10,574 1,23,671 1,34,415

-24.47 20.11 27.22 11.84 8.69

9,31,028 11,20,293 13,43,774 16,41,673 18,21,099 20,41,759

-20.33 19.95 21.17 10.93 12.12 2009-10 (P) 2008-09 2007-08

32,566 (29.45) 36,718 (29.69) 38,475 (28.62)

4,01,326 12,40,347 (24.45) (75.55)

4,80,698 13,40,401 (26.40) (73.60)

5,43,337 14,98,422 (26.61) (73.39)

Source: Directorate of Economics and Statistics, Hyderabad and C.S.O., New Delhi.

Gross Fixed Capital Formation as a percentage to Gross State Domestic Product at current Prices is one of the indicators to measure the productive potential of the investments made during the year at state level. The pattern / trends of investments from 2004-05 to 2009-10 are shown in Table 2.4.
Table 2.4 GFCF as Percentage of GSDP/GDP Year Andhra Pradesh All India 2004-05 25.87 31.33 2005-06 2006-07 2007-08 2008-09 28.27 28.87 30.31 28.98 33.04 33.99 35.83 34.34

Source: Directorate of Economics and Statistics, Hyderabad and C.S.O., New Delhi.

As seen from the above table, it is observed that creation of assets during the indicated years are more in Private sector as compared to Public sector both in case of Andhra Pradesh as well as All India during 2004-05 to 2009-10. Industry group wise GFCF in A.P from 2004-05 to 2009-10 is shown in Annexure-2.15.

***

2009-10 27.41 33.52 (Provisional) Source: Directorate of Economics and Statistics, Hyderabad and C.S.O., New Delhi.

15

3. PUBLIC FINANCE
Public Finance management in the state has improved significantly since the enactment of the APFRBM Act, 2005. The Act stipulates that the State Government shall maintain a revenue surplus in a financial year and ensure that fiscal deficit does not exceed 3% of GSDP. The Thirteenth Finance Commission has further recommended that the total outstanding liabilities of the state government shall not exceed 27.6% of the GSDP at the end of the financial year, 2014-15. State Government has accordingly formulated a clear plan of action to achieve the targets on fiscal reforms. The state has maintained revenue surplus, and contained fiscal deficit to well within the FRBM target of 3 percent of GSDP from the year 2006-07.
5000

scholarships and tuition fees to the SCs / STs / BCs. Revenue Mobilization Tax collections increased at 28.33% during the year 2010-11 over the year 2009-10 due to strengthening of tax collection mechanism. The average rate of growth of tax revenue stands during last 3 years at 16.54%. Introduction of VAT resulted in initial hiccups in the year 200506, but 2006-07 to 2010-11 have seen good growth rate in VAT and APGST collections. Restructuring Expenditure During the year 2010-11, capital expenditure constituted 11.99 % of the total expenditure. Out of the provision of Rs.17855 crores made in BE 2010-11, the capital expenditure was Rs.11123 crores. The major part of the capital expenditure was allocated to Irrigation sector, to ensure quick completion of major irrigation projects undertaken by the Government. The State is implementing the schemes like subsidy rice, power subsidy, old age pensions, Pavala Vaddi to SHGs, INDIRAMMA Housing Programmes etc., in the State continuously without hindrance in implementing social sector schemes which are very useful to the citizens who are below poverty line in the State. Own Tax Revenues The States own tax revenues have grown by 28.33% in the year 2010-11 over the previous year i.e. 2009-10 and stood at Rs.45140 crores. The Composition of the Own Tax Revenue from 2007-08 to 2011-12 (RE) is given in the following bar diagram and in Annexure 3.1.
State's Own T Revenue ax from 2007-08 to 2011-12 60000 50000 Rs.Crs) 40000 30000 20000 10000 0 200708 200809 200910 201011 201112 (RE) 28794 33358 35176 45140 53399

0
20 04 -0 5 20 05 -0 6 20 06 -0 7 20 07 -0 8 809 20 09 -1 0 011 20 0 20 1 112 R E

-5000

-10000

-15000 Revenue Surplus -20000 Fiscal Deficit

Government amended the FRBM Act in May 2011 to set the year-wise targets on outstanding liabilities from 30.3 percent in 2010-11 to 27.6 percent in 2014-15. Government has made efforts to reduce revenue expenditure and improve the revenues by plugging loopholes in the collection of tax revenues. The revenue collections have been increased satisfactorily. But, the revenue expenditure has increased abnormally due to cyclone and untimely heavy rains during the year 2010-11. The main reasons for increase of revenue expenditure are implementation of Revised Pay Scales 2010 to the State Government employees, increase in

20 1

16

The composition of own tax revenue in 201011 is depicted in Pie Chart 3.1, which shows that Sales Tax, Excise, Motor Vehicle Tax and Stamps and Registration contribute the bulk of the Tax Revenues.
Pie C hart 3.1 C p om osition of State's Ow T n ax R enue 2010-11 ev
8% 6% 3%

Pie Chart 3.2 Composition of E xpenditure 2010-11

3%

12%

85%

18% 65%

Revenue Expenditure Capital Outlay Net lending

Sales Tax Ex cise Tax on Motor V es ehicles Stam and Reg ps istration Other Tax and Duties es

Own Non-Tax Revenue The own non-tax revenue has been increased to Rs.10720 crores in the year 2010-11 where as the actuals for the year 2009-10 was Rs.7803 crores. The major components of States own non-tax revenue from 2003-04 to 2011-12 (RE) are indicated in Annexure 3.2. Central Transfers The receipts under Central Tax Devolution for the fiscal year 2010-11 stood at Rs.15237 Crores, which is an increase of Rs.3095 Crores over 2009-10. The flow of Total Central resources to the State from 2003-04 to 2011-12 (RE) is given in Annexure 3.3. Expenditure The composition of total expenditure in 201011 is depicted in Pie-Chart 3.2 and details of the expenditure from 2000-01 to 2011-12 (RE) are given in Annexure 3.5.

Debt and Interest Payments Interest payments against Government debt have gone up from Rs.8914 Crores in 2009-10 to Rs.9675 Crores in 2010-11. The interest payment during 2010-11 increased by 8.5 per cent over previous year. The total outstanding debt by the end of March 2010-11 was Rs. 121743 Crores, which comes to 20.67% of GSDP. The State Government is well within the limits of the outstanding debt fixed in the APFRBM Act. The Outstanding Central Loans as a proportion of the total debt comprise 12.73% and market borrowings constitute another 50.91%. The composition of Outstanding Debt from 2000-01 to 2011-12 (RE) is given in Annexure 3.7 Fiscal Deficit In the year 2010-11, the actual percentage of fiscal deficit to GSDP is at 2%. Thus, the State Government is within the percentage of fiscal deficit limits (3%) prescribed by Government of India. The Interest Payments and Fiscal Deficit from 2004-05 to 2011-12(RE) are given in Annexure 3.6. ***

17

4. PRICES, WAGES AND PUBLIC DISTRIBUTION

PRICES
4.1 One of the foremost concerns of any Government is to have a regular and periodic check on the movement of prices of essential commodities since a change in the price level is likely to have an impact in the pattern of consumption of the consumer. This attaches greater importance to the price collection and its analysis. The Directorate of Economics and Statistics has been collecting the prices of the essential commodities from selected centres across the State on daily basis. The essential commodities being monitored are Rice, Redgramdal, Groundnut Oil, Tamarind (without seed), Red Chillies (dry) and Onions. Table 4.1 State Average Daily Retail Prices of Essential Commodities (Rs./Kg)
Commodity 200910 201011 AprDec 2011 Growth rate (%) of AprDec.11 over AprDec.10

Rice (II sort)

17.08

17.49

17.92

2.63

Redgramdal 64.49 58.99 56.13 (-) 5.27 (II sort) Groundnut Oil 66.94 79.88 91.42 14.69 34.69 54.73 75.96 50.44 Common Tamarind (Without seed) Red Chillies 60.19 62.36 97.16 74.14 Dry (Gr II) Onions (Gr II) 12.68 16.25 11.36 (-) 22.70 Source: Directorate of Economics and Statistics.

A perusal into the trends of the data on prices reveals that the Average Daily Retail Prices of all the essential commodities except Redgramdal (II sort) and Onion (Gr-II) have shown a definite surge. However, with the food inflation showing sharp decline in the recent weeks, it is likely that the overall impact will not be that severe this year. 18

Price Index is a statistical tool to measure the relative change in the price level with reference to time, geographical location and other characteristics. It is also considered as a barometer of economic activity. Consumer Price Index is of great relevance for this purpose and is used as a device for measuring changes in the level of retail prices of goods and services paid by concerned population segments. The classes of people usually covered by these indices are the Industrial Workers and Agricultural Labour. Consumer Price Indices for Industrial Workers (CPIIW): The Consumer Price Indices for Industrial Workers (CPIIW) Old Base 1982=100 is replaced with New Base 2001=100 from January, 2006. For construction and compilation of CPI Numbers for Industrial Workers with New Base 2001=100, twelve centres were selected in Andhra Pradesh both for Central and State Series based on Industrial workforce. The centres are 1.Hyderabad, 2.Visakhapatnam, 3.Warangal, 4.Guntur, 5.Vijayawada, 6.Godavarikhani, 7.Vijayanagaram-Chittivalasa, 8.KakinadaRajahmundry, 9.Jaggaiahpet - Miryalaguda, 10.Tirupati - Renigunta, 11. KothagudemPalwancha and 12. Nizamabad- Bodhan. Labour Bureau, Simla compiles the index for the first six selected centres since they are treated as Central Series, while the State Directorate of Economics and Statistics compiles the index covering remaining six complex centres in Andhra Pradesh. Consumer Price Indices for Industrial Workers increased by 5.83% and 9.12% in the State and All India respectively during April to November 2011 over the corresponding period of previous year. The Consumer Price Indices for Industrial Workers from 2006-07 to 2010-11 and growth of the indices during the period from April to November 2011 over the corresponding period of previous year are shown in Table 4.2 below.

Table 4.2 Consumer Price Index Numbers for Industrial Workers

(Base : 2001 =100)

Year 2006-07 2007-08 2008-09 2009-10

Andhra Pradesh

All India

125 132 147 168 185 193

125 133 145 163 180 193 9.04

2010-2011
2011-12 (Aprl to Nov , 2011)

Growth rate(%) Apr. to Nov. 2011 over 6.04 Apr. to Nov.,2010 Source: Labour Bureau, Simla.

Consumer Price Index Numbers for Agricultural Labour (CPI AL) The Labour Bureau, Simla compiles the Consumer Price Index Numbers for Agricultural Labour (CPI-AL) with 1986-87 as base year. The Table 4.3 given below indicates that during April to November 2011, the Consumer Price Index Numbers for Agricultural Labour increased by 11.95% in the State and 9.29% at All India when compared to the corresponding period of the previous year.
Table 4.3 Consumer Price Index Numbers for Agricultural Labour (Base : 1986-87 =100) Year Andhra All India Pradesh 2009-10 2010-2011 2011-12 (Aprl to Nov , 2011) 534 589 647 513 564 606 9.39

pertaining to these specific segments only and do not encompass all the segments of the population and as such do not reflect true picture of the price behavior in the country. The Government of India therefore desired to have a new series of CPI for the entire urban population, viz. CPI (Urban), and CPI for the entire rural population, viz. CPI (Rural), which would reflect the changes in the price levels of various goods and services consumed by the urban and rural population. Consequently, the Central Statistics Office (CSO) of the Ministry of Statistics and Programme Implementation recently has introduced a new series of overall Consumer Price Indices for rural, urban and combined on base 2010=100 for all India and States/ Union Territories from January 2011. These new indices are compiled at State/UT and allIndia levels. The average Consumer Price Indices during April to November 2011 for rural, urban and combined in Andhra Pradesh were less than that of India. The average indices for the period from April to November 2011 in AP and All India are shown in Table 4.4. Table 4.4
Average Consumer Price Index Numbers for Rural, Urban and Combined (Apr-Dec.11)
(Base : 2010 =100)

Year Rural

Andhra Pradesh

All India

112 108 110

113 109 111

Urban Combined

Source: Central Statistics Office, New Delhi.

Growth rate of Aprl to Nov,2011 over 11.94 Aprl to Nov,2010 Source: Labour Bureau, Simla

The Consumer Price Indices for rural, urban and combined for AP and All-India from January 2011 to December 2011 are given in Annexure 4.2.

Consumer Price Index Numbers for Rural, Urban and Combined. The Government of India observed that the Consumer Price Index (CPI) Numbers compiled and released for industrial workers, agricultural labourers and rural labourers, reflect the fluctuations in retail prices

WAGES
4.2 On account of various social and economical factors, Agricultural labour and Artisans in the rural areas constitute the weakest segment of labour force. They are in unorganized sector. To frame a wage policy for this group, the wages data is being collected 19

from 69 centres spread over the State. Average daily wages of Artisans and Field Labour in the State are presented in Table 4.5 Table 4.5 State average Daily Wages of Artisans and Field Labour (Rs.) 2009-10 2010-11 AprCategory Dec.11 Carpenter Blacksmith Cobbler Field Labour Men Women 119.64 90.11 150.43 115.34 171.18 130.65 135.94 113.45 87.67 147.13 126.64 98.27 170.34 150.76 103.56

Source: Directorate of Economics and Statistics

and depicted in the Chart 4.1 below.

Chart 4.1 State Average Daily Wages of Artisans & Field Labour 2009-10 160 Daily Wage (Rs.) 120 80 40 Filed Labour Men 0 Carpenter Blacksmith 136 147 113 127 88 98 120 90 2010-11 150 115

The Average Daily Wages of Artisans and Field Labour (both men and women) have increased during 2010-11 when compared to the previous year and the increase continued during April to November 2011 also.

***
PUBLIC DISTRIBUTION
Fair Price Shops: 4.3 There are 44,579 Fair Price Shops functioning in the State as on 31.11.2011. Out of them 6,747 are in urban areas and 37,832 are in rural areas. On an average, each shop is having 535 cards / families. As against Government of Indias norm of one Fair Price Shop for every 2,000 persons, 20

there is one shop for every 1,965 persons in Andhra Pradesh. Rationalization of Fair Price Shops To ensure effective functioning of PDS and to enable card holders to have access to the F.P. Shop without traversing a long distance, Rationalization of existing F.P. Shops has been done. Rural areas: Ration cards attached to each F.P.Shop is 400 to 450 BPL and 50 Pink cards. Urban Areas: Ration cards attached to each F.P. Shop is 500 to 550 BPL and 250 Pink cards. Municipal Corporations: Ration cards attached to each F.P. Shop is 600 to 650 BPL and 250 Pink cards. Subsidy Rice Scheme: Government of Andhra Pradesh views supply of rice at the subsidized rate to the below poverty line families through Targeted Public Distribution System (TPDS) as of paramount importance. Since 1.11.2011, rice is being supplied @ Rs1/- per Kg. as against Rs.2/per Kg supplied hitherto. It is an important constituent of the strategy for Below Poverty Line (BPL) people. Governments endeavor is to implement TPDS, to the best advantage of the beneficiaries, effectively, efficiently and transparently. For the financial year 2011-12 Rs.2,500 crore has been provided in the budget towards subsidy for the subsidized rice scheme for supply of rice to BPL families at Rs.2/- per kg up to 31-102011 per Kg and Rs1/- per Kg. from 1-112011. Kerosene: A quantity of 43,152 KLs. of Kerosene is being allocated per month for distribution to all the BPL cardholders. Issue of Iris-based Ration Cards: Ration Cards have been issued by using the iris technology with a view to cover all the eligible families and to avoid duplicate/ ghost cards. The annual family income for obtaining the white ration cards is upto Rs.60,000 in Rural areas and upto Rs.75,000 in Urban areas. In respect of AAY and Annapurna schemes, the guidelines prescribed by Government of India have been followed.

Cobbler

Filed Labour Women

De-duplication and Cleansing of Ration Cards through Field Verification: An Integrated Survey was taken up for weeding out bogus, duplicate and ineligible ration cards and rationalization of ration card database through out the state from August, 2009 in 4 phases in all the districts. The exercise was followed by Gram Sabha process for Grievance Redressal Mechanism, before the removal of cards. The physical verification has been completed covering Indiramma Housing and Pension schemes, Field verification, Gram Sabhas and petitions disposal process. The following Table depicts the ration card position(as per dynamic key register 30.10.2011): 1 White 1,79,96,243 2 AAY 15,57,800 3 Annapurna 93,200 4 Pink 29,94,431 Total 2,26,41,674 As per results so far achieved, 17 lakh ration cards were deleted after survey. However, residual grievances, if any, are also being currently entered at the State level. About 4.48 lakh BPL cards were re-issued (missing in database). Aadhaar: Unique Identification Authority of India (UIDAI) Aadhaar: Under the Unique Identification Authority of India (UIDAI) project, a Unique identity number (Aadhaar) with online authentication will be provided to all residents to participate in various welfare measures of the Government. In Andhra Pradesh, in the first phase, a population of 3 crore residents in (7) districts viz., Hyderabad, Rangareddy, Adilabad, East Godavari, Srikakulam, Chittoor and Anantapur would be enrolled through empanelled agencies. Food and Civil Supplies Department is nominated to be the Registrar for implementing the UID project in Andhra Pradesh, as per the norms and standards of UIDAI. In the remaining 16 districts the two agencies which are on board with Civil Supplies Department are doing enrolments on Aadhaar lines for capturing the demographic and biometric data of temporary ration card holders, missing card 21

families Null IRIS card families and also new applicants (applications received during Rachhabanda programme). In Andhra Pradesh, 3.29 crore UID numbers have been generated so far against the total enrolments of 5.03 crore persons. The State Government have envisaged to complete the enrolment in the entire State by 31st March, 2012. With a view to rollout the enrolment of aadhaar in the entire State and to cover all the contiguous villages and mandals in the districts, the Government earmarked geographical area for enrolment by different Registrars viz., Banks, Census Dept., India Post etc. within the purview of the UIDAI guidelines. All the urban areas of 16 districts, where the Aadhaar is not taken up by Food and Civil Supplies Dept., have been earmarked to Food and Civil Supplies Dept. and other than urban areas to other Registrars. Selection of the enrolment agencies for taking up all urban areas in these 16 districts are under process. Aadhaar-based Smart Card: With a view to ensure that the right person gets the right entitlement without any diversion as illegal drawal by others, the State Government introduced Aadhaar based biometric authentication with Smart Cards for issuance of PDS commodities in the Maheswaram mandal of Rangareddy District on pilot basis. The advantages in the smart card are multifold as its utility is not restricted to drawal of ration alone but also for NREGA payments, Scholarships, Aarogyasri benefits; Pensions; Housing, Self Help Groups; LPG distribution etc. In all, 12,937 Smart Cards have been issued so far of which 12,675 were in Maheswaram Mandal of Rangareddy and 262 in Kothapalem of Chittoor District. Procurement of Paddy, Maize and other coarse grains/ pulses at Minimum Support Price (MSP) Minimum Support Price (MSP) is being ensured to the farmers for their produce. In order to facilitate disposal of paddy which does not conform to the specifications, Government relaxed specifications for purchase of paddy imposing cuts in the value/ MSP.

It has been made mandatory on the part of the rice millers that they should purchase paddy of Fair Average Quality (FAQ) at a price not less than minimum support price i.e. Rs.1110/- per quintal for Grade A and Rs.1080/- per quintal for common. Rice millers who purchase FAQ paddy at a price not less than MSP and above or non FAQ paddy with value cuts as prescribed by the Government alone are permitted to deliver levy to the Food Corporation of India. Procurement of paddy and maize by Government Agencies under MSP operations is shown below: During 2010-11, 181.69 Lakh MTs of Paddy was procured by the Government agencies under MSP operations and so far during 2011-12, 2.71 lakh MTs of Paddy has been procured. Procurement and distribution of Rice during 2010-11 and 2011-12 is shown below. Procurement and Distribution of Rice
Year Procurement during Crop year (incl.CMR) (Lakh MTs) Distribution during Financial Year (Lakh MTs)

2010-11 2011-12
(as on 14.11.2011)

79.69 0.12

35.03 18.26

Distribution of Palmolein Oil, Redgramdal, to the BPL cardholders is being done through Public Distribution System to control the prices in the open market and also enable financial ease to the BPL families from rising prices. Palmolein Oil: For supply of imported RBD Palmolein oil to BPL families at subsidized rates through PDS, the Civil Supplies Corporation purchases Palmolein Oil under GOI subsidy scheme and make available for distribution through PDS. All the BPL card holders are being supplied @ 1 litre per card at Rs.40/per litre. So far 4,65,085 MTs. Palmolien Oil has been distributed through PDS since July, 2008. Redgramdal: The Civil Supplies Corporation makes Redgramdal available for distribution to BPL families at subsidized rates through the PDS. Redgramdal is being allotted to all BPL cardholders @ Rs.50/- per kg. at the scale of distribution of 1kg per family w.e.f. December 2010. So far, 2,27,856 MTs. of Redgramdal has been distributed through PDS since July, 2008. Both the GOI and State Government are incurring subsidy in supply of Redgramdal.

Market Intervention Scheme:

***

22

5. AGRICULTURE AND ALLIED ACTIVITIES

AGRICULTURE
5.1 With more than half of the States population still dependent for their livelihoods either wholly or significantly on some form of farm activity, expansion of farm incomes continues to be the potent weapon for reducing poverty. Rapid and sustainable growth in Agriculture has been identified not only as a key driver for economic development but also for achieving self sufficiency and ensuring food security to the people. Over the decades, Andhra Pradesh has witnessed a gradual transformation in the agriculture sector. The nature of the transformation itself has undergone change overtime. The initial and noteworthy transformation that took place during 1980s was the shift from a traditional cereal-based system towards commercial commodities such as oilseeds, cotton and sugarcane. However, during 1990s, when the crop sector witnessed high volatility due to consecutive droughts and decelerating crop yields, the transformation although continued, was more towards high-value commodities such as fruits, vegetables, milk, meat, poultry and fish,. In fact, the high-value commodities performed impressively and rescued the agriculture sector to a great extent. Achieving a growth rate in excess of 4% in Agriculture sector during 11th Five Year Plan period was set with the objective of shifting a sizable excess labor force from the Agriculture sector to other non-farm rural sectors especially to rural industry through skill development, with ultimate object of improvement of productivity in agriculture sector. Ensuring Food security and providing gainful employment to the labor force continues to be the essential premise for the socio economic development of the people and employment guarantee schemes like Mahatma Gandhi Rural Employment Guarantee Scheme(MGNREGS) and other Rural Livelihoods programmes are effectively catering to this objective. Improving farm incomes and ensuring sustainable growth in the agriculture and allied sectors is on the top of the agenda for the state. Overwhelming priority accorded to the irrigation sector on one hand and the various farmer friendly initiatives put in place on the other, appeared to have helped the State achieve the growth targets during the 11th Plan so far in Agriculture. The state enjoys a position of pre-eminence in respect of crop production. Andhra Pradesh is set to scale new heights in agriculture during the 12th Five Year Plan, especially with renewed focus on micro irrigation, Sri cultivation micronutrient application, development of dry land agriculture, Farm mechanization increasing storage capacity and other agriculture related strategies. Land Utilization The pattern of Land Utilization in the state is depicted in the following diagram.
Land Utilisation in Andhra Pradesh 2010-11

42%

1% 2% 2% 5% 23%

7%

10%

8%

Net Area Sow n Current Fallow Barren & Uncultivable Land Culturable Waste Misc.Tree crops

Forest Land put to Non Agri.Uses Other Fallow Lands Permanent pastures

The total Geographical area of the State is 275.04 lakh hectares. Out of the Geographical area, 41.04 % is under Net Area Sown (112.88 lakh hectares), 22.65 % under Forest (62.30 lakh hectares), 8.10 % under current fallow lands(22.29 lakh hectares), 10.08% under Land put Non23

Agricultural uses (27.71 lakh hectares), 7.37 % under Barren and uncultivable land (20.26 lakh hectares) and remaining 10.76 % under other fallow land, cultivable waste, permanent Pastures and other grazing lands and Land under miscellaneous tree crops and groves not included in the Net Area Sown (29.60 lakh hectares). The Land Utilization particulars from 1956-57 to 2010-11 are given in Annexure 5.1. Rainfall The rainfall received during the South West Monsoon period for 2011-12 was 539 mm. as against the normal rainfall of 624 mm. recording a deficit by 13.6 %. The rainfall received during the North East monsoon period for 2011-12 was 113 mm as against the normal rainfall of 224mm recording a deficit of 49.6%. The season wise region wise rainfall is given in Annexure 5.2 and district wise rainfall is given in Annexure 5.3 The trend of rainfall over past 10 years is depicted below.
Rainfall during South-West Monsoon & N-E Monsson
900 800 700
Rainfall (mm)

810 747
624

690
624 624 624 624

600 500 400 300 200 100 0

2001-02 2002-03

598

624

624

534 481 417

264 224 321 218 156 185 133 168 163 159
2007-08 2008-09 2009-10 2010-11

539 454
333 224 113
2011-12

Normal Rainfall (mm):S-W Monsoon Actual Rainfall (mm):S-W Monsoon Normal Rainfall (mm):N-E Monsoon Actual Rainfall (mm):N-E Monsoon

Area and Production (Kharif and Rabi Season) - Second Advanced Estimates 2011-12) As per the second advance estimates, the area as well as production of food grains for the year 2011-12 are expected to show a decline in comparison with the previous year, viz, 2010-11. While the area under food grains is expected to be 70.60 lakh hectares as against 80.29 lakh hectares in 2010-11, showing a decline of 12.07%, the total production of 24

food grains for the year 2011-12 is estimated to decline by about 30 lakh tones over the previous year - a decrease of 14.81%, from 203.14 lakh tonnes during 2010-11 to 173.05 lakh tonnes in 2011-12. Kharif: The area under food grains in Kharif 2011-12 is expected to be 43.06 lakh hectares while it was 45.81 lakh hectares in 2010-11 - a decline of 6%. Similarly, the production estimate of food grains in Kharif 2011-12 is also expected to marginally decline from 98.52 lakh tonnes in 2010-11 to 98.03 lakh tones, a decline of 0.5%, . The estimate of the area under rice in Kharif 2011-12 is expected to be 28.69 lakh hectares while it was 29.22 lakh hectares in 2010-11. Similarly, the production estimate of rice in Kharif 2011-12 is also expected to be 77.46 lakh tonnes while it was 75.10 lakh tonnes in 2010-11. Rabi: The estimate of the area under foodgrains in Rabi 2011-12 is expected to be 27.54 lakh hectares while it was 34.48 lakh hectares in 2010-11. Similarly, the production estimates under food grains in Rabi 2011-12 is also expected to be 75.02 lakh tonnes while it was 104.62 lakh tonnes in 2010-11. The estimate of the area under rice in Rabi 2011-12 is expected to be 11.37 lakh hectares while it was 18.30 lakh hectares in 2010-11. Similarly, the production estimates under rice in Rabi 2011-12 is also expected to be 41.73 lakh tonnes while it was 69.10 lakh tonnes in 2010-11. The area and production of Food grains from 1975-76 to 2011-12 are given in Annexure 5.4 The season wise area, production and productivity of selected crops are given in Annexures 5.5, 5.6 and 5.7 respectively. Unfavourable seasonal conditions like drought, floods and heavy rains prevailed in the State during the decade have contributed to fluctuations in the area and production of food grains. With the cultivation of High Yielding Varieties, improved seed and cultivation practices, the production of food grains however in general maintained an increasing trend.

2003-04

2004-05

2005-06

2006-07

Area and Production of Foodgrains

Area & Production

250 200 150 100 50 0

2004-05 2005-06 2006-07

134

170 162 63 72 73

198 204 203 173 156 74 74 67 80 71

2010-11 2011-12

Area (in Lakh Hects.)

Production (in Lakh Tonnes)

Cropping Intensity: The cropping intensity (the ratio of gross cropped area to net cropped area) is one of the indices of assessing the efficiency of agriculture sector and for the year 2010-11, it works out to 1.29. Gross and Net area Irrigated: The gross area irrigated in the State increased to 71.53 lakh hectares in 2010-11 against 57.65 lakh hectares in 2009-10 showing an increase of 24.08 percent. The net area irrigated in the state increased to 50.34 lakh hectares in 2010-11 as against 42.15 lakh hectares in 2009-10 showing an increase of 19.43 percent. The source-wise Gross and Net area irrigated in the State from 1996-97 to 2010-11 are given in Annexure 5.8 and 5.9 respectively. It may be seen that the area irrigated is increasing over the last year Land Holding: The data on land holdings in the state is being collected since 1970-71 through a quinquennial Census of Land Holdings and the latest available data relates to 2005-06. But the average size of land holdings in the state has marginally declined to 1.20 hectares during 2005-06 from 1.25 hectares in 200001. The number holdings have increased from 1.153 crores in 2000-01 to 1.204 crores in 2005-06. Distribution of Land holdings and area according to size class are given in Annexure 5.10. The 9th Quinquennial Census of Land Holdings commenced on 1st October 2011.

Agriculture Extension Programmes: Mission and Strategies: The major concern that clearly emerges is to improve the farm income both in absolute terms and percentage of GSDP. The Department of Agriculture is therefore working with a mission of Sustainable Agricultural Production with minimum cost of cultivation, eventually enhancing the return on investment to the farmer. In the process of making the mission a reality, the following strategies are being adopted. Re-engineering extension approach for effective extension reach. Empowering farmers with advance agricultural practices. Capacity enhancement of departmental staff for efficient use of extension technology. Ensuring timely input supply. Regulation of inputs and quality control. Soil test based fertilizer recommendation. Promotion of self reliance in seed production among farmers. Promotion of Integrated Crop Management through Integrated Nutrient Management (INM), Integrated Pest Management (IPM), efficient water management, etc. Promotion of organic farming to meet the demand of World Market. Correcting micronutrient zinc deficiency. Reclamation of Problematic soils to restore the productivity. Natural Resource Management through watershed approach for agricultural land development and environmental stability. Calamity Management in the event of drought, floods, hailstorms etc. Promoting cultivation of low risk and low cost intensive crops. Farm Mechanisation for item and cost effective farming practices. Promoting Farmers Organization (Rythu Mitra Groups) for technical and monetary benefits in Agriculture and allied activities. Facilitate the farmer to avail Agriculture Credit.

2007-08

2008-09

2009-10

25

Women Empowerment and gender balance. Provide day to day information to farmer on crop production, input supply, marketing through Internet Services. (AGRISNET).

The initiatives taken up for increasing productivity levels: Increasing crop productivity by developing farming situation based production plans. Dissemination of improved technologies through effective extension out-reach. Ensuring availability of quality Agricultural inputs. Reduce cost of production by educating the farmers on improved crop management practices like Integrated Nutrient Management (INM), Integrated Pest Management (IPM), and Water Management (WM) and Post Harvest Technologies (PHT). Providing improved Agricultural implements and farm machinery for reducing the cost of cultivation. Crop diversification programme. Assist the farmers in the event of natural calamities like droughts, floods and cyclones for providing relief and inputs for alternate cropping programmes. Sustainable dry land agriculture development by implementing National Watershed Development Project for Rainfed Areas (NWDPRA). Improving soil health through soil test based fertilizer recommendations, encouraging green manuring, vermi compost, reclamation of problematic soils and correction of micro nutrient deficiencies. Facilitate availability of credit to more number of non-loanee farmers and tenant farmers. Extension Activities: Rythu Chaitanya Yatra : Inspired by the sucess achived last year from the conduct of Rythu Chaitanya Yatras, the Government have once again organized them in the year 2011 from 17.05.11 to 2.06.11 in 22 districts in the state with a holistic approach to educate the farmers at grass root 26

level particularly small and marginal farmers. The focus was on technology transfer, addressing the technology gaps identified in the village, creating awareness about the programmes of Government for welfare of farmers ensuring timely credit delivery, effective input planning for kharif, agriculture mechanization, crop diversification, water management etc. with an objective to increase productivity and to reduce cost of cultivation, to improve quality and latest technology intervention in Agriculture and Allied activities. Under these Yatras, 37,253 habitations have been covered and 20.47 lakh farmers have been contacted 3.37 lakh soil samples were collected and sent to Soil testing Laboratories. 72,309 live models /demos have been displayed

The financial allocation for Rythu Chaitanya Yatras 2011 is Rs 220.90 lakhs. Rythu Sadassus : Rythu Sadassus were organized from 7th June to 11th June 2011 in 71 Revenue Divisions by Department of Agriculture and line departments to explain about the various schemes pertaining to Agriculture and its Allied sectors and to disseminate the Technological advances. These Sadassus also aim to educate the farmers to adopt new technologies for improving quality and increasing productivity and production in Agriculture and Allied sectors and to help them to become more competitive and prosperous. 3,40,506 farmers have attended the Sadassus. Bi-Monthly Workshop Bimonthly workshops are being held regularly at identified research stations of ANGRAU in all districts, wherein departmental officers and scientists of ANGRAU discuss and formulate production recommendations for ensuing two months. These workshops are also serving as inservice orientation for middle and senior level officers of the department.

Zonal Research Extension Advisory Council Meeting (ZREAC) ZREACs for Kharif and Rabi were organized in all the nine Agro-Climatic Zones of the State. During these meetings, officers from Commissionerate and JDAs from districts are deputed and production problems are being reviewed. Research gaps for the zones as a whole and production recommendations for major crops are provided to the departmental officers. Research priorities are finalized. Staff Trainings: Trainings for senior and middle level officers have been organized in specialized areas in various Institutes of Government of India located in the country as well as in ANGRAU. Grass-root level extension workers like Agricultural officers are trained at State Government institutes like SAMETI, DR.MCR HRD Institute, WALAMTARI etc. Training Programmes to Farmers Under the farmers training programme, trainings on IPM, INM, Organic farming and SRI Cultivation are being conducted to provide Training and Transfer of Technology of IPM, INM, OF and SRI Technology. Like in the previous year, an amount of Rs.65.00 lakhs has been released and 1300 trainings has been organized during 2011-12 also. Padipantalu The Padipantalu monthly Telugu magazine is being printed and published every month for updating the knowledge of farming community. One lakh number of copies are being printed and distributed every month to Adarsha Rythus, Agriculture and Allied Department field functionaries apart from supplying to the public representatives. The articles covered in the magazine include success stories of the farming community and latest technical information on agriculture sector and the information regarding special meetings, seminars, exhibitions being organized by Agriculture and allied departments. The magazine will help the Adarsha Rythus and other extension field staff to disseminate the latest technical knowledge to the farmers and guide them in increasing the productivity and there by improving their economic status.

Soil Testing For optimal soil productivity, soil sampling and soil testing program is organized in a systematic manner to evaluate the fertility status and to identify the soil problems (Salinity/ Sodality) if any to improve fertility and reclaim the problematic soils. There are 24 District Soil Testing Labs (STLs), (22 labs are in the 22 districts and other 2 are established under National Project in Mahaboobnagar and Kurnool), 2 Regional Soil Testing Labs and 5 Mobile Soil Testing Labs and 58 Mini Soil Testing Labs located at Agricultural Market Committees (AMC) in the State. The departmental Soil Testing Laboratories are equipped to analyse the Organic Carbon (OC) (index of nitrogen content), available Phosphorus, Potassium, Zinc, Iron, Copper, Manganese, Salinity (EC) and alkalinity (pH). The mobile Soil Testing Laboratories and AMC mini laboratories however analyse only organic carbon, available phosphorus, potassium, EC and pH. The results of the soil analysis will be communicated to the respective farmers in the form of soil health cards. The soil health cards contain the information on the soil fertility status showing the available nutrient contents. Based on the available nutrient contents, fertilizer recommendations are given in the card for the crop to be grown by the farmer. The target and achievements for the years 2010-11 and 2011-12 are shown in Table 5.1.
Table - 5.1 Soil Testing
2010-11 Item Annual Target Achieve ment 2011-12 Annual Target Achieve ment April to Sep. 11
1,47,436

Macronu trients ECand pH Micronut rients

3,90,000

4,28,444

3,68,190

1,22,995 11,070

81,177 22,317

1,22,730 22,100

8,713 8,827

Water samples

Source: Agriculture Department

27

During the year 2011-12, it is planned to collect soil samples from the existing 240 farming situations @15 soil samples from each farming situation approximately totaling to 3600 soil samples but actually samples to be collected is 3355 because in some situations the number of villages are less than 15.The collected soil samples are analyzed for macronutrients and micronutrients (Fe, Cu, Zn, Mn & S) and it has to be monitored for 3 years. District Soil Testing Laboratories (STLs) under Single Window Diagnostic Scheme: The Soil Testing Labs are strengthened for seed testing and fertilizers testing to analyse service samples in the STLs where notified labs are not available. 19 STLs for Seed Testing and 17 STLs for Fertilizer Testing are strengthened. These labs take up the analysis of seed samples and fertilizer samples other than law enforcement samples. The farmers, dealers, producers or any person interested can know the status of seed lots and fertilizer. Achievements under Single Window Diagnostic Scheme are shown in Table 5.2.
Table - 5.2 Single Window Diagnostic Scheme 2010-11 Item
Annual Target Achiev ement Annual Target

2011-12 Achiev ement

(April to Sep. 11

Seed Samples 13,200 10,376 (No.) Fertilizer Samples 1,500 369 (No.) Source: Agriculture Department

11,400

5,159

1700

64

Agricultural Resources Information Systems NETwork - AGRISNET (For Soil Testing Program) The soil analysis data is being uploaded on internet. The results of the soil samples can be downloaded by the farmers or any officer by generating the soil health card using the unique code number. Objectives of the Programme: To facilitate and promote Integrated Nutrient Management (INM) through

judicious use of chemical fertilizers, including secondary and micro nutrients, in conjunction with organic manures and bio-fertilizers, for improving soil health and its productivity. To strengthen soil testing facilities and provide soil test based recommendations to farmers for improving soil fertility and economic return to farmers. To provide soil health through green manuring. To facilitate and promote use of soil amendments for reclamation of acidic/ alkaline soils for improving their fertility and crop productivity. To promote use of micro nutrients for improving efficiency of fertilizer use. To upgrade the skill and knowledge of STL/ extension staff and farmers and their capacity building through training and demonstration on farmers fields regarding benefits of balanced use of fertilizers. To ensure quality control of fertilizers through strengthening of fertilizer quality control facility including training to enforcement officers of State Governments for effective implementation of Fertilizer Control Order. To provide financial assistance for upgrading and setting up of STLs/ Fertilizer Testing Laboratories and various activities for promoting balanced use of fertilizers. Under this scheme during 2011-12, (3) new Static Soil Testing Laboratories have been established at Nizamabad, Nellore & Vizianagaram districts. Further, (2) new Mobile Testing Vans are being provided to MSTL, Visakhapatnam & YSR Kadapa in place of old condemned vehicles. The establishment of the above labs is under process. The MSTL, Rajendranagar is strengthened through supply of Atomic Absorption Spectrophotometer (AAS) for analysis of micronutrients. Further Frontline Field Demonstrations are being organized

28

during Rabi 2011-12 in all the districts under the above scheme. AGRISNET: The Government of India has decided to launch a central sector scheme titled Strengthening/Promoting Agricultural Informatics & Communications of which one component is AGRISNET. AGRISNET was launched on February 11, 2009 for the benefit of the farming community with the following features incorporated in phase I. Objective The objective of AGRISNET is to provide improved services to the farming community through use of ICT. The services present in the AGRISNET portal are Package of practices of 18 important crops grown in AP. Information on intercrops Integrated Pest Management System of Rice Intensification (SRI) Weather based information Organic Farming Information of MSP of crop produce, MRP of Fertilizers etc. Precautions to be taken during seed treatment & purchase of inputs. Schemes and subsidies of the department Crop wise FAQs Answers to queries posed by farmers Key contacts in Agriculture Department Programme schedules of Radio and TV along with misbranded pesticide information and any current issues. Video clips of farmers success stories. Videos of beneficial and harmful insects. Soil fertility maps Online Soil Health Card Generation System An application is developed to computerize the soil test results of the farmers. Through this application the officers of the soil testing laboratories enter the soil test results into the system.

Farmers can download the soil health card online using the unique number allotted to each sample. A facility is provided to send the soil test based fertilizer recommendations through SMS to the farmers mobile phone. (A demo is arranged) As on date no. of samples fed into the system is 6,14,467. This application enables the farmers to pose a question in telugu to the experts online developed by C-DAC (Center for Development of Advanced Computing). 18 experts are identified for this purpose. Out of which 17 experts are scientists from ANGRAU and one officer from the department for answering queries on departmental activities.

Web Application for Product Market Matrix (by IIFT, Calcutta) This web application can be used as a readymade guide for the agricultural exporters to obtain information pertaining to the identification of right market, tariff rates and food safety regulations for a product in a particular country by the use of online database and information. Delivery of AGRISNET services through CSC A Pilot Project was taken up from 14-012010 to 30-04-2010 on delivering agricultural services to the farmers through Citizen Service Centers (CSCs) in one mandal each of West Godavari (Ganapavaram), Kurnool (Orvakal) and Karimnagar (Vemulavada) districts. SEEDNET Software: For automating the Seed Testing Laboratories, software termed SEEDNET has been developed by NIC. Subsidy Seed Distribution During Kharif 2010, a quantity of 12.02 lakh qtls of seed was distributed with a subsidy value of Rs.155.86 crores and during Rabi 2010-11, a total quantity of 6.67 lakh quintals of seeds was distributed with a subsidy of Rs.122.29 crores. In total (Kharif+Rabi)

29

18.69 lakh quintals of seeds were distributed on subsidy under different schemes involving a subsidy amount of Rs. 278.15 crores. Kharif 2011: During Kharif 2011, 16.2 lakh quintals of seed was planned for distribution under subsidy programme, under different schemes i.e., NFSM, RKVY, ISOPOM and NSP, out of which 11.01 lakh qtls of seed was distributed with a subsidy value of Rs. 160.38 crores. Area covered under High Yielding Varieties is given in Annexure 5.11 Fertilizer Policy Initiatives: Fertilizer consumption during 2010-11 in terms of nutrients (N, P, K) was 34.96 Lakh Metric Tonnes (LMTs) (18.59 LMTs during Kharif and 16.37 LMTs during Rabi). The Nutrient-wise consumption was 19.66 LMTs of N, 10.32 LMTs of P and 4.98 LMTs of K and Details of the fertilizers supplied for the Kharif 2011 are shown in the Table 5.3.
Table - 5.3 Fertilizer Consumption 2011-12 (in LMTs) Product Kharif 2011 Projection Consumption

manufactures will fix the retail prices of the P & K fertilizers. The per kg subsidy fixed on nutrients viz: Nitrogen, Phosphorus, Potash and Sulphur are Rs. 27.15, Rs. 32.34, Rs. 26.76 and Rs. 1.68 respectively. Accordingly the per Metric Tonne subsidy on DAP, MOP and complexes are fixed by GOI. Pesticides: The pesticide consumption has been decreased due to motivation of the farmers through Polambadi programmes to follow Integrated Pest Management practices (IPM). IPM emphasizes need based use of pesticides, bio-pesticides and bio-agents along with cultural and mechanical practices for pest control. The cultivation of Bt. cotton varieties also resulted in the reduction of pesticide usage in cotton crop and thus the pesticide consumption in the state decreased substantially. During the year 2010-11, the pesticide consumption in the State is 5,451 M.T.s. of active ingredient during Kharif and 3,418 M.Ts of active ingredient during Rabi season. During the year 2011-12, the pesticide consumption in the State is 5328 M.T.s. of active ingredient during kharif Pesticide consumption over the years is shown in Table 5.4. Table - 5.4 Utilization of Pesticides
Year ( M.Ts ) Pesticide Consumption (Active ingredient)

Urea DAP* MOP* SSP Complexes Others Total

15.00 7.30 3.25 1.50 11.50 1.00 39.55

14.59 5.36 0.81 1.30 11.4.3 0.51 34.00

Source: Agriculture Department *The reason for less consumption registered is on account of non-supply of both the products as per requirements especially that of MOP, as the import agreements were not contracted due to abnormal prices in the international market.

2007-08 2008-09 2009-10 2010-11 2011-12 (up to Dec,2011)

Source: Agriculture Department

8422 8374 8146 8,869 6346

Product-wise consumption of fertilizers and the nutrient wise fertilizer consumption are given in Annexures 5.12 and 5.13 respectively. Nutrient Based Fertiliser (NBS) Policy: The Department of Fertilizers, GOI announced nutrient based fertilizer Policy (NBS) with effect from 1-4-2010. As per the new policy the subsidy/concession extended on P & K fertilizers is fixed, and 30

Farm Mechanization Scheme: Mechanization has been well received the world over as one of the important elements of modernization of agriculture. It is now recognized that availability of mechanical power and improved equipment has enabled many developed countries in the world to achieve high levels of productivity.

In the state, considerable section of the farming community is still lagging behind in the knowledge of latest developments in Farm Mechanization and in adopting modern-day farming technology. However, Farm Mechanization is gaining importance for carrying out various farm activities effectively in less time with less effort. This would result in efficiency and timeliness in the field operations, reduction in the cost of cultivation and improvement in the quality of produce for better marketability. The achievements under Farm Mechanization scheme are shown in Table 5.5. Table - 5.5 Farm Mechanization
(Rs. Lakhs)

Rs. 7945 Lakhs was the financial achievement against the target of Rs. 8000 Lakh (99%) during 2010-11 and Rs. 5048 Lakhs is achieved against the target of Rs.8150 Lakh (62%) till September 2011. II. Supply of High Cost Machinery Under RKVY: Various High Cost Machinery like Rice Combine Harvesters, Rice Transplanter, Highly Automated Power Threshers, Nursery Machines and Trays for Raising nursery were supplied in 2010-11. Against the targeted amount of Rs. 3196 Lakhs, Rs.3066.50 lakhs is achieved (96%). A total number of 506 different machineries were supplied to the farmer groups under this project. During 2011-12 it is proposed to supply 150 nos of combine harvesters for rice, out of which 33 units worth of Rs.307 lakhs were supplied against the target worth of Rs.1500 lakhs up to 30th September 2011. III. Organizing 6600 Pulses and Oilseeds villages in Rain fed areas. Under this scheme, tractors, Rotavator, Ridge and furrow planter are supplied to the identify Rythu Mitra Groups on 100% subsidy basis. Out of the 660 units proposed, 92 indents are yet to be received from the districts up to October, 2011. Under the scheme, Agros supplies the machinery to the beneficiary groups and funds are adjusted by C&DA. So far, Rs.1883 lakhs is adjusted towards supplies against the target of Rs.3091 lakhs. There is no target for the year 2011-12. The pending indents shall be grounded in this financial year through Agros. Supply of farm equipment under National Food Security Mission: Under the scheme NFSM 2010-11, diesel and oil engine pump sets are encouraged while discouraging electric motor pump sets. Intercultivating machinery is being promoted for Rice and Pulses crops. The scheme is being implemented from the month of September, 2011 in 11 districts for Rice and 22 districts for Pulses.

Year 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12

Beneficiaries (No) 6,590 9,342 47,390 50,000 47,568 73,140 92,929 70,306 1,79,312 131577 176000 88560

Subsidy Expenditure 253.38 333.41 596.35 1,664.50 2,290.94 3,625.34 5,230.66 4,349.15 10,720.26 7,878.36 7,945.00 5,048.00

(up to Sep) Source: Agriculture Department

Farm Mechanization is taken up under various Schemes. Government of Andhra Pradesh has nominated AP Agros as the nodal Agency towards procurement and supply of farm machinery. I. Farm Mechanization (MMA & NSP) Under this scheme, farm equipment pertaining to tractor Drawn, Self Propelled, Power Tillers, Tractors, PP Equipment etc are being supplied on 50% subsidy basis limited to a maximum subsidy of Rs 30000/to accelerate agricultural mechanization in the state to achieve higher production and to meet the challenge faced due to labour scarcity.

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Crop Insurance: National Agriculture Insurance Scheme: National Agriculture Insurance Scheme (NAIS) is being implemented since Kharif 2000 season. Objectives: To provide a measure of financial support to the farmers in the event of Crop loss in the yield. To restore the credit eligibility of a farmer after a crop failure for the next season and to help stabilize farm incomes, as the natural disasters like the cyclone, floods, Drought occur frequently resulting in huge crop loss. Village as Insurance Unit Scheme:A.P is the only State to have Village as insurance Unit in all the districts of the state from Kharif 2008 season onwards. The Village level insurance programme provided more benefits to the farmers as the losses in smaller area would be more representative. Crops covered during Kharif and Rabi were 20 and 10 respectively. Under Crop Insurance Scheme, approximately an amount of Rs.4113.03 crores has been paid as Crop Insurance Claim since inception of the scheme i.e., from 200001 to Kharif 2010, thereby benefiting 60.60 Lakh farmers in the State. The details of National Agriculture Insurance Scheme are given in Annexure 5.14. New Schemes launched in the State: Apart from the National Agricultural Insurance Scheme the following new schemes are introduced in the state for the benefit of the farming community. Weather Based Crop Insurance Scheme (WBCIS): Weather Based Crop Insurance Scheme (WBCIS) is launched in Guntur District on Red chilly crop during Kharif 2009 and it was extended to other crops and districts during 2010-11 and 2011-12 years in the interest of the farming community. Modified National Agriculture Insurance Scheme (MNAIS) Apart from NAIS, Modified National Agricultural Insurance Scheme is launched in 32

the State during Rabi 2010-11 on pilot basis in 3 Districts viz., Prakasam, Nellore and Warangal. The scheme is encompassed with certain additional farmer-friendly features viz., Localized calamities such as Hailstorm and Post harvest losses. Rice, being a major crop in the State, was notified for implementation under Village as Unit. In the interest of the farming community, the modified pilot scheme is continued during Kharif and Rabi 2011-12. Agricultural Credit: The Annual Credit Plan 2010-11 for the State was Rs.37,835 crores towards Agriculture Credit. The achievement under Agricultural credit disbursement was Rs.47,930 crores (127%). During Kharif 2011, Rs. 20,905 crores (67%) Crop loans have been disbursed against the target of Rs. 30,985 crores. Under Agricultural Term loans during Kharif 2011, Rs. 8,615 crores (51%) is disbursed against the target of Rs. 17,015 crores. Over all achievement during 2011-12 (upto Sep,2011) is Rs. 29,520 crores against the target of Rs. 48,000 crores (62%). The disbursement of Agricultural Credit is given in Annexure 5.15. Credit to Rythu Mithra Groups, New Non-loanee Farmers and Tenant Farmers: During 2010-11, the Department of Agriculture has enrolled 2.66 lakh tenant farmers by forming 56,186 Joint Liability Groups (JLGs) and lists were handed over to Bank Branches for facilitating credit to tenant farmers. 7.79 lakh new non-loanee farmers were enrolled and extended credit of Rs. 1936.73 crores and 95,360 Tenant farmers were extended credit of Rs.190.08 crores by covering 11,274 Joint Liability Groups. 13904 Rythu Mithra Groups have been extended credit of Rs. 293.46 Crores. During 2011-12(up to Sep. 2011), an amount of Rs. 116.14 crores credit is extended to 34,227 non- loanee farmers and an amount of Rs. 204.77 crore of credit extended to 96,845 tenant farmers. Pavala Vaddi Scheme on Crop Loans: Lending crop loans to the farmers at an affordable interest rate through Institutional

finance has been the priority of the Government. Although, there has been a consistent increase in credit delivery through institutional finance, a large number of farmers are still in the fold of private finance. To reduce the financial burden of the farmers, the Govt. of A.P. is implementing Pavala Vaddi scheme (at 3% interest) on crop loans from the year 2008-09. All the loanee farmers who have availed crop loans from financial institutions and repaid the crop loans within due date are eligible under the scheme. The Govt. will reimburse the 4% interest amount to the bank account of eligible farmers. During 2010-11, an amount of Rs.6000.00 lakhs was released under Pavala Vaddi. An amount of Rs. 4853.86 lakhs was reimbursed to 5,38,793 farmers. During 2011-12 an amount of Rs. 7500.00 lakhs was released under Pavala Vaddi. So far, an amount of Rs. 3863.58 lakhs was reimbursed to 3,13,390 farmers. Interest Waiver Scheme Farmers were subjected to the natures fury (heavy rains, Jal cyclone) during Kharif 2010 and 680 mandals in the State were declared as flood affected. To mitigate the farmers distress, Government have issued orders to extend the Interest Waiver of 7% on crop loans given up to 30th November 2010 during Kharif 2010 and to allow this interest waiver up to 31st March 2011. During 2011- 12, an amount of Rs. 18515.00 lakhs was provided to 8,89,134 farmers under Interest Waiver Scheme. Adarsha Rythu The main objective behind the identification of Adarsha Rythus is to introduce a nodal functionary between the farmers and the extension staff of agriculture and other line departments to help bridge the gap between the scientific know-how and field level dohow. To strengthen the extension Services in the State 49,161 Adarsha Rythus were deployed as against the target of 50,000 in the state. At present 40,990 Adarsha Rythus are working in the state. Adarsha Rythu assists the extension staff in implementation of the schemes like Polam Badi, Seed Village Programme, Organic 33

farming, Rashtriya Krishi Vignana Yojana, National Food Security Mission, Agricultural Technology Management Agency, Crop Insurance, Credit and other Central and State Schemes including enumeration during natural calamities. Adarsha Rythus are also facilitating the activities of allied departments i.e Animal Husbandry, Horticulture, Sericulture, Fisheries, Sugars, Irrigation, A.P. Transco, Agricultural Marketing, Revenue, Rural development and Banks. Adarsha Rythus are involved in day to day developments with regard to schemes, technology etc., input availability with subsidy if any and the procedures to avail the same, broad regulatory mechanism for inputs and for steps to be taken in case of failure of a particular input. Adarsha Rythus are actively involved in mobilizing the farmers in special campaigns like Rythu Chaitanya Yatra, Rythu Sadassu, Prajapatham and Saguku Samayattam. Adarsha Rythus are actively involved in identifying the tenant farmers and formation of Joint Liability Groups to provide credit facilities. The Mandal Agricultural Officer organizes a meeting with Adarsha Rythus and other line departmental officers on 3rd Monday of every month in the Mandal head quarters to discuss various problems arising at field level. The Padipantalu magazine and honorarium are being disbursed to the Adarsha Rythus on the same day. On 1st Saturday of every month, the Agricultural Officer and Line Departmental Officers visit the fields, demonstration sites etc. along with Adarsha Rythus in at least 2-3 villages. Adarsha Rythus maintain the list of 200-250 farmer holdings allotted to him/her in the registers with the information on the type of soils, extent of crops grown, number of Sheep, Cows, Fish ponds, particulars of the credit availment etc. on each farm holding. An amount of Rs.1000/- per month is provided towards honorarium to each Adarsha Rythu. Polambadi Programme Use of chemical pesticides for control pests and diseases have been increasing day by day

leading to increasing cost of cultivation and poor quality of produce, eventually resulting in less market price and less returns. It also leads to disturbance to natural ecosystem thereby causing more hazards to the living entity. With this back ground, it is programmed to take up training to the farmers on their fields on FFS model. Concept: Empowering the farmers to take economical decisions by adopting practices of Integrated Crop Management (ICM) with the principles of Growing a healthy crop, Conserve natural enemies, Conduct regular field observations and make Farmers to become ICM experts. It is programmed to organize one Polambadi by ADA (R) in each division, one by MAO and one by each AEO in the mandal. The Polambadi programme is being done from seed to seed so that the farmers can observe and analyze the dynamics of crop ecology across the season. Polambadi is conducted in paddy, maize, pulses, oil seeds, cotton & coarse cereals. Size of the Polambadi is 10 ha, number of Farmers30. Field observation will be done on the polambadi day. Season long training programme on Cotton is being organized in Warangal during Kharif-2011. The Polam badi programmes organized are shown in Table 5.6.
Table - 5.6 Polam Badi Programmes 2010-11 Crop Kharif
1237 219 123 510 306 0 2395

Monitoring: For effective monitoring at district level a monitoring cell in JDAs office has been formed. For effective implementation of Polambadi, the DDAs in the districts have been allotted sub-divisions to monitor duly visiting the Polambadi in the mandals in each month Distribution of Literature Adequate number of copies of Polambadi literature pertaining to Paddy and Polambadi Darshani have been distributed to farmers of Polambadi during 2011. Other Initiatives: Loan Eligibility Cards: Under Recommendation No. 3.1 of Koneru Ranga Rao Committee recommendations on issue of loan eligibility cards to the tenants farmers, Government have issued an ordinance on 8th June 2011 to provide loan and other benefits eligibility card to the farmers, who raise crops with express or implied permission of owner or pattadar of land, but have no record for such enjoyment without effecting the rights of owners, enabling them to access credit from the public financial institutions and to claim benefits of input subsidy, crop insurance, compensation for damage to crop and for matters connected there with and incidental there to. Revenue (Land reforms) department have issued notification to Andhra Pradesh Land Licensed Cultivators Rules, 2011 by giving the detailed rules and executive instructions for implementation on 10-062011. Loan and Other Eligibility Cards (LECs) were issued to 5,49,889 Land Licensed cultivators. Out of which 96,845 LEC holders have been issued crop loans of Rs. 205.00 crores during 2011-12.

(Number) 2011-12 Kharif Total

2015 381 343 1093 306 3 4196

Rabi
778 162 220 583 0 3 1801

Target
1318 150 90 542 325 30 2455

Achieve ment
1216 136 50 328 280 30 2040

Rice Maize Pulses Oil seeds Cotton Others Total

No.of farmers trained

Rythu Bata Food production retains utmost importance in a developing Country like India. Unless the potential of the land, water, farmer and labour are fully realized, it is difficult to attain self-sufficiency in foodgrains. Inspite 34

71850

54030

125880

73650

61200

Source: Agriculture Department

of various programmes, it is observed that there is still scope to improve the outreach of extension services to benefit the farmers which is very crucial for improving the Agricultural scenario. To take Agricultural extension services to the door step of the farmers, the present programme of Rythu Bata is contemplated. The objectives are: To take the extension services to the door step of the farmers. To create awareness about the ongoing Government programmes. To understand the problems being faced by the farmers. To understand the prevailing local situations. To organize the farmers into crop wise groups for major crops. So that on a long run, such organizations are instrumental in tackling the problems of farmers. Mandal Agricultural Officer enlists all the Villages (Gram Panchayat) under his jurisdiction and conducts the farmers meeting at a specified place, like Gram Panchayat Office or Community Hall on a specified date in a month. Adarsha Rythu will act as Convener for this Rythu Bata programme. The Adarsha Rythu, to start with maintains a Register in the prescribed format which will act as a permanent record for the Village and throws light on various issues discussed in Rythu Bata. World Trade Organization (WTO) Cell: The primary objective of the cell is to create awareness and build capacities among farmers and departmental officers about the implications of the new global trade regime for the agricultural sector of the state in particular and the country in general. Important activities taken up during 2011-12 by the WTO Cell include Software on Research studies/Projects on Inventory of Food Safety regulations for export markets of AP, Product market identification through AGRISNET funds, regular documentation and printing of quarterly news digest WTO Out Reach, processing Geographical Indication (G.I.) for Kurnool rice and Patent

for bore well casing pipe under intellectual property rights. Extension Reforms Agriculture Technology Management Agency (ATMA): Government of India has introduced the Support to State Extension Programmes for Extension -Reforms (ATMA) Scheme from 1st June 2005 in a phased manner and is currently operational in 591 Districts of 29 States and 2 UTs. As a part of this scheme, the entire state of Andhra Pradesh except Hyderabad Urban district is covered under ATMA with 90: 10 Central and State shares. Objectives of the Programme: To develop an efficient, effective, demand driven, research integrated and financially sustainable public extension system To revitalize the Agricultural technology Generation Assessment refinement and Dissemination Systems Reforming Public Sector Extension. Promoting private sector to effectively complement, supplement and wherever possible to substitute public extension. Mainstreaming Gender Concerns in Extension. Capacity Building/ Skill up-gradation of farmers and extension functionaries. Increase the Quality and Type of Technologies being disseminated by the Extension System. Strengthen Research-Extension-Farmer (R-E-F) Linkages Benefits of the Programme: Well Integrated technology development and transfer system Decentralized decision-making Financially sustainable extension system Bottom-up Planning Increased Use of Information Technology Emphasis on in-Service Training Developing New Public-Private Partnerships Strengthening Key Institutions Broad based Extension Delivery

35

Guidelines of the Programme: Support to State Extension Programmes for Extension Reforms (ATMA) is the main scheme to operationalize agricultural extension reforms across the country. Funding support shall be provided to the State for undertaking extension reforms within the broad purview of the Policy Framework for Agriculture Extension (PFAE), complying with its key areas/norms, and shall be operated based on Extension Work Plans prepared by the State. Funds shall be released to the States based on their Extension Work plans developed within the broad framework of the PFAE and areas indicated under reform oriented activities. The States have the responsibility of implementing the extension reforms at district level. ATMA is a district level body is an autonomous institution with participation of all the key stakeholders involved in agricultural activities for sustainable agricultural development. It has the flexibility to receive funds directly (Government of India/States, Membership fees, beneficiaries contribution etc). It has the main responsibility of all the technology dissemination activities at the district level. It has linkages with all the line departments, research organizations, non-governmental organizations and agencies associated with agricultural development in the district with a substantial representation of farmer organizations. Research and extension units within the district, such as KVKs, ZRSs, Department of Agriculture, Horticulture, Animal Husbandry, Fisheries, Sericulture, Marketing, etc., are constituent members. ATMA is supported by a Governing Board and a Management Committee. Under each of the ATMA, block level Farm Information and Advisory Centers (FIACs) have been created which are operated by a Block Technology Team (BTT) of technical advisors and a Farmer Advisory Committee (FAC), an exclusive group of farmers. Commodity oriented Farmer Interest Groups (FIGs) are promoted at block / village level to make the technology generation/ dissemination farmer driven and farmer 36

accountable. In order to provide needed HRD support in innovative areas of extension delivery, a State Agricultural Management and Extension Training Institute (SAMETI) has also been established in the project states. To overcome the systemic constraints being faced by the Extension system in the Country, Government of India has revised the on going ATMA scheme guidelines w.e.f 1-4-2010. The revised ATMA guidelines contain few additional / new activities and enhanced new costs in some cases. The Important / new components are as follows: 1. Specialist & Functionary support at State level, District & Block level 2. Innovative support through a Farmer Friend at Village level 3. Support to SAMETIs for creating Essential Infrastructure 4. Delegation of Powers to State Level Sanctioning Committees. The GOI has given provision to the State for placement of 935 posts at various levels in the revised guidelines. So far GOAP has given permission for placement of 385 posts. The process of placement of 136 Block Technology Managers and 130 Subject Matter Specialists is under final stage. Strategic Research and Extension Plan (SREP): One of the first tasks of ATMA is to facilitate preparation of Strategic Research and Extension Plan (SREP) of the district. The SREP is prepared through participatory methodologies such as Participatory Rural Appraisal (PRA) involving all the stakeholders and farmers. The SREP contains detailed analysis of all the information on existing farming systems in the district and research extension gaps required to be filled-up. It also prioritizes the research extension strategies within the district. It becomes the basis for development of work plans at blocks/ district level. All the (22) ATMA districts have developed their respective Strategic Research and Extension Plans. As the validity of SREPs is five years, the State has already initiated the revisiting of the SREPs of the ATMA districts whose stipulated time of (5) years was already completed.

State Extension Work Plan (SEWP): Based on the research-extension strategies given in the SREPs, block/district level plans for the year 2011-12 were developed by all the ATMA districts as per the revised ATMA scheme guidelines and cost norms. The consolidated State Extension Work Plan for the year 2011-12 was developed at state level and submitted to GOI with an out lay of Rs. 4436.32 Lakhs. The District Action Plans developed under the scheme should be processed consistent with Article 243 ZD of the Constitution. GOI has given administrative approval for Rs. 4435.72 lakhs for the year 2011-12 and permitted to utilize the revalidated amount of Rs. 1045.87 lakhs for implementation of SEWP 2011-12 of Andhra Pradesh State. Accordingly the districts are organizing the need based activities like farmer trainings, demos, exposure visits, kisan melas, field days, farmer scientist interaction etc. So far nearly 1.38 lakh beneficiaries were covered under different farm oriented activities during the current year. Major Activities organized during 2011-12 1105 Rythu Mahila Sadassu were organized in all mandals of the State to create awareness on Credit, Insurance and other related activities among the farm women and farmers. Demos on Paddy and Groundnut Seed treatment with bio fungicides (Pseudomonas & Trichoderma viridi) in 2.61 lakh hectares during Rabi 2011-12. Promotion of SRI cultivation by organizing Awareness Programmes to the Extension Officers and Farmers Trainings on Organic farming in field crops and vegetables, Hybrid Marigold, SRI Cultivation, summer leafy vegetable cultivation under Shade net, Intercrop of vegetables in pure Redgram crop, Introduction of Neem pulvarisers to women SHGs.

Demos on SRI, Vermi compost, New Basmati Hybrid, short duration Gujarathi Redgram. Inter State Exposure visits of farmers to Haryana, Karnataka and Tamilnadu. Capacity building of Extension functionaries in technical and managerial aspects. Proposed to organize soil test based fertilizer application demos (both on farm demos and Front line demos) in all the 1105 mandals of the State. Monitoring & Evaluation: Regular monitoring and evaluation is being conducted through Farmer Advisory Committee and Block Technology Team at Block Level & ATMA Governing Body at District Level. The Chairman, IDWG and State Nodal Officer may continue with the day to day monitoring to ensure that the Extension Reforms are executed in line with the broad policy framework. The scheme also provides for third party M&E from suitable agencies of the State. Government of India Initiatives: Rashtriya Krishi Vikas Yojana (RKVY): RKVY is one of the flagship programs of Govt. of India with 100% central aid, is implemented with an objective to achieve annual growth rate in excess of 4% under Agriculture sector during the XI Plan. Out of the total allocation of Rs.393.45 crores, Rs. 214.50 crores has been allocated under RKVY to Agriculture Department for the year 2010-11. Of this, an amount of Rs. 209.25 crore has been incurred. The Financial and Physical achievements under the two streams of RKVY relating to various components for the year 2010-11 are furnished in Table-5.7. RKVY is being implemented during 2011-12 with an outlay of Rs.730.52crores and the financial achievement upto Oct,2011 is Rs.286.25 cr.

37

Table 5.7 Achievements under RKVY during 2010-11

Name of the Project Units Physical Fin. (Rs.Cr.)

Stream-I Lakh 1).Strengthening of 5.98 Qtls. seed chain 2).Intensive Nos. Mechanization 300 3).Soil Health 0 Management Qtls. a.Green manure seed 48320 Mts b.Zinc Sulphate 3700 Mts c.Gypsum 28995 No.Seed 4).Spl Addl Project 76422/ minikits/ on Pulse Devpmt. 76422 IPM&IN Mission over & M kits above under NFSM Stream-II Nos 1).Farm Mechan. 146557 Nos/ha 2).Livelihood 1603/600 support system & production system in watershed areas Nos. 3)A.P. State 1 Warehousing Corporation Ltd Nos 4).APSSCA 0 Strengthening of Seed testing laboratory Nos. 5).Capacity building 20 in SRI cultivation 0 No of 6).Revitalisation of clusters. Rain-fed Agriculture Admn. Expenses -Total Source: Agriculture Department

172.82 109.85

31.96 20.42 12.08 5.7 2.64 10.59

36.43 30.96 2.23

2.00

0.38

0.26 0 0.6 209.25

National Food Security Mission (NFSM): The National Development Council (NDC) in its 53rd meeting held on 29th May, 2007 adopted a resolution to launch a Food Security Mission on Rice, Wheat and Pulses to increase production in the country and Mission was launched in the state from Rabi2007-08 with the objective of increasing production and productivity of Rice & Pulses on a sustainable basis to ensure food security. The approach is to bridge the yield gap in respect of these crops through dissemination of Improved Technologies and Farm Management Practices. It is envisaged to focus on districts which have high potential but relatively low level of productivity performance at present. Under the Mission there are series of program interventions

efforts to reach resource poor farmers and continuous monitoring of various activities. NFSM Rice is being implemented in 11 Districts viz., Srikakulam, Vizianagaram, Visakhapatnam, Krishna, Guntur, Nellore, Medak, Mahabubnagar, Nalgonda, Khammam and Adilabad. NFSM Pulses is being implemented in 22 Districts. An amount of Rs.11911.99 lakhs is allotted based on proposals submitted for implementation of NFSM in AP during 2011-12. An amount of Rs. 4356.440 lakhs is released including revalidated amount and so far an amount of Rs.3149.23 lakhs expenditure is incurred upto Sept., 2011. Accelerated Pulses Production Programme (A3P): Accelerated Pulses Production Programme (A3P) is another step forward for vigorous implementation of the pulse development under the NFSM Pulses. A3P has been conceptualized to take up the active propagation of key technologies such as Integrated Nutrient Management (INM) and Integrated Pest Management (IPM) in a manner that creates catalyzing impact by assuring farmers of the higher returns from the identified pulse crops. The objective of A3P are to demonstrate plant nutrient and plant protection centric improved technologies and management practices in compact blocks covering large area for five major pulse crops namely Redgram, Blackgram, Greengram and Bengalgram and lentils for increasing production and productivity (lentils not in Andhra Pradesh). Each A3P unit form of a village level block demonstration covering an area of 1000 hectares. Under this programme 45 blocks(No of units of 1000 ha each) are organized in 14 districts during Kharif- 2011 State Initiatives: System of Rice Intensification (SRI): In order to save irrigation water and energy and also to increase the productivity, SRI cultivation is being promoted on large scale in all districts of the State. During kharif 2011-12 the state has programmed to cover an area of 3.5 lakh hects. During Kharif-2011 38

an area of 48,115 ha. has been covered against the target of 1.52 lakh ha. under SRI.

***
COOPERATION
5.2 Cooperatives have traditionally been promoted and organized in a democratic and structural frame work for achieving social and economic betterment of people. Different types of cooperatives are organized essentially to provide agricultural credit to member-farmers so as to enhance employment to its members for alleviating rural poverty. Co-operative movement has completed over 100 years of service to farmers and other weaker sections of the society. The Department of Cooperation is mainly concerned with the administration of Cooperative Laws. The Department has been pursuing a more liberal policy towards Cooperatives to enable them function as autonomous and independent bodies. Cooperative week is celebrated every year starting from November 14th to promote better understanding of the principles and philosophy duly highlighting achievements of various sectors of the Co-operative movement. Rural credit Co-operatives The Rural credit co-operative structure at present is a three-tier structure with the Andhra Pradesh State Co-operative Bank at the APEX level, District Co-operative Central banks (DCCBs) at the District Level and Primary Agricultural Credit Cooperatives at the Village Level. Kisan Credit Cards have been issued to 35.25 lakh farmer members of the PACS. Relief to farmers affected by drought and other natural disasters has been provided. The long pending re-organization of PACS has been completed for making them viable based on the recommendations of the taskforce headed by Prof. A.Vaidyanathan constituted for suggesting the re-organization of cooperative societies. The PACS have been reorganized from 4465 to 2949 in the State. Total financial assistance received so far under Revival Package for Rural Coop. 39

Credit Structure is Rs.1868.69 crores including of State Government share of Rs.261.12 crores. Loaning Programme 2011-12 A.P. State Co-operative Bank has provided Rs. 4243.27 crores (Kharif Rs.3942.14 crores and Rabi Rs. 301.13 crores) as production credit to the farmers through the Primaries and the Dist. Co-operative Central Banks during the year 2011-12 (up to November 2011). Out of Rs.3942.14 crores loans disbursed during the kharif, the loans under Seasonal Agricultural Operations (SAO), Oil Seeds Production Programme (OPP) and Development of Tribal Programme (DTP) are Rs.3537.22 crores, Rs.343.75 crores and Rs.61.17 crores respectively. Short term (Crop) Loans: An amount of Rs.3942.14 crores has been disbursed by the DCCBs and GCC during Kharif 2011 season. Long Term Loans: APCOB has refinanced an amount of Rs.162.73 crores (up to November 2011)to the DCC Banks under Long Term Agricultural Credit to the extent as against the loaning programme of Rs. 295.50 crores allotted to all the 22 DCCBs during the year 2011-12. Integrated Co-operative Development Projects (ICDP) The National Co-operative Development Corporation (NCDC), New Delhi has been providing financial assistance towards creation of infrastructure facilities like godown, iron safes, banking counters and storage facilities etc., to the societies under ICDP Scheme for development of agricultural and allied sectors. This project is under implementation since 1989 in the state. This Project has already been completed in seven districts viz. East Godavari, Nizamabad Phase-I and Phase-II, Krishna, Kurnool, Nalgonda, Chittoor and Guntur. The project is now under implementation in another 15 districts namely Visakhapatnam, Medak, Warangal, Nellore, Srikakulam, Vizianagaram, West Godavari, Kadapa, Mahabubnagar, Ananthapur, Adilabad,

Karimnagar, Ranga Reddy, Khammam and Prakasam districts. Marketing Co-operative Societies There are 22 District Co-operative Marketing Societies (DCMSs), which undertake procurement of agricultural produce to enable the farmers to get the minimum administered prices for their produce. The DCMSs are procuring seed on behalf of AP Seeds Development Corporation and also undertaking procurement activities on behalf of MARKFED in addition to carrying local business activities like sale of Fertilisers, Seeds, Consumable articles, Stationary items etc., to various departments located in the districts. The performance status of DCMSs is given in Table 5.8. Table 5.8 Performance of District Cooperative Marketing Societies as on 31-12-2011
(Rs. Lakhs)

Share Capital Contribution Business Turn over Profit Accumulated losses Assets Liabilities
Source: Cooperative Department

905.37 27498.81 285.21 1410.43 11600.72 12668.59

A.P. MARKFED: The MARKFED is an apex organization for the Co-operative Marketing Societies(CMS) in the state for supplying agricultural inputs, cattle feed, fertilisers, gypsum, provisions and other requirements to Societies and other private run institutions and provisions to government hostels. Subsequent to introduction of single window system in the state in 1987, MARKFED is offering its services through PACS at the primary level and through the DCMS in the district level. It undertakes procurement of agricultural produce like cereals and grams from farmers under minimum support price / market intervention scheme. It is also procuring other commodities under commercial account every year depending upon the market situation. During 2010-11 MARKFED has achieved a business turnover of Rs. 1021.18 crores and during the year 2011-12 up to December it has achieved a turnover of Rs.1159.05 crores. 40

AP State Co-operative Union (APSCU) APSCU is an apex cooperative institution in the field of Coop. Education and training. There are five Co-operative Training Centres (CTCs) working under APSCU offering Diploma in Co-operative Management and Computer Applications. APSCU is mainly providing education to the members, conducting short term cooperative trainings to the Staff and member orientation programs to the needy elected Managing Committee members of Primary societies, DCCBs and other Cooperatives. The Union is also publishing a Cooperative Monthly Magazine titled SAHAKARA SAMACHARAM for carrying publicity and propaganda of Cooperative Principles and Cooperative Movement in the State. Andhra Pradesh State Cooperative Rural Irrigation Corporation Ltd., (APSCRIC) The Andhra Pradesh State Cooperative Rural Irrigation Corporation Ltd., Hyderabad undertakes drilling of in-well bores, surface bores, lift Irrigation schemes and construction of check dams etc., relating to Agricultural sector. Since 1995-96 the Corporation had diversified its activities and started undertaking civil works. During the year 2010-11, the Corporation executed works to a tune of Rs. 16.00 Crores. The state Horticulture Mission / Horticulture Department has identified the APSCRIC Ltd., as Nodal Agency for construction of Farm ponds in Horticulture fields for which an amount of Rs. 10.00 crores was provided during 2011-12 and the works are under progress. Rural Electricity Supply Cooperative Societies (RESCOs) The Rural Electric Supply Cooperative Societies main objective is to purchase electricity in bulk from the nearest DISCOM and distribute it to domestic, industrial and agricultural consumers in their area of operation. Four RESCOs are working under the administrative control of Cooperative Department viz., RESCOs at Kuppam (Chittoor district), Anakapalle (Visakhapatnam district), Cheepurupalli (Vizianagaram district) and Siricilla (Karimnagar district). These four RESCOs

are having over 4.93 lakh service connections covering 665 villages and 801 hamlets. The four RESCOs are having assets worth of Rs.172.98 crores. The Hyderabad Agricultural Cooperative Association Ltd., Hyderabad. (HACA) The HACA was established with the main object of serving the agricultural farmers through PACS as its members. The objectives of HACA include supply of quality seeds like soyabean, groundnut, paddy, castor, red gram, fertilizers, pesticides and other agricultural inputs, supply of rice, pulses, oils and other consumer items such as note books and crackers etc. It undertakes supply of fertilizers, pesticides and other agriculture inputs through its own Branches, (HACA Rythu Seva Kendram) located at HACA Bhavan and through PACSs at competitive prices. The business turnover of the HACA for the year 2010-11 is Rs.1334.54 crores and it earned profit of Rs.160 lakhs. Consumer Cooperative Societies: Consumer Cooperatives have been assigned an important role in the distribution of consumer articles of good quality at competitive prices to control price line in both urban and rural areas in the State. 700 Consumer Cooperative Societies are functioning in the State with a turnover of Rs.151.30 crores as on March 2011. Consumer Cooperative Societies are also undertaking the distribution of textbooks, notebooks, cloth, crackers and supply of various stationary items and provisions to the Government hostels etc. Weaker Section Cooperative Societies: Weaker sections Cooperatives among others include Labour Contract Cooperative Societies and Cooperative Joint Farming societies etc. a) Labour Contract Cooperative societies Labour Contract Cooperative societies are functioning in a 3-tire structure as shown below.

Primary Level District Level State Level

6,714 LCCS with 3,99,321members 23 District Federations of Labour Contract Cooperative Societies Andhra Pradesh State Cooperative Labour Contract Cooperative Societies Federation Ltd., Hyderabad (under liquidation)

b)Cooperative Joint Farming Societies Joint Farming Cooperatives are also working in a three-tire structure as shown below:
Primary Level District Level State Level 2,295 CJFS and membership of 1,92,716 23 District Federations of Cooperative Joint Farming Societies Andhra Pradesh State Cooperative Joint Farming Societies Federation Ltd., Hyderabad (under liquidation)

The area covered under CJFS is 2,62,776 acres. The area developed so far is 89,567 acres. An area of 1,73,209 acres of land is yet to be developed. Cooperative Tribunals: Four Cooperative Tribunals are constituted in the State. Two Tribunals at Hyderabad and Vijayawada were constituted in 1993 and two more Tribunals were formed at Warangal and Visakhapatnam in 2003 to render speedy and effective justice to the affected parties. These Tribunals are vested with Appellate Jurisdiction over the orders passed under APCS Act, 1964 and with original jurisdiction over the disputes filed under AP MACS Act, 1995. 1463 cases are pending in all the four Co-operative Tribunals for disposals as on 31-10-2011. Audit: A separate Audit wing headed by Chief Auditor is functioning for conducting audit of Cooperative Societies. Every society is responsible for maintaining its books of accounts and is required to get its accounts audited every year. The audit shall be completed within a period of six months from the closure of Cooperative year and audit certificate shall be issued before the end of succeeding Cooperative year.

***
41

HORTICULTURE
5.3 Horticulture, an important sub-sector of Agriculture sector started gaining ground in the recent past and is evident from its consistently growing contribution to the GSDP. Over the years, by offering a wide range of choices to the farmers for crop diversification and providing opportunities for sustaining large number of agroindustries thereby promising ample employment opportunities to the semi skilled and unskilled labour force, Horticulture has emerged as an indispensable part of Agriculture. In fact, Horticulture as a subsector is a revelation showing remarkable signs of progress in Andhra Pradesh and benefiting from an impressive base. The technological innovations have helped the Horticulture sector providing abundant scope for empowering the people not only by improving economic conditions of those subsisting on it but also catering to their nutritional security and eventually resulting in transforming the agrarian economy. Most significant development in the last decade is that horticulture has moved from rural confine to that of a commercial activity encouraging private sector investment. In reality, the transition from traditional Horticulture to trade oriental outlook has brought a perceptible change in the concept of Horticulture development in the state. In view of the increased public investment in Horticulture sector, the Government of Andhra Pradesh has been giving much needed emphasis to Horticulture development primarily targeted at increasing the production and productivity of horticulture crops, development of infrastructure for post harvest management and providing access to domestic and export markets. Andhra Pradesh Ranks 1st in production of Spices and Fruits and 3rd in production of Flowers in the Country. Crop wise, Andhra Pradesh Ranks 1st in production of Sweet Orange, Lime/ Lemon, Papaya, Oil Palm; 2nd in the production of Mango, Cashew and Tomato; 3rd in production of Loose flowers, Pomogranate, Cocoa, Brinjal, Bhendi &

Tapioca and 4th in production of Banana, Grapes & Sapota (NHB data base 2009). A large number of concessions, assistance and incentives are given to the growers, processors and exporters by the State and Central Governments. This trend has led to the adoption of improved technology, greater commercialization and professionalism in the management of production and marketing Growth of Horticulture The area under Horticulture has increased from 3.70 lakh ha. in 1982 to 24.97 lakh ha. by 2010-11, and it is as per advance estimates (A) 2011-12, 25.59 lakh ha. The details of area and production of horticulture crops during 2010-11 and 2011-12 (A) are given in Annexure 5.16. The abstract showing Horticultural area and production in 2010-11 are given in Table 5.9
Table 5.9 Horticultural Crops Area and Production during 2010-11

Crop Category

Area ( Lakh ha.) 6.46 3.11 6.51 8.25 0.02 0.63 24.97

Production (Lakh MTs) 94.17 13.30 and 20683 Million Coconuts 118.47 35.98 7029 (lakh Nos) 3.85 265.82

Fruit Crops Plantation Crops Vegetables & Tuber crops Spices Cut Flowers Flowers (Loose Flowers) TOTAL*

* Cut Flowers and Coconuts production figures not shown in the TOTAL. Source: Horticulture Department

On the average, the area under Horticulture crops grew annually at a rate of 6.4% from 2001-02 to 2010-11, the production growth is even more impressive at 11.3%.

42

Horticulture Area & Production (Production excluding Coconut & Cut Flowers)
Area (Lakh Hect.
300 275 250 225 200 175 150 125 100 75 50 25 0

Production (Lakh Tonnes)

266

Programmes Several farmer oriented activities are being taken up with focus on adoption of modern technologies, evolving sustainable farming practices and providing post harvest infrastructure facilities apart from catering knowledge inputs to the farming community. Assistance is provided to the farmers on plant material, seed and inputs, Drip and Sprinkler systems, Pre & Post Harvest infrastructure etc., through the schemes implemented by the Department under A.P. Micro Irrigation Project, State Horticulture Mission, Rashtriya Krishi Vikas Yojana, Oil Palm Development Programme and State Plan Programme etc., A.P. Micro Irrigation Project Micro Irrigation Project was launched for encouraging micro irrigation, for conservation of precious ground water resources and conserving power. The objective of the project is effective water management (water saving and water use efficiency) to achieve vertical growth in productivity. During 2010-11, an area of 1.30 lakh hectares has been brought under drip/ sprinkler irrigation. During 2011-12, an area of 75,963 hectares has so far been brought under Micro Irrigation. State Horticulture Mission State Horticulture Mission, a Centrally Sponsored Scheme, is being implemented in the State by the State Horticulture Mission. The Mission was launched on 3rd November 2005 to promote holistic growth of the horticulture sector through an area based regionally differentiated strategies. The focus of the programme is to provide 43

comprehensive development of all the subsectors of horticulture so as to provide additional income to the horticulture growers. This programme is under implementation in 18 districts (except Hyderabad, Vizianagaram, Visakhapatnam, East Godavari and Krishna districts) and two tribal areas of Rampachodavaram of East Godavari and Paderu of Visakhapatnam districts. During 2010-11, an amount of Rs. 128.14 crores was utilized for implementation of various activities like establishment of new gardens, rejuvenation of senile gardens, IPM/INM, HRD, Organic farming, farm mechanization and Post Harvest Management etc. During 2011-12, an amount of Rs. 134.00 Crores is utilized so far for implementation of SHM programmes. Organic Farming / IPM / INM IPM and INM have played an important role in quality enhancement by control of pest and diseases in horticultural crops. By adoption of IPM / INM, the quality of the produce is increased by reducing the incidence of Mangu in Sweet Orange and Mango, and BBD in Pomogranate. Quality enhancement of the produce was also achieved by using bio-inputs like T.Viridae, Pseudomonas, Neem Oil etc. which reduce the pesticide residues thereby enhancing the market price and also reduces in the cost of cultivation. Similarly, Organic farming has contributed to enhancement of quality, despite its marginal impact on the productivity. Quality and shelf life have shown an uptrend with the interventions of organic farming in the horticultural crops. The organic produce is fetching 10% to 30% premium price in the market compared to non-organic agriproduce. 900 vermi compost units were sanctioned during 2010-11 and organic farming was taken up under horticulture crops in an area of 3,000 Ha., for encouraging adoption of organic farming. INM / IPM under Fruits / Spices is taken up so far in an area of 13,450 Ha., taken up during 2010-11. Production of Quality Plant Material Quality plant material plays a vital role in sustainability of the gardens especially

Area & Production

191

205

1 86 4

105

95

118

128

144

164

20 4
2009-10

20

18

15

16

16

2000-01

14

2001-02

2002-03

2003-04

2004-05

2005-06

16

2006-07

2007-08

19

2008-09

20

2010-11

25

perennial fruit crops. To cater to the requirement of plant material for bringing additional areas with improved varieties and rejuvenation programmes, small and model nurseries were encouraged to produce quality plant material by providing assistance for infrastructure under NHM. 30 Horticulture farms and 144 nurseries were established and producing around 16 lakh and 150 lakh quality plants. Nursery Act was introduced for regulation of supply of quality plant material to farmers. Post Harvest Management (PHM) Horticulture crops are highly perishable in nature and require special attention with respect to their harvesting, handling, packaging, storage and processing operations. The concentration is on providing pre-harvest tools and development of post harvest infrastructure facilities like Pack houses, Cold storages, Refer Vans, Ripening Chambers etc. During 2010-11, assistance was provided for 13 Cold storage units, 25 Ripening Chambers and 560 Turmeric Drying Platforms. Post harvest management of horticultural produce is an important activity for capturing value by way of reducing losses and increasing the quality. Several measures were taken up during the period of SHM to preserve the quality of various horticultural products and also for primary handling, storage and transportation. Particularly, establishment of Ripening Chambers for Banana helped realizing better price at the farm gate. Establishment of Cold storages with NHM subsidy is catering to agriculture produce as well as to Horticulture produce fetching better market price to the farmers. Pollution free new technologies in Cashew processing like Steam boiling method which increase the quality of the produce are encouraged. Human Resource Development Andhra Pradesh Horticulture Training Institute was established to impart knowledge of new technologies / innovations to the stakeholders (farmers, extension officers, exporters and processors) and to build the capacity of farmers i.e, human resource 44

development through training programmes / workshops/exposure visits identified as one of the critical input for growth of horticulture sector in the state. Seven RHTIs were established at regional centers to impart trainings to the farmers. During 2010-11, a total of 16,300 farmers were trained at HTI & RHTIs and exposure visits were organized for 1178 farmers. During 2011-12, so far 16,675 farmers have been trained. Rashtriya Krishi Vikas Yojana (RKVY): Rashtriya Krishi Vikas Yojana (RKVY) (Central Sector Scheme) has been launched in the State, in 2007-08 and implementation horticulture sector is started from 2008-09 onwards. This programme aims to achieve 4% annual growth and to increase public investment like infrastructure etc., and also to provide flexibility and autonomy in the process of planning and executing schemes in the horticulture sector. The RKVY scheme in Andhra Pradesh is projected mainly to implement the major activity in non-SHM districts, while the projects under integrated vegetable production which are not covered in SHM are being implemented in all the 22 districts. During 2010-11, an amount of Rs. 1662 lakhs is utilized for implementation of RKVY programme under Fruits & Vegetable crops. During 2011-12, an amount of Rs. 1516.25 lakh has been spent so far. The Government of India as a pilot project launched a scheme Vegetable Initiatives for Urban Clusters for the year 2011-12 with an out lay of Rs.17.00 crores. The implementation areas are identified as Medak, Mahaboobnagar and Ranga Reddy districts covering 77 mandals which are the main feeders of vegetables for the Metro City Hyderabad. The salient features of the scheme are area expansion of Vegetables with Hybrid Vegetable Seed, Promotion of Farmers associations with establishment of collection centers, assistance for pandals & trellis, Creation of Post Harvest Infrastructures like Pack Houses, Zero energy cool chambers, Onion Storage Structure and small shade net

nurseries raising to cater to the needs of seedlings for Vegetable Cultivation. Rashtriya Krishi Vikas Yojana (Oilpalm) Keeping in view of its high oil yielding nature and to augment the domestic requirement, the Government of India is promoting Oil Palm development programme since 1992 under TMOP and from 2004 under ISOPOM. During the year 2011-12, the Government of India has launched a Special programme to bring additional area of oil palm under Rastriya Krishi Vikas Yojana (RKVY) with a target of 40,000 Ha to Andhra Pradesh with the financial outlay of Rs.19200 lakhs with 100% central assistance. Oil palm Development Programme (ISOPOM) Two oil palm seed gardens were established in the state - one by the department and the other in the private sector. The seeds are produced at these gardens under the technical guidance of National Research Centre (NRC) Oilpalm, Pedavegi Center in West Godavari district and supplied to Oilpalm companies. 11 companies with a processing capacity of 134 MTs per hour are working with the Government under this program. The companies have buyback arrangements for purchase of fresh fruit bunches (FFBs) from the farmers in the factory zone at the rate fixed by the Government. Development of Fruits & Plantation Crops: Cashew being a remunerative crop, cultivation is being encouraged on a large scale with high yielding grafts and strains/ selections for improved productivity. Awareness programmes are being conducted on crop diversification, inter cropping and promotion of vermi compost, value addition etc, for sustainability of coconut gardens. Spices The need of the hour is effective transfer of technology to the progressive farmers. The department supplied quality plant material and other post harvest infrastructure requirements to reduce the post harvest losses. During 2010-11, assistance is provided for taking up 257 D-Plots under Turmeric, Ginger and Garlic. 45

Floriculture Floriculture sector has been identified as one of the focus segments of Horticulture. Due to growing demand for flowers in domestic and export market, Flower cultivation is a profitable prospect for the farmers. During 2010-11, assistance is provided for erection of shade net houses for raising of seedlings 22,000 Sq. Mtrs and Green Houses 5,700 Sq. Mtrs. Under Area Expansion, an area of 63.50 ha., has been achieved so far against a target of 155 ha., for the year 201112. Landscape and Ornamental Gardening With a view to transform the urban environment into pollution free and pleasant surroundings, revitalization of Public Gardens is being taken up with an aim to develop model landscape gardens. As a part of beautification, both hard and soft landscape works are taken up. Exports: Exports worth of Rs.542.05 crores of horticulture commodities has been made during 2010-11. The details of exports in quantity, value and destination of horticultural crops are given in Annexure 5.17. Information Technology and Data Management Information Technology is the key for effective communication and dissemination of information. The department is connected to APSWAN and receiving data online through dialup network from district office The department has taken up development of software packages for compiling area and progress on production of horticulture crops, Andhra Pradesh Micro Irrigation Project etc. The department Website aphorticulture.com is being maintained. Tele-Conference facility is developed for effective communication and for obtaining immediate progress reports. A base line survey has been conducted by the department to create a data base of horticulture growers in the state by utilizing the services of Government and Non Government organizations.

***

ANIMAL HUSBANDRY
5.4 Andhra Pradesh has some of the richest livestock resources in the Country and is one of the most advanced states in Animal Husbandry activities. The Livestock play a vital role in Socio-economic and cultural life of our people through providing gainful employment to a large number of small and marginal farmers and enhancing their economic status. For more than 5 decades since formation of Andhra Pradesh, Animal Husbandry Sector has achieved phenomenal growth in its different spheres. Especially with the launching of several five year plans, Animal Husbandry activities were reoriented towards increased production of livestock products like Milk, Meat and Eggs, besides providing adequate health care and control of diseases. With its livestock resources and gradual enlightenment of the farmers coupled with dedicated and sustained efforts of the Government, the State got elevated to a prominent position in the Country in the Livestock Sector over the years. From a humble beginning of backyard poultry it has grown to a stage of dynamic industry, the Milk production also made quantum leap and Meat production increasing substantially as well. Effective Veterinary and Animal Husbandry services rendered over the years have been the main instrument in achieving these production levels. Economic support programs like distribution of milch animals, sheep and poultry units have enormously helped the rural masses in bridging their income gaps. Besides conserving domestic biodiversity, it is a means of producing food in dry lands without depleting ground water resources. The sub-sector provides sustainable daily income to nearly 60 lakh families even during adverse seasonal conditions. A sizable number of families owning sheep and goat have already been covered with 100% livestock insurance. The schemes of the Animal Husbandry department have been formulated in pursuance to the well-laid National policies to improve the Livestock production, to fight 46

protein hunger and to improve nutritional standards of human population and also provide technical support for the maintenance and improvement of livestock. Livestock population in A.P
(as per 2007 census)

Catgory

No.in lakhs

Cattle 112.23 Buffaloes 132.72 Sheep 255.39 Goat 96.26 Pigs 4.39 Poultry 1239.85 The buffaloes and sheep population has a steady growth over the years whereas the poultry population has steep increase particularly from 1999 census onwards. The livestock population over various census periods is given in Annexure - 5.18. With the increase in the livestock population, the production and availability of nutritious food to the people and supplemental income to the farmers has increased. Livestock activity contributes 5.6% in the Gross State Domestic Product and it forms 26.0% in Agriculture sector in 2010-11(Advance Estimates). The production of Milk, Eggs and Meat is as follows:
Item Milk Growth Eggs Growth Meat Growth Unit 000MTs % Cr.Nos % 000MTs % 2009-10 2010-11 10430 9.0 1939 5.7 680 12.6 11204 7.4 2013 3.8 747 9.8 AprJuly.11 3222 557 210

M ilk, M eat and Egg Production 120

72.6

76.2

100

79.4

89.3

95.7

104.3

Milk, Meat & Egg

65.8

69.6

.4

40 20 0

33

39

.3

44

.8

45

45

60

.1

.9

48

.7

.4 55 .6

60

13.3 14.9 15.0

15.8 16.5

15.9

17.6 18.3

2001-02

2002-03

2003-04

2004-05

2005-06

2006-07

2007-08

2008-09

2009-10

68

19.4 20.1

.0

80

58.1

M ilk (Lakh M Ts)

M eat (10,000 M TS)

Egg (100 Crs)

2010-11

74

.7

112.0

The production estimates of milk, eggs and meat are given in Annexure 5.19. Salient Features of various programmes: Under Animal Husbandry Sector, the Government of India have sanctioned Prime Ministers Package for rehabilitation of farmers in (16) suicide prone districts of Andhra Pradesh with a view to provide supplementary avenues of income through diary farming since 2007-08 and inducted 48,808 high pedigreed milch animals and heifers from other States with the 50% subsidy of Rs.73.21 Crores. For the welfare of BPL families, the Government is implementing Pasu Kranthi Pathakam since 2007-08 and inducted 73,753 high pedigreed milch animals and heifers from other States with the 50% subsidy of Rs.100.65 Crores. Rashtriya Krishi Vikas Yojana is being implemented in the State since 2008-09 with 100% Central Assistance during 11th Five Year Plan to achieve 9% growth rate in Animal Husbandry Sector and induced 22,099 high pedigreed milch animals and heifers from other States with the 50% subsidy of Rs.29.40 Crores. The Government of Andhra Pradesh have introduced a scheme Jeeva Kranthi Padhakam since 2007-08, to support BPL families by supplying Breeding Rams, Ram Lamb Units and Sheep and Goat Units under Chief Ministers Package, to enhance the economic status of the targeted families. Under this Scheme 48228 Breeding Rams, 2476 Ram Lamb Rearing Units and 2727 Sheep and Goat Unit were grounded so far. In order to guard sheep growers from losses, due to blue tongue disease, the sheep insurance programme has been taken up since 2006-2007 and being continued during 2010-11 also. The Government of India has sanctioned centrally sponsored Livestock Insurance Scheme. Under this scheme productive milch cattle will be insured on 50% subsidy basis. It is being implemented in

eight districts of the State, during the year 2006-07 and continued during 2010-11. A Programme of Mass Vaccination against Foot & Mouth disease in animals was implemented in Chittoor, Ananthapur, Rangareddy and Medak Districts with GOI assistance, to capitalize export market, during 2006-07 and continued during the year 2010-11. The Programme is extended to all the Districts in the State during the year 2009-10 under ASCAD and RKVY. Deworming the Sheep belonging to shepherds of all categories of farmers twice in a year on free of cost basis was taken up during the year, resulting in reduced early lamb mortality and improved growth rate due to increased disease resistance in sheep and continued during the year 2010-11. Animal Health Activities: Animal Health activities play an important role in the growth of livestock Industry, since the livestock production programmes will not be successful without providing necessary safeguards against hazards of Animal diseases. The department has taken up strengthening the existing institutions to improve the quality of Animal Health Services by providing facilities for surgery, Disease Investigation and treatment and therefore Polyclinics were established at district head quarters. To effectively organize Animal Health Service to support the production program and prevention and control of livestock diseases, every mandal has been provided with a veterinary graduate. Five types of regular institutions viz., 20 Veterinary Polyclinics, 3 Super Specialty Veterinary Hospitals, 281 Veterinary Hospitals, 1823 Veterinary Dispensaries, 42 Mobile Veterinary Clinics and 3110 Rural Livestock Units are functioning mainly to attend to animal health needs through out the State. 270.73 Lakh cases were treated, 4.10 lakh castrations were done and 478.73 Lakh vaccinations were conducted by these institutions during the year 2011-12 (up to 30-9-2011). Proper diagnosis of disease is half the treatment. Towards this end, 22 47

Animal Disease Diagnostic Laboratories (ADDLs) are functioning. The details of Animal Husbandry institutions are given in Annexure 5.20. Veterinary Biological Research Institute, Hyderabad: There are two divisions in the Institute, i.e., Biological Products division and Disease Investigation division. Each division is functioning under the control of separate Joint Directors. i) Biological Products Division: The main objectives are To prevent the losses of valuable livestock due to various diseases, supply of vaccine to the institutions to protect the livestock is essential. The Veterinary Biological Research institute, is the main source in the State for the production of Viral and Biological Vaccines and is producing nine types of viral and bacterial vaccines. productivity of different vaccines in large quantities of safe and potent vaccines for protection of livestock and poultry against infectious & contagious diseases. Develop/adopting new techniques in the manufacture of Biologicals in bulk quantities. Boosting the economy of the farmer community by taking mass preventive vaccinations for protecting the livestock and poultry. During the year 2010-11, 788.22 Lakh doses and during 2011-12 (up to 30-9-2011) 496.66 Lakh doses of various types of vaccines have been produced by the institute. New Vaccine Production Division The vaccine production facility at VBRI has been producing ten different types of animal vaccines for the last 60 years and supplies vaccine free of cost to the farmers of Andhra Pradesh. All these years, the vaccines are being produced under the license issued by the Director General of Drug Control Administration, India. Of late, it is mandatory to upgrade the vaccine production facilities in compliance with Good Manufacturing Practice (GMP) of 48

Schedule M of Drug and Cosmetics Act 1940 in order to renew the drug license. In conformity to the GMP standards, VBRI has modernized vaccine production facility in a phased manner to fulfill the drug regulations with the funds provided under different schemes like NABARD, ASCAD and state plan with total amount of Rs. 1282.00 Lakhs. ii) Disease Investigation Wing: Control and elimination of disease depends upon prompt and correct diagnosis of the disease. A team of Disease Investigation Officers and subject matter specialists are attending to this important item of work.. The main objectives of this wing are: 1. Disease diagnosis and investigation of disease conditions among Livestock, Sheep, Goats, canines, pigs, poultry and captive wild animals by subjecting the morbid materials to various laboratory diagnostic tests like cultural, biological, serological, histopathological and other diagnostic tests including latest molecular biological techniques. 2. To collect and analyze the epidemiological data of the disease occurrences in the State and take measures for control and eradication. 3. To attend outbreaks, notifying areas, advising the field staff for intensive follow-up in tackling the disease occurrences and collection of relevant materials for laboratory diagnosis and suggesting measures for the containment of the diseases. 4. Imparting training to the field Veterinarians on latest techniques in diagnosis of a disease. Veterinary Biological Research Unit, Samalkot: A mini vaccine production unit at Samalkot, East Godavari district is functioning to meet the increasing demands of coastal districts. During the year 2010-11, 260.55 Lakh doses and 268.12 Lakh doses during 2011-12 (up to 30-9-2011) of various types of vaccines have been produced by this institute. Government Livestock Farms: To support the cattle development activities in the state for producing pedigree bulls, the

department has established Cattle breeding farms at suitable places in the State. At present seven farms and one Fodder Seed multiplication farm are functioning under the control of this department. The livestock maintained by the Government Livestock Farms consists of 496 Ongole breed. Ongole cattle are being maintained at Cattle Breeding Farm, Chadalawada in Prakasam district and composite Livestock farm, Chintaladevi in SPS Nellore District. During the year 2010-11, 44 breeding bulls were supplied to the Frozen Semen Bull Stations/ farmers. Andhra Pradesh Livestock Development Agency: The State Government has launched a massive programme of Restructuring of breeding operations in cattle under the National Project for Cattle and Buffalo Breeding (NPCBB) scheme. To implement this programme, Andhra Pradesh Livestock Development Agency (APLDA) has been established and started functioning from April, 2000. The achievements of APLDA from April to September,2011 are as follows: i) Expansion of Artificial Insemination activity: The Artificial Insemination (AI) facility is available in 5143 Animal Husbandry departmental Institutions in the State, out of which 2234 centers are provided with Mobile AI facility. To provide doorstep AI facility to the farmers, 3280 private AI centers (Gopalamitra Centers) have been established up to the year 2010-11 by training educated unemployed rural youth. During the year 201112, 850 more Gopalamitra Centres were started functioning. At present 4130 Gopalamitras are functioning. Apart from departmental and Gopalamitra centres, 652 Private AI Centers are operated in the state by JK Trust, BAIF and Dairy Union etc. ii) Performance of Artificial Insemination (AI) centers and AI activity: During the year 2010-11, all the AI centers in the State have conducted 51.80 Lakh inseminations and 18.67 Lakh improved progeny are born. 2,011 Gopalamitras have conducted 19.25 lakh of inseminations and

5.96 lakh improved progeny are born as on March, 2011. During 2011-12 (up to 30.09.2011), 22.40 lakh Inseminations are conducted by the AI Centers in the State and 8.66 lakh improved progeny are born. The Gopalamitras conducted 10.47 lakh inseminations and 3.37 lakh improved progeny are born. iii) Production, distribution and utilization of Frozen Semen (FS): In order to meet the demand of Frozen Semen due to expansion of AI activity, the existing four Frozen Semen Bull Stations have been strengthened to produce at least 70 Lakh doses of Frozen Semen per annum. 22 District Livestock Development Agencies (DLDA) which are involved in distribution of Frozen Semen and Liquid Nitrogen to the village level AI centers, were also strengthened under APLDA, for supply of Liquid Nitrogen and Frozen Semen to all the AI Centers and to monitor AI activity. One 10,000 Liters capacity LN Transport Vehicle and six 6,000 Liters. Vertical Storage tankers are purchased to strengthen the cold chain management. During the year 2010-11, the four Frozen Semen Bull Stations have produced 63.89 Lakh doses of Frozen Semen and distributed 67.50 Lakh doses. 203 breeding bulls are stationed in four semen stations. During the year 2011-12(up to September 2011), these four Frozen Semen Bull Stations have produced 28.22 Lakh Frozen Semen Doses are produced and distributed 28.94 lakh doses. An exclusive laboratory (Andrology laboratory) at Visakhapatnam will undertake the Quality Control of Frozen Semen Produced at Frozen Semen Bull Stations. Bovine Breeding Complex, Nekarikallu has been utilized to rear the young bulls to supply either to Natural Service or Frozen Semen Production in the State. At present 129 bulls are under rearing. iv) Organization of Fertility Camps- Pasu Vignana Sadassus: During the year 2010-11, 11048 fertility camps were organized and 3.91 Lakh infertility cases are treated. During 2011-12 (upto September, 2011), 4325 Fertility camps are organized.

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v) Implementation of Livestock Insurance Programme: Government of India has accorded permission to implement the Livestock Insurance scheme in the state from 2010. 71,937 animals are insured during the year 2008-09 & 2.62 Lakhs animals are insured under this scheme during 2009-10. During the year 2010-11, a total of 2,03,970 milch cattle are insured and 1190 claims were made and 11,153 claims were settled. During the year 2011-12(up to September 2011), 8609 milch cattle were insured and 2754 claims were made and 2680 claims were settled. vi) Prime Ministers Package: Under this package, Providing of Cattle and Buffalo Breeding services have been implemented by APLDA in 16 identified districts with the financial assistance of Government of India. The scheme was started during the year 2006-07 and a total of 33.43 lakh doorstep inseminations were conducted up to March 2011. During 201112 (up to September2011), 6.73 lakh Artificial Inseminations were conducted and 2.04 lakh improved progeny born under this package. Performance of Frozen Semen Bull Stations is shown in Table 5.10.
Table 5.10 Performance of Frozen Semen Bull Stations S.No 1 Item of Work
2011-12 2010-11 (up to 309-2011)

Table 5.11 Performance of District Livestock Development Agencies 2011-12 2010S.No ITEM OF WORK (up to 30-9 11 2011) Quantity of Frozen Semen Supplied (Lakh Doses) a) Exotic 27.04 15.65 1` b) Indigenous 5.81 3.41 c) Murrah 34.66 14.18 Total 67.51 33.24 No. of Artificial Inseminations Done(in Lakhs) a) Exotic/ Crossbred 15.29 7.76 2 b) Indigenous 2.91 1.90 c) Murrah 33.63 12.07 Total 51.83 21.73 Artificial Insemination Centers Covered ( Nos.) a. Departmental A.I 5143 5143 3 Centres b. Gopalamitras 3280 4130 c. BAIF 115 115 d. APDDC 137 137 e. J.K. Trust 429 397 f. Others 8 8 Total 9112 9930 Source: Animal Husbandry Department

No. of Bulls Stationed a) Exotic/ Crossbred 57 b) Indigenous 10 c) Murrah 160 Total 227 2 Quantity of Frozen Semen Produced (Lakh Doses) a) Exotic/ Crossbred 19.05 b) Indigenous 4.02 c) Murrah 40.82 Total 63.89 Source: Animal Husbandry Department

69 12 146 227 8.86 1.82 17.53 28.21

Performance of district livestock development agencies is shown in Table 5.11.

Feed and Fodder Development: High yielding and nutritious fodder are essential for scientific and economic management of livestock particularly to crossbreeds. It is the endeavor of the department to popularize and propagate the high yielding fodder crops with the farmers on available arable and non-arable land, as it is essential for the scientific feeding of the livestock for the increased productivity of milk and mutton. To intensify the activity, fodder slips and improved varieties of fodder and pasture seed has been supplied to the farmers with most encouraging results. During the year 2010-11, 8.67 Lakh acres and during the year 2011-12 (upto 30-92011) 4.25 Lakh acres were brought under fodder cultivation. Fodder development programmes are being taken up under regular plan schemes to enhance the milk production in the state Supply of Fodder Seed under Various Schemes: Under RKVY: Under RKVY, 1277 MTs of fodder seed has been procured for supply to the eligible

50

farmers on 75% subsidy for fodder development activities. Central Minikits Testing Programme: During the year 2011-12, a total of 31,317 minikits were supplied (legumes & non legumes) during Kharif free of cost. During Rabi, 12500 minikits comprising of Maize, Jowar and Lucerne have been distributed. Centrally Sponsored Schemes for Fodder and Feed Development: The Govt. of India have released Rs. 6.22 crores for Fodder & Feed development under Centrally Sponsored Schemes. The components include: Grass land development: Grass land area allotted to Government Livestock Farms viz., Chadalawada, Chinthaladeevi, Reddipalli, Penugonda and Banavasi. Power driven chaff cutters: Assistance under the scheme will be provided as 75% Central Govt. as one time grant out of the total cost of Rs. 20,000/- per unit or 75% cost of the chaff cutters, whichever is less. Balance 25% funds are to be met by the beneficiaries. It is proposed to supply 550 Nos with Rs. 82.50 Lakhs. Silage making: 100% Grant-in aid by the Central Government will be provided for establishment of new silage making Unit @ Rs. 1.05 lakhs (Rs. 75000/- for construction work of trench silo pit and Rs. 30,000/- for purchase of power driver chaff cutter) per unit or the cost of the silo pit collected, whichever is lower. Fodder Seed Procurement and Distribution Rs.324.25 Lakhs are allotted for Fodder seed procurement & distribution Azolla cultivation and Demonstration. Assistance under the scheme will be provided @ of Rs.5000/- (50% of total cost of Rs. 10,000) per unit or 50% cost of the Azolla unit and training, which ever is lower. Balance 50% funds are to be met by the beneficiaries. A total of 2500 Units are proposed. The scheme is in progress. Production of Fodder: Distribution of improved varieties of fodder seed combing Legume & Non-Legume for 1 acre. It is proposed to cover 1,23,400 acres of land under fodder Development to cover 51

1,23,400 beneficieries with Kits will be supplied to the farmers on free of cost. Adoption of appropriate technologies for Post -Harvest Management It is proposed to distribute 2800 Power driven Chaff cutters on 50% subsidy to cover 2800 beneficiaries. It is proposed to distribute 800 Tractor mounted /operated chaff cutters to SHG/UnemployedYouth/Dairy Cooperatives. on 50% Subsidy to cover 800 beneficiaries in coarse fodder available Districts It is proposed to construct 400 Silage Making Units of 6.00 MTs capacity to cover 400 beneficiaries with dairy units. The scheme is in progress. Watersheds The project is being implemented in 12 districts in the state. AH activities have been proposed under production Improvement Systems (PIS). MGNREGS: The main objectives of the scheme are Rural Employment, Creation of resources, increase the production and Drought proofing. Fodder development and conservation project is identified under Drought proofing. Five types of fodder works are being implemented under MGNREGS as follows.
Estimated value Rs in lakhs 6520

Type of work Raising of Fodder Maize or Fodder Jowar in one acre Construction of Silo Pit with RR Masonry and Preparation of of silage with Brick Masonry and Preparation of of silage Raising of Perennial Fodder Nursery in one acre for two years Raising of perennial fodder (APBN/ Co-1/Co-2/Co-3) in one acre for two years Raising of Silvi pasture in one acre

17206 15260

19158

23865

14295

Fodder works progress in the state as on Nov 2011 No of Value Item of work works Rs in lakhs
Estimates Generated Administratively Sanctioned Commencement Letters Issued In-Progress 107327 84351 28730 7983 22432 17015 5639 192

Sheep Development Sheep rearing is an important livelihood activity in Scanty and low rainfall areas and agriculturally less developed areas. Scientific breeding is being advocated in the sheep farms for the production of breeding rams with improved quality of mutton and wool. The rams are distributed to interested breeders for upgrading their local sheep flocks for improved production both quality and quantity. To achieve the objective, 3 Sheep Farms are functioning. The farm produced Pedigree rams are being distributed to the sheep breeders to upgrade their stock for improved quality of meat and increased meat production. As per 2007 census, Andhra Pradesh has 255.39 lakh Sheep population and stands first in the country and 96.26 lakh Goats in the state and stand at eigth place at all India level. About 7 to 8 lakh rural families belonging to socially and economically backward classes are involved in sheep & goat rearing. AP Sheep and Goat Co-op. Federation Ltd: The following schemes are being implemented by the Federation i) Jeeva Kranthi Pathakam ii) Supply of Breeding Rams & establishment of Market Yards under RKVY iii) Sheep Insurance iv) Bhed Palak Bhima Yojana (Central Wool Development Board) and v) NCDC Scheme on production and rearing of Livestock by the District Sheep Breeders Cooperative Union, Kadapa.

The A.P. Sheep & Goat Development Cooperative Federation Ltd shall be the Implementing Agency for implementation of schemes relating to sheep and goat development activities in the State with the officers and staff available under the following schemes/offices. ISDP Schemes located in 10 districts, Office of the AD(Sheep & Goat Development), Hyderabad, Large Scale Sheep Breeding Farm, Mamidipally, RR district. Sheep Unit at Composite Livestock Farm, Chintaladeevi, Nellore district. Sheep Farm, Penukonda, Ananthapur district. Sheep Insurance: To cushion the adverse impact upon livelihood of the poorer sections of the family dependant on sheep rearing. Government of A.P have taken up sheep insurance programme during 2006-07 and continued. The details of sheep insurance coverage are shown in Table 5.12 Table 5.12 Sheep Insurance
Year Sheep insured (No. in lakhs) Youn Adults Total g ones Govt. Share Rs. in Lakhs

2007-08 5.92 0.47 6.39 2008-09 2.20 0.11 2.31 2009-10 2.88 0.12 3.00 2010-11 2.09 0.11 2.20 Source: Animal Husbandry Department

98.52 132.42 182.60 129.94

Exgratia: In case of accidental death of sheep rearer due to unavoidable life risks while in the activity of rearing of sheep, the Government have considered an Exgratia of Rs. 1.00 lakh will be paid to the family members of the sheep rearers in the state. 1. Special Livestock and Fisheries Package for the Suicide prone districts: Government of India has sanctioned 100 Goat and 100 Sheep units for 16 suicide prone districts of Andhra Pradesh for creating livelihood to the family members of the deceased person. Sheep & Goat units are supplied on 50% subsidy adhering to the guidelines of Jeeva Kranthi Pathakam.

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An amount of Rs 101.5 Lakhs for 100 sheep & 100 goat units has been released for implementation of the scheme. Out of which an amount of Rs. 4,12,000 released for (8) Goat units and Rs.11,50,000 for (23) Sheep units to Warangal, Rs 6 lakhs for 12 Sheep units to Nalgonda and Rs 6.5 lakhs for 13 Sheep units to Kadapa districts. Centralwool Developmental Board: Bhed Palak Bima Yojana: It is an insurance scheme for rearers of woolly sheep (Deccani Sheep) implemented through LIC. Total annual premium is Rs. 330 (Beneficiary will pay Rs.80, CWDB will contribute Rs. 150 and LIC will pay remaining Rs. 100). Benefits of the scheme: for Normal Death Rs. 0.60 lakhs, Accidental Death Rs. 1.50 lakhs, Permanent Disability due to accidents Rs.1.50 lakhs and Partial Disability due to accidents Rs.0.75lakhs. Till date, a total of 10228 Sheep breeders are insured and 21 claims are settled out of 32 claims under Bhed Palak Bima Yojana. GOI/NABARD Schemes/Projects: a. NCDC assistance to Govt. of Andhra Pradesh for Development of Small Ruminants by AP Sheep Federation: The NCDC, New Delhi has conveyed is approval for sanction of financial assistance of Rs.79.67 Crore (Rs.59.75 Crore as loan and Rs.19.92 Crore as subsidy subject to availability from Govt. of India) to Govt. of Andhra Pradesh for Development of Small Ruminants by Andhra Pradesh Sheep & Goat Development Cooperative Federation Ltd., at a block cost of Rs.99.59 crore, in 3 districts viz., Chittoor, Mahaboobnagar and Prakasam, through the district unions. The Programme will be implemented in 300 Primary Sheep Breeders Cooperative Societies viz., 195 societies in Mahaboobnagar District, 60 societies in Prakasam District and 45 societies in Chittoor District.

The project cost is as detailed below:

Project Component Outlay (Rs. in lakhs)

Ram Lamb Fattening & 720 Breeding Commercial Sheep 1800 Breeding Units Rearing Units 6000 Silage Making Units 928 Commercial Silage Making 269 Unit Mobile Service Units 42 Training 176 Computerization 24 Total 9959 b. Formation of JLGs with the assistance of NABARD: A project proposal was submitted to NABARD for Integrated Small Ruminant Development in Andhra Pradesh. The Proposal was discussed in 2nd meeting of the State Level Sanctioning and Monitoring Committee (SLSMC) for Centrally Sponsored Schemes of Animal Husbandry. The NABARD has advised the Federation to take initiative for formation of JLGs to get them financed under individual/JLG mode. It is also informed that the NABARD would provide Financial Assistance of Rs.2000/- for each of the JLGs promoted by the Federation. The NABARD has also indicated for provision of funds for training of farmers and advised Federation to submit specific proposals for training of farmers on scientific practices, details of No. of programmes, location of programmes, No. of candidates to be trained and budget for the same on formation of JLGs. It is proposed to take up the programme in 3 pilot districts of Warangal, Kurnool and Nellore. The process is initiated by organizing a workshop with the stake holders. c. Strengthening of Sheep Breeding Farms under Integrated Small Ruminant Development: The Government of India on consideration of the proposal has conveyed the administrative approval of the project amounting to Rs.1.27 crores for revival/strengthening of two sheep 53

breeding farms located at Chintaladeevi in Nellore District and Penukonda in Ananthapur District and for organizing three Ram/Buck shows during the current financial year and released an amount of Rs.63.37 lakhs as first installment to the State for implementation of the project. Piggery Development: Pig farming has an important role in improving the socio-economic status of sizable population of the weaker sections of the society. Piggery plays an important role in meeting the demands of meat in rural as well as urban areas. To make available Pork at a reasonable price, Piggery development has been taken up in Andhra Pradesh under various programs like ITDA, DRDA and SC action plan etc, as the pig is a profile breeder with heavy litter size, short gestation period, and good feed conversion efficiency. 4 pig breeding stations are functioning in the state to make available the required pedigree Male and Female breeding stock to the beneficiaries under various schemes. Piggery development project, Visakhapatnam: The project is rendering necessary technical assistance to the beneficiaries in maintenance of fattening units, up gradation of desi pigs, supply of premixed feed, marketing of finished pork and pork products in the districts of Visakhapatnam, Vizianagaram and Srikakulam besides exercising technical control over the 4 pig breeding stations and promotion of Pork sales in the state. 34 pork booths are functioning in the districts of Visakhapatnam, East Godavari, Vizianagaram, West Godavari, Krishna and Srikakulam and the sales of pork and pork products are continued. Pig Fattening Scheme (Buy back system) The District S.C.Society has established a Piggery Complex at Krishnapuram a suburb of Visakhapatnam with permanent sheds to rehabilitate Scheduled Caste people through Pig Fattening Scheme and 25 families are provided with L.W.Y weaners and fat pigs produced by them were taken back after attaining 70 to 80 kgs. live weight and each beneficiary is getting an amount of 54

Rs.3,000/- to Rs.4,000/- p.m as remuneration and provided gainful employment. Poultry Development: Poultry farming in Andhra Pradesh is most dynamic and fastest growing segment of Agriculture Sector. The State occupies first rank in egg production and broiler production in the Country with an annual production of 2013 Crore eggs and 20 Crore broilers. The Department is attending to the production and supply of poultry vaccines to protect against various diseases in poultry, besides extending modern technical knowhow to the poultry farmers. The scheme Poultry Development contains the following components. 1. Assistance to State Poultry Farms: The scheme of Assistance to State Poultry Farms is under implementation in Andhra Pradesh. This scheme is implemented in Government Livestock Farm, Mamnoor, Warangal district during the year 2008-09. Vanaraja/ Gramapriya Multiplication Farm and Hatchery has been established and chicks are being supplied at present. Necessary arrangements are also made for training of members on Vanaraja/ Gramapriya birds management and benefits of the scheme. The objectives of the farm are: To produce and distribute rural oriental birds with low input technology. To provide nutritious and tasty poultry meat, eggs, to under nourished rural masses at an affordable price. To supply highly disease resistant and improved rural oriented birds like Vanaraja/ Gramapriya to small/marginal farmers, agricultural labourers, self-help women groups. To provide employment opportunities to rural youth/ women. To provide special training in profitable maintenance of rural poultry to the rural women/youth and there by increase their family income. To strengthen the poultry disease diagnostic facilities. To develop marketing infrastructure for sale of chicks, eggs and table birds.

It is proposed to establish 3 Vanaraja/Gramapriya Multiplication Centres in Utukuru village of Kadapa District, Alluru Village of Nellore District and Garividi village of Vizianagaram District under Centrally Sponsored Scheme. The work is under progress in these Centers. A new project with an outlay of Rs. 68 lakhs for Medak district is approved by the Government of India for the year 2011-12. The ratio of investment for the project by Center and State is 80:20 respectively, the State Government have shown the land belonging to the farm as its 20% share Out of total sanction of Rs. 251.92 lakhs, an amount of Rs. 237.92 lakhs is released out of which Rs. 81.92 lakhs are utilized. The GOI has revalidated an amount of Rs. 88.00 lakhs and released Rs. 68.00 lakhs during the year 2011-12. 2. Rural Backyard Poultry Development Programme: The Government of India have sanctioned the Centrally Sponsored Scheme Rural Backyard Poultry Development in Andhra Pradesh with total outlay of Rs. 355 lakhs and released Rs. 177.50 lakhs as grant and Rs. 9.72 lakhs as loan component to NABARD, as first installment during the year 2010-11. The project includes the assistance for infrastructure to the beneficiaries of BPL families for night shelters and other inputs (Rs. 750/- per beneficiary), and for 45 birds in a year to be distributed in 3 cycles at a gap of 16 weeks. A subsidy of Rs. 30/- per bird for 45 birds (3-4 week old) is provided under the scheme. Further, for rearing of Day-oldchicks to 4 weeks age, before distribution to beneficiaries, an intermediary structure called Mother Units are also included with a subsidy of 20%, 36% interest free loan from NABARD and 44% as beneficiary contribution. In this system of backyard poultry, the mother unit will procure day old chicks from the Vanaraja Multplication Farms of the department, PDP, AICRP, private hatcheries etc., to rear them for a period of three to four weeks. These four-week-old chicks, which are vaccinated, fed and strong enough to 55

survive the harsh rural conditions, are then distributed to below poverty line (BPL) families @ 20, 15 and 10 birds in three phases at a gap of 16 weeks. Each mother unit has to cover 300 beneficiaries. With the release of Rs. 177.50 lakhs, it is planned to establish 27 mother units to cover 8100 beneficiaries under the scheme. The number of chicks to be supplied will be 3,64,500. With the release of first installment under the scheme, it is planned to implement the scheme in 6 districts of the state. 3. Poultry Farming under Prime Ministers Programme: The Govt of India have sanctioned an amount of Rs. 104.00 lakhs for implementation of poultry development scheme under PM Special Package for 16 distress and suicide prone districts of the state during the current financial year 2010-11 and released Rs. 25.80 lakhs as first installment. The scheme involves provision of 100 dual purpose low input technology birds under scavenging mode in two batches of 50 each to each beneficiary. The total cost of each unit is Rs. 13,000/with a subsidy of 50% and a ceiling of Rs. 6500/- per beneficiary. Total beneficiaries to be covered is 1600 @ 100 per district. Human Resource Development: The training approach in the department was given a new impetus and direction. Training needs of both Veterinarians and ParaVeterinarians in the Department were identified; training action plans were drawn up and are being implemented. In order to meet the growing challenges and opportunities emerging in the livestock sector, the staff of the department needs to be competitive, committed and motivated to provide sound service delivery system. HRD wing in the Directorate is coordinating, monitoring, evaluating and implementing the need based training programmes to the staff of the department, with a view that training is a continuous activity and every employee working in the department would be exposed for one training course per year.

The department has launched three tier training system to meet the training demands of the staff at District, Regional and State level to address area specific needs of livestock and their owners. The Department has restructured its training Programmes for Veterinarians and Para Veterinarians at (3) State Level, (7) Regional Level and (20) District Level Training Centres. 1649 Veterinarians, 1827 Para Veterinarians, 360 Gopala Mitras and 2576 other staff are trained during 2011-12(upto Oct, 2011). Special Schemes: 1. Prime Ministers Package: Special Livestock and Fisheries sector Package of Government of India is being implemented to provide supplementary avenues of income to the small and marginal farmers who are more vulnerable to economic distress in the 16 suicide incident districts with a total outlay of Rs.247.07 crores. Implementation Period: 3 years, i.e., 200607, 2007-08 and 2008-09. The implementation period is extended up to September 2011. Components: 1. Induction of High Yielding Milch Animals: It is proposed to induct 16000 milch animals per year @ 1000 in each of the 16 districts, during the implementation period. A subsidy of Rs.15000/- per animal is provided by Government of India and remaining amount is through loan from banks. Each beneficiary will be provided with two milch animals, of which, one animal is provided initially and the 2nd animal after 6 months of the induction of the first animal. 2. Rearing support for Female calves of inducted animals: It is proposed to enroll 8000 female calves of the inducted animals per year @ 500 in each of the districts during the implementation period of three years. The female calf of the inducted animal will be provided with rearing support for a period of one year @ Rs.20/- per calf to meet the

cost of feed, fodder and health care for a period of one year (total of Rs.7300/-). 3. Feed and fodder support for inducted milch animals: All the inducted milch animals will be provided with feed & fodder support @ Rs.25/- per day per animal for a provided of period of one year. 4. Health Care of inducted animals: The Inducted animals will be provided with health care on free of cost for a period of one year for which an amount of Rs. 300/- is provided. 5. Breeding Services: Artificial Insemination Services will be provided to the breedable animals including inducted milch animals on free of cost. Oestrus Synchronization Programme is aimed at synchronization of heat in Cows and Buffaloes, which helps in augmenting milk production. This programme is taken up to cover the breedable animals on free of cost. 6. Fodder Block making Unit: Government of India have permitted for setting up of 100 Mini Feed Mixing Plants by conversion of 8 Fodder Block making units in addition to establishing of 2 Fodder block making units. 7. Establishment of Bulk Milk Cooling Units: Bulk Cooling Units (BCUs) will be established for holding the milk to facilitate milk procurement. For every 1000 to 12,000 liters of milk producing cluster of dairy units, one MCU/BCU with unit cost of Rs.24.00 Lakhs as total grant, will be established. State Milk Mission: The Government has formulated a State Milk Mission envisaging an outlay of Rs. 6203 crore spreading over a period of next five years to enhance the production in the State. II. Rashtriya Krishi Vikas Yojana projects (Animal Husbandry Sector) Rashtriya Krishi Vikas Yojana (RKVY) is being implemented in the state with 100% Central Assistance during 11th Five Year Plan ( 2008-09 to 2011-12) with an objective to achieve 9% growth rate in Animal Husbandry Sector during 11th five year plan with a total financial outlay of Rs.399.28 crores in all the 22 districts except Hyderabad. Implementation Period is 4 years, i.e., 2008-09 to 2011-12. 56

Promotion of Mini Dairies for augmentation of milk production : It is proposed to promote dairy units with 5 milch animals by providing 25% subsidy towards cost of milch animals. A subsidy amount of Rs.43,750/subsidy(25%) will be provided on each cross breed Cow unit and Rs.50,000/- on Buffalo unit. High yielding Crossbred Cows and Murrah buffaloes will be promoted in order to provide sustainable income to the beneficiaries from the sale of milk. It is proposed to promote 8945 mini dairy units with a financial out lay of Rs. 42.19 Crores. Rashtriya Krishi Vikas Yojana Sub Schemes -2011-12: 1. Production of Fodder and adoption of appropriate technologies for post-harvest management under accelerated fodder development programme. Technologies like power operated, Tractor mounted chaff cutters and silage making units for fodder processing and conservation would be promoted in the selected / targeted clusters and Mandals 2. National mission on protein supplements. Ram Lamb Rearing: It is proposed to promote Ram lamb rearing units to augment meat production in the state and to provide substantial income to the farmers by providing 50% subsidy up to Rs.14000/- per farmer. Under this one Ram Unit with 20 ram lambs to each beneficiary will be provided. Cost of one ram lamb units: Rs.28000/Subsidy provided under RKVY: Rs.14000/(50%) 5000 Ram Lamb Units will be promoted in State: 5000 Subsidy with an amount of Rs.7.00 Crores 3.Livestock Health and supportive Programmes: In order to ensure good reproductive health, it is planned to conduct health, awareness & fertility camps in villages to improve the reproductive status to produce its progeny, health of livestock and also to bring awareness among farmers on livestock

rearing techniques to augment maximum milk production. 4. Healthcare to sheep and Goats: It is proposed to take up organizing Sheep health camps, disease prevention and control and deworming in sheep & Goat. It is proposed to take up production of vaccines & diagnostic and health & awareness camps. III. Implementation of Chief Ministers Special Package To uplift the BPL families, the Government have taken up the following programmes and also allocated the budget under plan schemes for implementation during the year 2011-12. The details of implementation of Chief Ministers Package is shown in Table 5.13.
Table 5.13 Status of implementation of Chief Ministers Package during the year 2011-12 TARGET Financ Physi Component Achievement ial cal ( Rs. Nos. lakhs) Induction of 7381 1453 So far 430 milch Milch animals, animals inducted and Supply of feed & supplied to Health Care beneficiaries. Calf feed 2000 100 So far 300 programme beneficiaries covered Pavala vaddi scheme for Sheep & Goat rearing Pavala vaddi scheme for Milch animal rearing Pavala vaddi scheme for Poultry rearing Induction of Murrah heifers,CB heifers Induction of milch animals supply of feed and health care 25 Budget is utilized for already functioning units

50

20

So far 4972 milch animals and 1126 heifers were 12431 2509 inducted and supplied to the beneficiaries under RKVY programme Source: Animal Husbandry Department

2376

255

57

Calf Feed Subsidy (50%) Programme: Under the programme, elite female calves born through A.I. will be selected and provided with feed on 50 % subsidy and health care to protect the elite germ plasm as well as to gain optimum growth rate to become good milk yielder. This programme will be implemented by the Animal Husbandry department under the Chairmanship of District Collectors in the state. Unit cost is Rs.10,000 and subsidy of Rs.5000/- per calf will be provided and the rest of amount may be met from the bank loan or beneficiary contribution. Pavala Vaddi scheme for Milch Animal / Broiler (Poultry)/Sheep and Goat Rearing under CMs Spl. Package: Under this scheme, funds are provided as interest subsidy in the form of Pavala Vaddi to the beneficiaries/ SHG selected for milch animal /Sheep and Goat Rearing/ Broiler (Poultry) rearing. Statement showing the number of animals inducted and subsidy utilized under Prime Ministers Package, Chief Ministers Special Package, RKVY and SCAP since 2007-08 to 2011-12 is shown in Annexure 5.21. IV. Chief Pathakam: Ministers Jeeva Kranthi
Year

2007-08 2008-09 2009-10 2010-11 2011-12 (upto Sept. 2011)

Table No 5.14 Jeeva Kranthi Pathakam Total Breed Ram Sheep amount ing Lamb and Utilize Ram units Goat d units units (50% as subsidy in lakhs) 198.95 10246 142 0 636.21 639.41 266.11 53.14 16635 15495 5005 847 697 846 681 110 1140 1136 348 103

Total units groun ded

10388 18472 17477 6034 1060

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FISHERIES
5.5 Sustainable development of Fisheries can only be achieved through improvement of the quality, technical skills and management of human resource in the State, in consonance with the rapidly changing needs. This subsector occupies a predominant place in the Socio-economic development of the State as it contributes substantially to economic growth and income generation to lakhs of people. It is a significant employment generator source of nutritious food and foreign exchange earner for the State. About 1.4 million people are employed in the State in this sector either directly or indirectly recording faster growth than the crop and livestock sectors. Andhra Pradesh ranks First in Brackish water shrimp production, First in Fresh water prawn production; second in Fresh water fish production, second in total value of fish and prawn produced and Fifth in Marine fish production. The State is contributing about Rs.3,000 Crores by way of marine exports, which is nearly 40% of the marine exports from India.

Govt. of Andhra Pradesh have introduced a scheme Jeeva Kranthi Pathakam during 2007-08, to support the BPL families by supplying Breeding Rams, Ram Lamb Units and Sheep and Goat Units, under CM package, to enhance the economic status of the targeted families. The scheme is continued to be implemented during 2008-09, 2009-10, 2010-11and 201112 also on 50% subsidy. Units Grounded on 50% subsidy since beginning of the scheme upto Sept. 2011 are shown in Table 5.14.

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The objectives set for the development of the sector are: To ensure sustainable development To promote welfare of fishermen Promote investment to create infrastructure To promote fisheries value chain and boost exports. Setup institutions to build and multiply skills. Fish/Prawn Production: During 2010-11, 15.60 lakh tonnes of fish and prawn is produced in Andhra Pradesh. The total Fish and Prawn production during the first six months period of April to August, 2011 is 5.64 lakh tonnes against the annual target of 16.50 lakh tones for 201112. The contribution of Fisheries sector in GSDP 2011-12 as per Advance Estimates is expected to be 2.54% at constant prices. The details of Fish and Prawn production are shown in Table 5.15 and given in Annexure 5.22.
Table 5.15 Fish and Prawn Production (Lakh Tonnes)
Year 2007-08 2008-09 2009-10 2010-11 2011-12 Target 2011-12
Acht. Up to Aug 11

Marine

Fresh water

Brackish Water shrimp

Total Growth Prod rate uctio % n

2.54 7.55 2.91 9.35 2.93 9.70 2.90 12.27 3.01 3.20 12.99 4.69

0.47 10.56 12.2 0.26 12.52 18.5 0.30 12.93 3.3 0.43 15.60 20.64 0.50 0.26 16.50 5.64

Source: - Fisheries Department

The production of fish/prawn in the state has increased constantly from 9.41 lakh tonnes in 2004-05 to 15.60 lakh tonnes in 2010-11. This has become possible because of large scale involvement of farmers who have taken up intensive pisciculture in delta areas of the state; driven by the robust market especially in Kolkata and North-Eastern States. Important Schemes/Programmes: Registration of Coastal Aquaculture: As per Government of India Coastal Aquaculture Authority Act and rules, 2005 the area that comes under the purview of Coastal Aquaculture Authority (CAA) is the 59

area of land with in a distance of two kilometers from the high tide line (HTL) of seas, rivers, creeks, and back waters. In respect of the Farms up to 2 ha water spread area, the district level committee recommends the applications directly to the CAA for consideration of registration under intimation to the State level committee. Farms above 2 ha. water spread area, DLC has to recommend the applications to State Level Committee for further recommendation to CAA for consideration of registrations. As of now, CAA issued registrations of certificates to 19,665.79 ha which includes both below and above 2 ha area. Registration of Fresh Water Aquaculture: Fresh Water Aquaculture in the state has to be undertaken by the interested farmers duly obtaining permission from the department of Fisheries. Till now registration certificates are issued covering 56,387 ha area of Fresh water aquaculture in the state. Housing scheme for fishermen - (CSS50:50) The Housing Programme for fishermen is converged with the INDIRAMMA. Under the scheme, a subsidy of Rs. 20,000/- will be released to the fishermen beneficiaries who have availed the housing scheme under INDIRAMMA. The Department has identified 13,690 fishermen beneficiaries to whom the houses are sanctioned under INDIRAMMA for which an amount of Rs. 2738.00 lakh is required. An amount of Rs. 400.00 lakh sanctioned by the GOI and an amount of Rs. 2338.00 lakh is required additionally to cover all families. Construction of Fish Landing Centers The Government have sanctioned Rs. 1409.68 Lakh for construction of the following four Fish Landing Centers under Assistance to States for Developing Export Infrastructure and other allied activities(ASIDE)funds ie., (i)Vodalarevu, East Godavari District (ii) Laxmipurampalle palem, Krishna District (iii) Gundaipalem, Prakasam District (iv)Uppalanka, East Godavari District Group Accident Insurance Scheme for Fishermen (CSS-50: 50) The annual premium under the scheme is Rs.29/- per person. The premium is shared

equally by Central and State Governments. The Government of India is releasing their share directly to the National Federation of Fishermen Cooperatives, New Delhi for payment of premium to the Insurance Company. The Ex-gratia payable is Rs.1,00,000/-in case of death/ permanent disability and Rs.50,000/- in case of partial disability. In addition to insured amount, the State Government is providing an ex-gratia of Rs. 1.00 Lakh to the families of deceased fishermen. Relief-cum-SavingsScheme-(CSS-50:50) The Scheme envisages inculcating the habit of saving among the fishermen and to provide relief to fishermen depending on marine fishing and licensed fishermen of reservoirs/rivers. The fishermen has to save Rs.600/-@ Rs.70/- per month for a period of 8 months and Rs. 40/- in the 9th month. An amount of Rs.1,200/- per beneficiary is contributed by Central and State governments in equal proportion. A total of Rs. 1800/ is sanctioned to fishermen as grant for sustenance during lean season for fishing. Motorization of traditional crafts (CSS50:50) Motorization of traditional crafts by fixing up outboard/in board Motors is taken up to reduce the manual effort in sailing the craft by the marine fishermen. The subsidy is 50% of cost not exceeding Rs 30,000/ per craft towards the cost of Out Board/In Board Motor. Prime Ministers Package for Farmers: (100% CSS): The scheme is meant for the benefit of the fishermen & fish farmers in the 16 drought prone districts. Under this scheme Construction of fish ponds and input cost has been taken up. The unit cost is Rs.2.30 Lakh per ha.(Rs. 2.00 lakh for construction of pond and Rs. 0.30 lakh for inputs). 40% of the unit cost is given as subsidy for general farmers and 50% in case Scheduled caste and Scheduled Tribe farmers. By implementing the scheme during the last (4) years. 819.00 Ha of fish ponds have been constructed.

Supply of fish seed to Fishermen Cooperative Societies: Under the scheme, 50% subsidy on the cost of fish seed stocked in tanks is provided to ensure adequate seed stocking and increase in inland fish production. The unit cost is Rs. 25,000 per tank and 50% subsidy will be Rs. 12,500 per tank. Exemption of Sales Tax on HSD Oil : The Scheme is to meet the State commitment on exemption of Sales Tax on HSD oil used by mechanized and motorized fishing crafts. The ceiling limit of HSD oil is 3000 liters per month in case of mechanized boats and 300 litres per month in case of motorized crafts. The subsidy on sales tax is Rs.6.03 per litre. Special Component plan for Scheduled Castes: The Scheduled Caste fishermen are given assistance for supply of fishery inputs like supply of fish / prawn seed, supply of nets, boats and other fishing inputs. The unit cost is Rs.10,000/- and 50% subsidy will be Rs. 5000.During 2010-11 to provided 332 beneficiaries benefited with a financial assistance of Rs.17.50 lakhs. .During 201112 (up to October 2011) 135 members are benefited with a financial assistance of Rs.6.75 lakhs. Tribal Sub-Plan for Scheduled Tribes: Scheduled Tribe fishermen are given assistance for supply of fishery inputs like supply of fish / prawn seed, supply of nets, boats and other fishing inputs. The unit cost is Rs.10,000 and 50% subsidy will be Rs. 5000. During 2010-11, 231 beneficiaries were benefited with a financial assistance of Rs.11.75 lakhs. .During 2011-12(up to October 2011) 130 members are benefited with a financial assistance of Rs.6.50 lakhs. Supply of Rice during ban period: In order to obviate the hardship of the fishermen during fishing ban period at sea in the months of April-May, Government of Andhra Pradesh has extended Relief measure to the affected fishermen families in the form of supply of Rice. Under the scheme, 31 Kgs. of Rice for each of the 66,183 affected fishermen families (Mechanized and Motorized Boat owners and crew) on free of

60

cost for the (47) days Marine Fishing Ban period will be supplied. National Fisheries Development Board (NFDB). The National Fisheries Development Board has sanctioned Rs. 489.45 Lakh which includes Rs. 329.21 Lakh for seed stocking in (17) reservoirs which were stocked earlier and Rs. 160.24 Lakh for seed stocking in (14) new reservoirs during 2011-12 under Reservoirs Fisheries Development scheme. Organization of Fishermen cooperative societies: The Government of Andhra Pradesh has given great importance to cooperative societies in fisheries sector in order to empower the fishermen to manage their own affairs. As a matter of policy the tanks are given on very nominal lease to these cooperative societies for exploitation of fishery wealth. They are also provided assistance for inputs like fish seed stocking, feed, boats and nets on subsidy As far as Marine Fishermen societies are concerned, they are involved in schemes like diesel subsidy, Relief-cum-saving scheme, Group Accident Insurance scheme. So far 4,11,481 fishers are organized in to societies. Still a large number of fishers are yet to be brought under the fold. This is a continuous process and wherever the fishers are coming forward to form cooperative societies, they are being registered immediately.
Type of Societies Inland Fishermen Coop. Societies Marine Fishermen Coop. Societies Brackish water Fishermen Coop. Societies Fisherwomen Coop. Societies TOTAL District Fishermen Coop. Societies APS Fishermen Coop. Societies Federation-AFCOF Nos 4241 388 17 368 5014 22 1 Membership 3,15,293 72,115 1041 23,032 4,11,481 FCS: 2,955 FCS: 625

department has organized fisherwomen into SHGs called Matsya Mitra Groups (MMGs). There are 368 fisherwomen Co-op. Societies with total membership of 23032. The MMGs are organized with in the fisherwomen Co-op.Societies. Sofar 1539 MMGs covering 18,000 fisherwomen are organised. These MMGs prepare their micro-business plan and take up income generating schemes for improving their economic condition. Revolving fund is given to the groups under CM Package and RKVY @ Rs 25000 per group of 10-15 women. The groups also approach the banks for taking loans to augment their resources. Rashtriya Krishi Vikas Yojana: During the year 2011-12 State Level Sanctioned Committee of Rashtriya Krishi Vikasa Yojana (RKVY) has approved one project for Integrated Project for Enhancement of Fish Production for Rs.1447.33 Lakh with four components viz.,(i)Fish fingerlings stocking in perennial reservoirs/tanks of less than 40 hectares area,(ii) Strengthening of Government Fish Seed Farms, (iii) Supply of Sea safety/navigational equipment to marine fishers,(iv) Construction of fish markets in Municipalities and Gram Panchayats. The Commissioner of Agriculture, A.P. Hyderabad has released Rs. 226.00 Lakh in two installments for implementation of the project

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FORESTS
5.6 Forest cover has been recognized as critical for a living environment as it influences the quality and quantity of air and water. The role of forests as carbon sinks endows them added recognition as an important environmental factor. With the responsibility of management of forests vested with the State Forest administration, the Central interventions are essentially towards reinforcing the capacity of the States to undertake the National Policy mandates towards conservation and sustainable use with a strategy to create an environment for 61

Matsya Mitra Groups (SHGs of fisherwomen): Women SHG (Self Help Group) movement in the state is very strong. Taking advantage of the prevailing favourable conditions, the

achieving sustainable forestry and wild life management with specific focus on socioeconomic targets. The core objective of forest sector development strategy would therefore be enhancing the green cover by integrating it with livelihood opportunities. The tangible benefits derived from Forests like Timber, Bamboo, Fuel wood, Fodder, Non-Timber forest Products etc., are quantifiable. Intangible benefits like maintenance of ecological balance, conservation of soil and moisture, regulating the water flow, sequestering carbon-dioxide from the atmosphere etc., are of great significance and if quantified. Andhra Pradesh is the second largest State in forest area in the Indian Union. Andhra Pradesh has 62.30 lakh ha. of forest area constituting 22.65 percent of the total geographical area of the State. Out of the total forest area, Reserved Forest area accounted for 50,478 Sq. Kms. Protected forest forms 12,365 Sq. Kms and the rest 971 Sq. Kms are unclassified. Forest Department is implementing various development schemes to protect and develop the existing forests, to improve its productivity and economic value, as per the National Forest Policy 1988 and the State Forest Policy announced during 1993 and as revised during 2002 and also keeping in view the vision 2020 of the State of Andhra Pradesh. Enriching existing low density forests and alleviating rural poverty are main objectives of these programmes viz., Community Forest Management (CFM), Centrally Sponsored National Afforestation Programme (NAP) through Forest Development Agencies, RIDF Projects, Soil & Moisture Conservation, Social Forestry, Wildlife Development and Human Resource Development. The scheme for Soil conservation in River Valley Project was also taken up from that time in the Machkhand/Sileru basin in Visakhapatnam District and upto 1975 over 7850 Hectares of badly eroded area have been afforested and 43120 Hectares of Agricultural land were treated with various soil conservation measures like contour

bunding, bench terracing, gully plugging, stabilization of river banks etc., Forest resource surveys of industrial catchments were undertaken between 196575 and most of the important forest zones of the state have been covered under schemes sponsored either by the Government of India or State. The department has set a programme under RIDF projects and other schemes having provision for soil and moisture conservation with the financial assistance of NABARD for constructing various types of water harvesting structures such as Check dams, Contour Trenches Rocks fill dams, percolation tanks etc. in forest areas. These structures are help recharge ground water, there by improve the forest vegetation besides stabilizing the status of agriculture in the adjoining fields. The Silvicultured research for the improvement of the natural forests has assumed a greater significance. Keeping in view of the recent trends in forest research, the department has laid special emphasis on Forest Research to conduct experiments, improved nursery and plantation techniques, Vegetative propagation, Seed development and natural forest management etc. Monitoring of vegetation(Forest) Canopy Cover Density, Forest Fire Risk Zonation Mapping, Mapping all the forest areas with site suitability, Kolleru lake restoration, Relocating & demarcating the forest boundaries and Inventory of forest resources are some of the major and most important activities taken up by the department using the latest information technology. Almost all the programmes/schemes of the Forest Department are being implemented through participation of local people,Vana Samrakshna Samithis (VSS) and EcoDevelopment Committees (EDCs) in Protected Areas and Watershed Development Committees in River Valley Project. The breakup of No. of VSS/EDCs in each scheme are as follows: 1. APCFM 5250 VSS 2. FDA 2332 VSS 3. NABARD / RIDF 2161 VSS 4. W.L.I 243 EDCs 62

Forest Produce The Abnus leaves trade in Andhra Pradesh (Telangana Region to begin with) was nationalized in 1971 season eliminating the Contractors agency. In April 2006, the Government have decided to distribute the net revenue to the beedi leaf collectors in proportion to the quantity of beedi leaf collected by them as per wage cards from 2006 beedi leaf season. The quantity of beedi leaf collected during 2010-11 was 3,00,175 S.B.s with a net revenue of Rs.20.50 crores (approx). The quantity of leaf collected during 2011 season was 3,49,272 S.B.s. The Departmental Extraction of Timber, Fuel and Pulp Wood, Faggot Wood, Long Bamboo and Bamboo Industrial Cuts (BIC) from natural forests as well as Plantations were introduced from the year 1976-77, after disbanding the existing Contractor System. At present there is moratorium on extraction of timber from natural forests except for bamboo from the overlapping bamboo forests. The major activity comprises of harvesting timber and poles from matured plantations of Teak, Eucalyptus, Casuarinas etc. and long bamboos and BIC from the bamboo coupes as per the prescriptions of working plan of the respective Divisions. To implement this scheme the State Government makes budget provision and fixes the physical and financial targets every year. The Physical Targets and Achievements of Departmental Extraction of Forest Produce of Timber, Fuel, Poles and Bamboos details are given in Table-5.16. Table 5. 16 Forest Produce extraction (up to Sep.2011) Species Target Achievement Timber(cmt) 19138.74 5861.99 Fuel (cmt) 64374.90 5101.40 Poles (Nos) 37,661 8,765 Bamboo 192.68 48.78 (lakh Nos)
Source: Forests Department

The forest products in the state include Timber, Bamboo, Firewood & Charcoal, Beedi Leaves and Miscellaneous. The 63

income accrued from forestry sector in the State was Rs. 81.38 crores in 2006-07, 80.14 crores in 2007-08, 87.19 crores in 2008-09, 103.38 crores in 2009-10, 128.74 crores in 2010-11 and 69.04 crores in 2011-12 (upto September 2011). The details of value of forest produce in the State are given in Annexure-5.23 47 FDA projects have so far been sanctioned by the government of India. The total outlay of all the projects for 2010-11 is Rs. 1577.25 lakhs and 2332 VSSs/EDCs are involved in implementing these projects. An area of 3176 Hectares was proposed to be treated during the project period and 3176 Hectares was planted by spending an amount of Rs.1164.830 lakhs during 2010-11. The, production capacity, type of raw material available are given in Annexure 5.24. Social Forestry The State Government has launched a massive Peoples movement involving General Public and farmers in a big way to increase Tree cover outside the Reserve Forests to improve the Environment and to provide gainful employment to thousands of unemployed youth. These efforts were continued in the XI five year plan period also. Under Social Forestry programme, Public Distribution of seedlings, Raising community land plantations/ Avenue/ Shelter belt Plantations; and Raising of Institutional Plantations have been done. The species raised mainly are Neem, Pongamia, Ficus species like Raavi & Marri, Gangaraavi, Usiri (Amla), Seethaphal, Badam, Mango, Teak, Casuraina, Eucalyptus and others for public distribution and planting in public lands. Vanamahostava (Two Million Tree Plantation): Every year Forest Department celebrates Vanamahostava during rainy season in the month of July to give wide publicity and to inculcate planting culture in the society. During this year, 21.12 Lakh saplings were planted in 534 locations in the State in a Single Day ie on 9-7-2011. Monitoring of performance of these seedlings is being done through Remote sensing and GIS.

Seedlings under Social Forestry from 2005-06 up to Oct,2011: Seedlings raised 7727.656 Lakhs Seedlings 7170.234 Lakhs distributed Block plantation 3870.808 Hectares raised Avenue plantation 4926.790 KM raised Species wise Tall (6x12,8x12,8x15, 10x12) and Very Tall (10x16,12x18, 14x20) seedlings raised by all agencies for the planting season 2011-12 is given in Annexure 5.25. Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) Forest Department is taking up forestry operations both within the Reserved Forest area and outside as well by participating through convergence in implementation of MGNREGS. Raising of Plantations, Soil & Moisture Conservation works and Habitat Improvement works are being taken up in the VSS areas and forest areas. Raising of Nursery Plantations in farmers lands, Institutions and Community lands, Avenue plantations etc., are being taken up by the Social Forestry wing outside the Reserved Forest areas. Large number of nurseries is being raised under the Mahatma Gandhi Vana Nursery (MGVN) Program as a part of MGNREGS. These nurseries are being raised to produce good quality seedlings of tree species which are preferred by the people and which are suitable to the agro climatic conditions of the district concerned. 2775 MGVN nurseries are established in the state at the rate if 2-3 nurseries in each mandal by the Forest Department under MGNREGS. In each MGVN nursery, about 70000 to 80000 plants of forest species will be raised each year for next 3 years and will be handed over to the Rural Development Department for planting on the lands of farmers. 19.78 Crore seedlings were raised during 2010-11 and in 2011-12 it is planned to raise 20 Crore seedlings.

Mahatma Gandhi Vana Nursery Program 2011-12

Annual Work Plan Expenditure up to (Up to Sep.2011) Rs.247.35 Crores Rs.74.81 Crores 33.14 lakh person days 1914 Ha 814 Kms

Wage employment generated (Up to Sep.2011)

Block Plantations raised Avenue Plantations raised

Compensatory Afforestation Fund Management and Planning Authority (CAMPA): Government of India, Ministry of Environment & Forests has constituted an authority to be known as Compensatory Afforestation Fund Management and Planning Authority (CAMPA) for conservation, protection, regeneration and management of existing natural forests and wildlife and its habitat including environmental services, Research, training and capacity building. The Annual Plan of Operation (APO) is being prepared every year for implementing the A.P.CAMPA Scheme for protection of forests and wildlife. The A.P. State CAMPA is implemented in Andhra Pradesh from 2009-10 onwards. The main components of APO of CAMPA are: 1) Compensatory Afforestation (CA) in compensatory areas 2) Natural Forest Management through treatments to the natural forest area and regeneration of degraded areas. 3) Forest & Wildlife Protection through establishment of base camps, strike forces, check posts to check the illicit smuggling and transportation of timber and poaching of wildlife. 4) Forest Fire Management to improve the growth of natural forests and improvement of habitat of wildlife. 5) Bio-Diversity Conservation. 6) Research and Development to get good quality seedlings. 7) Capacity Building by updating the skills and knowledge of the frontline staff.

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8) Information and Communication Technology for monitoring the implementation and progress of the APO 9) Infrastructure Development and Maintenance to ensure the frontline staff stay in their head quarter and protect the forests and wildlife efficiently. Achievements 2010-11: In 2010 an amount of Rs. 120.74 crores (2010-11) were released to A.P. State CAMPA by Ministry of environment & Forests (MoEF), Govt. of India. 180 nos. Base camps, 77 Strike forces, 154 Check posts are established and maintained to assist the forest officials for protection of valuable forests in A.P. During the year 2277 ha. degraded, open and blank forest areas were planted with forest species. Further, advance operations are being carried out in 4325 ha. of area for planting during the year 2011 season with forests species. The front line staff was provided with communication facilities and vehicles for mobility to improve forest protection. Achievements of 2011-12: APO 2011-12 was approved for an outlay of Rs.228.00 crores by the Executive Committee . 200 nos. Base camps, 85 Strike forces, 160 Check posts, 11 Police Parties are established and maintained to assist the forest officials for protection of valuable forests in A.P. Under Natural Forest Management component, out of the target of 4604 ha, planting has been completed in 4455 ha (97%). Planting in th remaining area is under progress during North east monsoon. The artificial regeneration is supplemented with the Forests species only, i.e., Teak, Red Sanders, Bamboo and with secondary timber species, NTFP species etc. Under Compensatory Afforestation component, out of the target of 4676 ha, planting has been completed in 3625 ha (78%). The artificial regeneration is supplemented with the Forests species only, i.e., Teak,

Red Sanders, Bamboo and with secondary timber species, NTFP species etc. Wildlife Conservation Andhra Pradesh is endowed with rich Flora and Fauna with 5000 plant species, 500 bird species, 100 species of mammals and more than 100 reptile species. Important endemic species of the state are Cycas beddomi, Red sanders, Shorea talura, Jerdons courser, Golden gecko and Slender loris. There are 6 National Parks and 21 Wildlife Sanctuaries for in situ conservation. Protected Areas are spread over 13005.78 Sq.Kms. or 4.72% of the Geographical area or 20.38% of the forest area of the state. There are (4) Zoological Parks and (6) Deers Parks in the State for ex situ conservation of wildlife. Development Activities during 2011-12 Centrally Sponsored Schemes Integrated Development of Wildlife Habitats: The high priority Protected Areas with rich biological diversity are funded through the Centrally Sponsored Schemes. Project Tiger: Nagarjunasagar Srisailam Tiger Reserve (Rajiv Gandhi Wildlife sanctuary) was established in the year 1979 and attained the status of Tiger Reserve in 1983. This tiger reserve sprawls over an area of 3,568.09 Sq. Kms. in parts of (5) districts of Kurnool, Prakasam, Guntur, Nalgonda and Mahaboobnagar. The mixed dry deciduous forests of this Sanctuary contains rich biodiversity of both floral and faunal species. About (353) species of medicinal plants are known to occur in this area. Considering the geo-morphological, ecological, hydrological values, this project plays a vital role in protecting not only the tiger as an apex animal, but also the whole eco-system of the important Nallamalai region. Presently, there are more than tigers are found. It has large and sufficient prey base ranging from spotted deer, sambar, four horned antelope, chinkara, wild boar etc. This project represents and protects the Biodiversity of (6d & 6e) of biogeography of the country. As seen from the population 65

estimation now the tigers are in increasing trend from 34 in the year 1994 to 70+ in 2011. It is all because of a good management practices and protection of the habitat and the animals from poaching. The increase in wild animal population has become possible with the help of 115 EcoDevelopment Committees (EDCs) and a sustained efforts of the staff and the administration. The management of this project has been guided by an approved Biodiversity Management Plan based on the scientific outputs given by the Biodiversity research wing. Strengths of the Project: This project is located in the countrys one of the rich biodiversity hot spot having a contiguous landscape of a good forest eco-system of unfragmented Nallamalais of the Eastern Ghats. Many undiscovered flora and fauna area still existing in this area of which a few new species have been discovered by the Forest Department. As it is the project is going on sound principles of conservation and management. Almost the project is now manned by professionally trained officers. Habitat is well protected and good browse and grazing material is available to sustain large number of herbivore population for sustaining the highly endangered top predatory species the Tiger. Achievements: Peoples participation through (115) EDCs has been made mandatory and most of the peoples problems are mitigated. Upgradation of skills of Stakeholders: About 1140 trainings & workshops organized involving about 700 staff, 434 representatives of N.G.Os, 130 employees of Govt. Departments, 7580 villagers, 4836 EDC members Employment generation through regeneration of Forests (2000 Ha. Every year generates about 3,20,000 man days @ Rs.120 lakhs.)

Successfully taken up a good habitat management practices resulting in increase of the Tigers, Co-predators and their prey species. The Sanctuaries and National Park including Nagarjunasagar Srisailam Tiger Reserve under Project Tiger are being developed under the State and the Centrally Sponsored Schemes. The Rayala Elephant Reserve including the Koundinya Wildlife Sanctuary has been established for the Elephants that have migrated from the adjoining States and is being developed under Project Elephant. The State Board for Wildlife and the Zoo Authority of Andhra Pradesh have been constituted for advising the Government on protection and conservation of wildlife in the State. Restoration in Kolleru Lake Eco-System For restoration of the Kolleru Lake, an Integrated Management Action Plan for Kolleru Sanctuary with an outlay of Rs.950.56 Crores for a period of 5 years has been prepared through an expert consultant, Wetland International South Asia, New Delhi. This will be implemented after its approval. Proposals were submitted to GOI for sanction of Rs.220.00 lakhs. Restoration of Mangroves Forests: A target area of 5600 Hectare of degraded mangrove and blank areas in Godavari and Krishna river estuaries has been taken up for restoration of the mangroves under Tsunami Mitigation activity through the World Bank aided A.P. Community Forest Management Project. So far mangrove plantations are raised in 3042 hectares. Special measures for Tiger Conservation: As per the provisions of Wildlife (P) Amendment Act, 2006 instructions of National Tiger Conservation Authority (NTCA), a Steering Committee has been constituted for the State with the Honble Chief Minister as Chairman to look into Tiger Protection. The Andhra Pradesh Tiger Conservation Foundation (APTCF) which receives funds from various sources directly has also been established recently to take care of the 66

development and conservation efforts focused on tigers in the State. Research Activities: The Bio-diversity conservation laboratory has been setup at Nagarjunasagar, Srisailam Tiger Reserve, Srisailam and the various research activities are being taken up. This includes preparing an inventory of the Biodiversity of Nagarjunasagar - Srisailam Tiger Reserve and other P.As. Environmental Education: The Curator, National Parks, Hyderabad and other Protected Area Managers have been bringing out several Educational material for various target groups including the school children on environmental education. Booklets on the Protected Areas, Endangered species etc., are being brought out including periodical Newsletter viz. Palapitta.
Forest Protection Schemes: Intensification of Forest Management Scheme

The objectives of the scheme are prevention and control of fire, Survey and Maintenance of boundaries, preparation of working plans, development of infrastructure and protection of forests and wildlife.
Scheme for Maintenance of Forests Grants of 12th and 13th Finance Commission:

Under this Forest Protection Scheme, it was envisaged to create infrastructure for protection of forests and wildlife by providing mobility to the staff, engaging of Tribal Helpers as striking force, and base camps, Dog squad maintenance, Survey and demarcation of Forest land, constructing of internal roads in the Forests, building and information network etc. The main objective of the scheme is to ensure protection to forests and wildlife. 12th Finance Commission: The Twelfth Finance Commission (TFC) has recommended a total grant of Rs.3788.65 Crores for Andhra Pradesh to be spent from 2005-06 to 2009-10. Out of the above grant, an amount of Rs.65 Crores was earmarked to Forest Department for maintenance of Forests. 13th Finance Commission: The Government of India Communicated the allocation of Rs.26864.00 Crores for Forestry

Sector to Andhra Pradesh for five years commencing from 2010-11 to 2014-15. Out of which an amount of Rs.596.43 lakhs is for Forest Protection Component, which has been revised to Rs.479.250 lakhs. During 2011-12, the Government have released an amount of Rs.1203.90 lakhs as revalidation amount of 2010-11 for utilization in 2011-12. Out of this, an amount of Rs.185.89 lakhs is meant for Forest Protection Component. Andhra Pradesh Forest Development Corporation: The Andhra Pradesh Forest Development Corporation was established in 1975 on the recommendations of the National Commission on Agriculture, with an objective to raise massive plantations to cater to the needs of wood based industries. Objectives: To raise large scale plantations to meet the demands of forest based industries with species such as Eucalyptus, Bamboo, Coffee, Cashew etc. To generate gainful employment to the landless poor, particularly in remote and agency areas. To undertake consultancy services to the industries to raise and maintain plantations in their vicinity. The plantations raised by APFDC upto 31st October, 2010 and 2011 are shown in Table 5.17. Table 5.17 Area Planted by APFDC (Area in Hectares) Species Upto Oct, 2010
Eucalyptus (Seed origin) Eucalyptus (Clonal) Bamboo Cashew Coffee Teak Medicinal plants Casuarina, Pines and other Misc. species 15983.94 40358.92 12068.56 9526.22 4010.00 844.32 524.80 352.29 83669.05

Total
Source: Forest Department

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New Initiatives: Eucalyptus Plantations: The APFDC has proposed to expand raising of the Eucalyptus Clonal plantations over 40,000 hectares. Bamboo Plantations: Besides the old (1976-1983) 7,149 Hectares of Bamboo plantations raised, new plantations over 4,920 hectares (1999-2011) with intensive site management practices. Due to better management practices, as against the normal rotation of 3 years, 2 years rotation has been adopted thereby increasing the revenues. The Corporation is intending to expand the Bamboo plantations over 2500 Hectares under National Bamboo Mission. This will ensure more supply of raw material per annum to the Paper Industries besides raw material to the artisans. Coffee Plantations The Corporation is maintaining about 4010 Hectares of coffee plantations in the agency areas with intensive cultivation practices by the scientific methods. These plantations are generated about 6.00 lakh mandays of employment to the tribals all around the year. Scheme proposals are sent to GOI to expand the Coffee Plantation areas over 10000 Hectares in the agency areas of Eastern Ghats. Pepper Cultivation APFDC had 4.09 lakh Pepper standards in its Coffee Estates, comprising of high yielding varieties like Panniyur-I, Purnima, Sreekara, Subhakara, Panchami, Panniyur-5. Cashew Plantations The Corporation has raised cashew plantations over an area of 9526 hectare along the coastal belt in Prakasam and Nellore districts and in the inlands of Khammam, West Godavari and Chittoor districts. Presently, the older plantations are being replanted with high yield cashew varieties using scion banks. Planting over 100-150 hectare is being taken up annually under this programme. Eco -Tourism APFDC has entered into the field of development of Eco-Tourism in Andhra Pradesh, with the investment from private

entrepreneurs for developing infrastructure and tourist amenities. The Hyderabad Botanical Garden near the Hi-tech City and Mahavir Nischal Van projects are already opened to the public. The Rajiv Eco-Park is developed on the lines of Botanical Garden to conserve local species and for propagation and to serve as a Study Centre at Idupula paya and Shamirpet Eco Park and they were opened to public. Projects like Night Safari, Bird Park, Chilkur National Park and Nehru Zoological Park are in the pipeline. Other Activities: The Corporation has diversified its activities by providing consultancy services in afforestation to the industries such as NTPC, SCC Ltd., Heavy Water Plant, Ordnance Factory, ICRISAT and institution like Osmania University and supplying high quality Eucalyptus clones to public and institutions. It is acting as an Agent to the Government for carrying out the Trade of Beedi Leaves and for disposal of Red Sanders Wood.

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SERICULTURE
5.7 Sericulture in A.P. is a sustainable farmbased economic enterprise positively favouring the rural poor and the unemployed youth yielding regular returns in 4 to 5 splits from one acre of mulberry by providing employment to (5) persons throughout the year. An important feature of Sericulture Industry is involvement of women around 60%. Realising the importance of the activity the Government have earmarked adequate outlay for Sericulture sector for implementation of various schemes Andhra Pradesh is the second largest producer of Mulberry and tasar cocoons in the country, and Muga culture is in initial stage. Andhra Pradesh has the privilege of producing all 4 types of silk called Tasar, Eri, Muga besides mulberry being predominantly practiced in Tribal areas of the State. As vast tracts of forest based tasar plantations are available in the State, judicious exploitation for rearing tasar silkworms can offer supplementary gainful employment for tribals.

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New Initiatives: 1) Linkages to Farm Sector: State Government have recently announced the following incentives to the Sericulture Farmers and Reelers. Providing an incentive amount of Rs.40/- per kg for Bivoltine Hybrid Cocoons and Rs.20/per kg for Multivoltine Cocoons transacted in Govt. Cocoon Markets. Incentive amount of Rs.102.90 Lakhs was disbursed to 2003 BVH Farmers and Rs.11.29 Lakhs was disbursed to 782 CB farmers. The BVH cocoon arrival has increased (i.e., from 549.311 Mts to 670.833 Mts) in the cocoon markets of AP with the introduction of incentives to the farmers on BVH Cocoons. 2) Linkages to Non Farm Sector: Providing of incentives on silk production Rs.130/- per kg for bivoltine silk produced on multiend silk reeling units. Rs.80/- per kg for Multivoltine silk produced on multiend silk reeling units. Rs.30/- per kg for motorized charka, backend Italian model charka & cottage basin silk in the State. An incentive amount of Rs.76.489 Lakhs was disbursed to an allowed quantity of 142.831 Mts of silk produced on Charkas, Cottage Basin, Multiend , and Automatic reeling unit 50% subsidy on the cost of the reeling sheds. 90% subsidy for conversion of Charka / Motorized charka to backend Italian model reeling machinery. Establishment of silk exchange in Proddutur of Kadapa District and Hindupur of Anantapur district for dupion and raw silk trading. .The Mini spun silk mill under private sector M/s Indian Silk Mills for marketing of Eri cocoons has been established at Parigi in Hindpur division, which is a boon to the poor and dry land Eri farmers of the State which can process 79.20 Metric tonnes of eri spun silk yarn and 36.432 Metric tones of noil yarn per 69

annum. The consumption capacity of the unit is 70 Metric Tonnes of Eri Cocoons. The unit will take care of the Eri cocoons produced from 5000 7000 acres of Eri food plantation of tapioca or castor. To encourage post cocoon activity and to bridge the gap between On farm and Non-farm Sectors to maximum extent, one Chinese Automatic Reeling Unit under Private Sector is established with an annual production capacity of 24 Metric Tonnes of Bivoltine Raw Silk at Janagaon of Warangal District with a unit cost of Rs.2.67 crores, out of which, Rs.1.00 cr. subsidy was equally contributed by GOI & GOAP. The unit is functioning well and has produced a quantity of 45.563 Metric Tonnes of Bivoltine Silk of International Standards upto March. 2011. Impact of Initiatives: The BVH cocoon arrivals have increased from 549.311 MTs to 670.833 MTs in the cocoon markets of Andhra Pradesh with the introduction of incentives to the farmers. Hitherto, most of the cocoons were purchased in Andhra Pradesh by Karnataka Reelers and got converted into silk in Karnataka State. With the impact of Government initiatives, a quantity of 3184.390 MTs of cocoons was consumed by the local reeling units in the State out of the total quantity of 3,767.984 MTs transacted in the cocoon markets, which constitutes about 84%, during 2010-11 Promotion of new technologies at the field level for increasing the productivity. Plantation with high yielding varieties. Maintenance of exclusive chawkie gardens for Supply of Silkworm seed. Promotion of controlled irrigation system like DRIP Mass Disinfection Programme to reach all practicing Sericulturists. Separate pucca-rearing houses with shoot rearing for Cocoon production. Human Resource Development.

Research & Development to evolve suitable silk worm races for the state requirements. Promotion of Multi-end silk reeling, twisting, processing units and looms. Schemes implemented: I. Mulberry sector Central Silk Board Schemes (CDP Schemes) are implemented by providing associated facilities with subsidy on the unit cost shared by CSB and State for A) separate pucca rearing shed (Rs 1.50 Lakhs of which 50% is subsidy) B) providing irrigation facilities (Rs 40,000/- per hectare of which 75% is subsidy) C) Supply of Saplings (Rs. 5500/per acre of which 75% is subsidy) D) Rearing equipments (Rs.40,000/- of which 75% is subsidy). A) Construction of rearing sheds under CDP: To ensure hygienic conditions and to prevent contamination during silk worm rearing, construction of a separate pucca silk worm rearing house is very essential. Therefore, a scheme for construction of rearing shed has been sanctioned under CDP with a unit cost of Rs.1,50,000/- to each of Bivoltine farmer with a pattern of assistance of 25:25:50 by Central Silk Board, State Government and Beneficiary contributions respectively. So far 15,233 rearing sheds were constructed of which 10,007 sheds were equipped with shoot feeding stands. B) Irrigation and other water conservation and usage techniques: Focus is made on conservation of available water resources to the extent of maximum utility. The scheme of Irrigation and other water conservation and usage techniques is implemented under Catalytic Development Programme with a unit cost of Rs.40,000/per hectare, of which Rs. 25,000/- subsidy provided by the CSB and Rs.12,500/subsidy provided by the State and the balance Rs. 12,500/- is the beneficiary contribution. An extent of 7,366 acres of mulberry has been covered with irrigation facility including drip up to the end of March, 2011.

C) Supply of Saplings: The objective is to procure saplings of High Yielding Mulberry varieties from Kisan Nurseries raised by farmers for supply to New Farmers and Sericulturists who desire to replant their mulberry plantations with the improved varieties and to increase productivity and quality of leaf which in turn leads to increase in the production of cocoons, at low/marginal cost. The pattern of assistance under the scheme is 50:25:25 i.e., CSB: State Govt.: Beneficiary Contribution for raising of one acre with High Yield Variety Mulberry. The farmers will be provided @ Rs.4,125/- as subsidy against the Unit cost of Rs.5,500/-, which is of basic help to the farmers who comes under the fold of mulberry. An extent of 24.421 acres of mulberry has been covered with saplings up to the end of March, 2011. D) Rearing equipments: Farmers are encouraged to take up Bivoltine Sericulture by providing assistance in purchasing modern tools and equipments which makes mulberry cultivation and rearing more efficient and viable. The pattern of assistance under the scheme is 50:25:25 i.e., CSB: State Govt.: Beneficiary Contribution. Farmers will be assisted for procurement of shoot rearing equipment and supply of Plastic Trays & Mountages for conducting Bivoltine Silkworm Rearings. The farmer will be provided with a subsidy of Rs.30,000/- against the Unit cost of Rs.40,000/- which will encourage the farmer to take up Bivoltine Sericulture and harvest successful crops with the help of modern tools and equipment 10,007 farmers are provided with rearing equipments under the scheme up to the end of March, 2011. Normal State Plan schemes: Supply of disinfectants worth of Rs. 1,500/- per shed to the Sericulture farmers to increase productivity. Procurement of tassar cocoons for production of DFLS and supply to tribal tasar rearers. Supply of High yielding variety saplings with a subsidy of Rs 6,600/- per acre Subsidy of Rs. 100/- to farmers for supply of 100 Bivoltine layings. 70

II. Non-Mulberry Sector: Tasar culture 1500 tribal families are engaged in rearing of Tasar silk worms on the food plants available in the forest areas of Adilabad, Karimnagar, Warangal and Khammam Districts. The department has produced 200 Lakhs of Tasar cocoons in the tribal belt of northern Telangana region covering 2803 beneficiaries. During 2010-11, a quantity of 125.77 lakhs of tasar cocoons are expected to be produced by tribal farmers. Ericulture Andhra Pradesh is having larger extent of Castor and Tapioca plantations particularly in MahabubNagar, Nalgonda, Rangareddy and East Godavari districts. The farmers can utilise 30% of the castor / Tapioca leaf for rearing of Eri silk worms without any deterioration in the yield of castor seed and Tapioca tuber, to get additional income of Rs.2,000 to 4,000. The department in coordination with the Central Silk Board under Catalytic Developmental programme is implementing an Eri project to create additional income to castor / Topioca growers through rearing of Eri silkworms in Nalgonda, Mahaboobnagar and East Godavari Districts. During 2010-11 a quantity of 12.101 MTs of eri cocoons was produced by 500 Castor/ Topioca farmers. The programme is extended to Kurnool and Ananthapur Districts. Research and Development: Andhra Pradesh State Sericulture Research and Development Institute, Hindupur is functioning with the main intention to evolve new races, capable of producing International grade cocoons/silk. A new project entitled Identification of DNA markers for baculovirus resistance in Silkworm was presented to DBT New Delhi for financial sanction. Six new hybrids developed by the institute have been submitted for National Silk Worm Race Authorisation Tests (200912) to be conducted by CSB and the tests were already commenced. Bivoltine hybrids with disease resistance races are under field trials. In addition, certain eco-friendly user disinfectants such as Seri-Gold, Seri-Clean, Seri-Plus, Shakthi and Abhaya etc., are

released to the fields, there by the production of cocoons increased from 5 Kgs to 10 Kgs by the farmer. The details of progress under Sericulture are given in Annexure 5.26. The achievements during 2011-12 are shown in the Table 5.18. Table 5.18 Sericulture - Achievement during 2011-12
(up to Sept. 2011)

Area under Mulberry - Acres DFLs Production including private & Govt.(Lakh Nos.) Cocoon Production (MTs) Tasar cocoon Production (lakh Nos.)
Source: Sericulture Department

96018 39.833 22727 28.18

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AGRICULTURAL MARKETING
5.8 Well-functioning markets are the need of the hour for the agriculture sector for driving growth, employment and economic prosperity in rural areas. With the fast changing production-consumption scenario, the requirement of cold storages in markets has increased manifold especially where perishable commodities are brought for sale. Currently all over the country, agriculture markets are regulated under respective State Agriculture Produce Marketing yards. In Andhra Pradesh, comprehensive market legislation came into force in 1966 covering the entire state called the Andhra Pradesh (Agricultural Produce and Livestock) Markets Act 1966, after integration of the Hyderabad Agricultural Produce and Livestock Markets Act, 1930 and the Madras Commercial Crops Act, 1933. The salient features of the Act are: To regulate sale and purchase of Agricultural produce To declare notified areas and notified markets for regulation To constitute market committees for each notified area for regulation To license all the persons intending to trade in the notified agricultural market area To levy and collect the market fee 71

To construct and develop market yards for regulation To prohibit collection of all unauthorized charges in the sale and purchase of agricultural produce To arrange sale and purchase of agricultural produce in the market by open auction or tender system To collect and disseminate market information for the use of farmers and traders. There are 330 Agricultural Market Committees in the State under which 906 market yards are notified in the State. Each Market Committee consists of 18 members viz., 11 members from growers, 3 from traders and the other four from the representatives of local bodies and Government Departments. The Committee is headed by a Chairman from grower members. All the members are nominated by the Government. Every Market Committee has a Secretary who is the executive authority of the Market Committee. All staff of the Market Committee are appointed by the Market Committee / Director of Marketing /Government as per AP (AP & LS) Markets Rules, 1969. Market Committee is responsible for the effective implementation of the Markets Act and the AP (Agricultural and Livestock) Market Rules, 1969 and the Bye-laws of the Market Committee. Every Market Committee is a corporate body having perpetual succession. The Commissioner& Director of Agricultural Marketing is the authority at State level to supervise and control all the Market Committees for effective implementation of the Act, Rules and the Bye-laws and report to the Government about the working of the Market Committees. The Market Committees levy and collect market fee at the rate of 1% advolerum on the sale and purchase of notified agricultural produce payable by the purchasers of the produce. The market fee is the only source of income for the Market Committee, which is self generating and is called Market Committee Fund deposited in a scheduled bank operated through treasury. The market fee is utilized mainly for the development of markets and creation of 72

facilities to the users of the markets i.e., growers and traders and other functionaries and for other allied purposes specified by Government from time to time. The Market Committees have collected Rs.472.28 crores towards market fee during 2010-11 and Rs.248.98 crores during 2011-12 (upto Oct. 2011). The Market Committees shall remit 10% of the annual income to a separate fund called Central Market Fund (CMF). This fund is under the control and operation of the Commissioner & Director of Agricultural Marketing. The Central Market Fund is expended mainly to provide loans to Market Committees besides grant-in-aid to the financially weak Market Committees. Government is empowered to spend the CMF by special or general order for any purpose for the development of agricultural marketing and its allied activities. Keeping in view of the objectives, the Department has envisaged a Farmers Charter for implementation. The charter provides for: 1. Right of information regarding prices 2. Ensuring fair value for the produce 3. Ensuring accurate weighing 4. Freedom from unscrupulous traders and trade practices 5. Ensuring payment on the same day 6. Providing human and animal health care 7. Providing quality inputs. The Department has installed computers at 334 Market Yards for regular inflow of information on prices. It has also installed Audio Video Display systems(AVDS) at 50 market yards so far. Prices of all major commodities are displayed through these video systems for the benefit of the farmers everyday. The Department has also established Interactive Voice Response System (IVRS) through which anyone from anywhere can dial the dedicated telephone number and find out the prevailing prices of all major agricultural commodities at all major market yards. The prices are updated everyday. (IVR No.23260100) Administrative measures have been taken for tracking the farmers at major market yards under help the farmer programme. Under

this, the market yards have been divided into segments. Each segment has been entrusted to a responsible officer. This Officer shall, during the arrivals, take notice of every farmer who comes with his produce into his segment. He will help the farmer to get a fair price, for accurate weighment and also make sure of prompt payment. This system has paid rich dividends in winning the goodwill of the farmer. Electronic Weighing machines have been introduced in important market yards for ensuring accurate weighment of the farmers produce. The Market Rules have been amended for use of Electronic weighing machines only. Rythu Bandhu Pathakam Under the Rythu Bandhu Pathakam, the Department has spent Rs.12.97 crores during 2011-12 for providing pledge loan to the farmers to help them to avoid distress sale of their produce. During the year 2011-12(Upto Nov.) 643 farmers as against 3024 farmers in 2010-11 have been benefited under Rythu Bandhu Pathakam. No interest is charged for first 3 months. There are no budgetary restrictions for sanction of loans under this scheme. Rythu Bazars There is a network of 106 Rythu Bazars in the State. About 45,000 farmers are selling over 1.75 Lakh quintals of vegetables, on an average, every week through these Rythu Bazars directly to the consumers. Mobile Rythu Bazars are operating in Hyderabad and Vijayawada cities for selling graded vegetables. This has proved to be a good success. (A separate website has been created exclusively for Rythu Bazars for Arrivals and

Prices information. (www.rythubazars.com) or 121.243.139.68/rbz. Farmer Awareness Programmes and Health Camps 5% of Market Committee Income has been earmarked for farmer Awareness programmes. Free medical camps for farmers and their cattle are conducted every Quarter with the funds of Agricultural Market Committees, by spending Rs.40,000/- each quarter. In addition to the above, modernization and development of market yards has been taken up with the Government of India assistance as detailed below: 6-Markets, viz., Suryapet, Miryalaguda, Devarakadra, Gadwal, Pargi and Mulugu, have been identified for Modernization under the scheme with an outlay of Rs.22.93 crores for 95 Works with 50% loan from Bank and 25% contribution from AMCs and 25% backend subsidy. Strengthening of 1 Jute market under the scheme Mini Mission III of JTM, GOI involving an amount of Rs.1.00 crore with 60% grant from GOI and 40% AMC share is under process with Jute Corporation of India, Kolkata to benefit North-Costal Andhra Districts. Terminal markets are proposed at Hyderabad, Visakhapatnam Tirupati and Guntur to deal with perishable commodities (Fruits and vegetables). Recently Government of India revised the Guidelines. Action has to be initiated as per the revised Guidelines.

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6. INDUSTRIES
6.1 The pace of industrial growth in the State has quickened in the recent years and almost all the sub-sectors of the Industry sector including manufacturing have shown considerable dynamism. It will be necessary to build on this momentum and impart additional impetus to generate high growth in Industry and even higher growth in manufacturing. This will not only provide the additional job opportunities to absorb some of the surplus labour in the rural workforce but also generate employment for the new entrants into the labour force. A positive mindset and increased skilled labour force across the industries played constructive role in this growth process. The department of Industries was set up with the objective of establishing Cottage and Small Scale Industries, Industrial Cooperatives and extending credit to artisans. Block-level training-cum-production centres, Rural Artisan Complexes and Guilds were established for giving necessary training to the artisans in rural areas. The Department has transformed into a technical and promotional agency for providing necessary assistance and service for establishment of Industries. It has implemented several Self Employment Schemes promoted by State and Central Governments for educated unemployed youth. Necessary technical guidance and required services are provided to other Government agencies like District Rural Development Agency, Youth Services, STEP societies, SC/ST/BC/ Minorities/ Womens finance corporation etc by providing necessary technical guidance. The department is now entrusted with the task of attracting investments (domestic and foreign) by preparing suitable policies for various sectors of the Industry and explore the availability of resources, provide conducive industrial environment, increase in labour intensive industries, improve the exports by providing market inputs to exporters. The focus is on development of key sectors like Pharmaceuticals, Biotechnology, Food Processing and Agro based, Chemicals, Leather, Textiles, precision components, Aero-space Engineering, Electronics and Semiconductors and Automobile & Autocomponents to accelerate the industrial growth in the State by creating Sector specific industrial infrastructure such as Biotech Parks, Textile Parks, Leather Parks Auto Parks, Fab city and Hardware Parks. District Industries Centres: District Industries Centres were established in 1978 to serve as the nodal agency in the District to assist the entrepreneurs for establishment of the Industries. These centres provide all the required approvals/ clearances for setting up an Industry under Single Window. The District Industries Centres are implementing agencies of MSMED Act and issue Entrepreneur Memorandum (EM) for Micro, Small and Medium Enterprises (MSME) besides maintaining effective liaison with various financial institutions in arranging required credit facilities. The information pertaining to the Industrial development of the district is maintained in these centres. Single Window Act: Government have enacted Industrial Single Window Clearance Act in 2002 for speedy processing and issue of various approvals / clearances / permissions required for setting up of an Industrial undertaking and also to create an investment friendly environment in the State. Statutory time limits have been prescribed for various departments and concept of deemed approvals have been introduced under this Act. Since beginning of the Single Window Act, 86,447 clearances were issued under Single Window in respect of 55,983 units with a proposed investment of Rs.4,23,003 Crores and an employment potential of 13,28,696 persons(as on 31-07-2011).District Industries Centres (DIC) have been delegated the powers to process the proposals up to Rs.5.00 crores investment in Plant & Machinery in District Single Window Clearances Committee (DSWCC).

74

Large Scale Industries: After introduction of Industrial Policy in 1991, Andhra Pradesh has received investment intention (IEM) for 7,346 proposals with an investment of Rs. 7,78,494 crores to provide employment to 13,49,084 persons so far (up to 30.09.2011). Out of the above, 3,132 proposals have gone into production with an investment of Rs.73,858 crores providing employment to 4,79,900 persons. Status of implementation as on 30.09.2011 is shown in Table 6.1.
Table 6.1 Large Scale Industries No. of Invest- Proposed Employ Status Propos ment proposed ment als (Rs.Cr) Gone into 3132 73858 479900 Production Under 525 86448 134482 implementation Initial Stages 1867 500167 433353 Dropped 1822 118021 301349 Total 7346* 778494 1349084 Source: Industries Department *Many existing and proposed Medium and Large Scale Industries were converted as Small and Medium Enterprise based on the investment limits specified in MSMED Act, 2006.

Table 6.2 Foreign Direct Investment(FDI) Equity Year (Jan-Dec) Amount(Rs. Crores)

Till 1999 2000-2005 2006 2007 2008 2009 2010 2011 (up toSept.11) Total
Source: Industries Department

9613 2737 2518 3185 6203 5440 5515 46.40 35,257.40

The details of Large & Medium industries proposals, investment and employment are given in Annexure 6.1. Mega Projects Project with investment more than Rs.250 crores are called Mega Projects as per the new Industrial Promotion Policy 2010-15. Since inception, as on 30-09-2011, 125 Mega Projects with an investment of Rs.53,023 crores have gone into production creating employment to 2,90,390 persons. 86 Mega Projects with an investment of Rs.77,988 crores are under active implementation to provide employment to 60,258 persons and 366 units with an investment of Rs.3,77,301 crores are in initial stages of implementation. Foreign Direct Investment: The State has received Rs. 35,257.40 crores of Foreign Direct Investment (FDI) inflows as equity as on September and the year-wise equity flow is shown in Table 6.2.

Micro, Small & Medium Enterprises: Investment limits were enhanced with the enactment of Micro, Small & Medium Enterprises Development (MSMED) Act, 2006. Government of India have unveiled a policy best suited for the Micro and Small enterprises with the objective of achieving 15% annual growth rate, increasing employment generation, creating congenial and hassle-free environment, help the SSI sector to acquire new technologies and skills, improve the export performance, promote linkage between the Large and Small Sector and to promote an appropriate institutional mechanism to revive sick industries. During 2010-11 and 2011-12 (as on 30-112011), 24,974 Micro, Small and Medium Enterprises are established providing employment to 3,92,821 persons involving an investment of Rs.33,220.91 crore. The details of Micro Small and Medium Industries established, investment and employment are shown in Annexure 6.1.
Micro, Small & Medium Industries Units, Investment & Employment
550 500 450 400 350 300 250 200 150 100 50 0 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11

Units, Investment & Employment

Units ('00s)

Investment (Rs. 10s Crs)

Employment ('000s)

75

Prime Ministers Employment Generation Programme (PMEGP): Government of India have introduced a Credit linked subsidy programme called Prime Minsters Employment Generation Programme (PMEGP) from September 2008 by merging the two schemes i.e., PMRY & REGP for generation of employment opportunities through establishment of Micro enterprises in rural as well as urban areas. The PMEGP is a Central Sector Scheme implemented by Ministry of Micro, Small and Medium Enterprises and will be implemented by KVIC, a statutory body created by the Khadi and Village Industries Act, 1956 which will be the single National Level implementation agency for PMEGP. It will directly execute the programme in rural areas as defined in the KVIC Act in association with KVIBs. The scheme will be executed in other rural areas as well as urban areas by the State Governments through Commissioner of Industries and District Industries Centres. The subsidy will be placed at the disposal of participating banks by the KVIC in respect of targets that will be allocated to DICs. Once the State Level Committee accepts the proposal, the Commissioner of Industries shall draw the eligible interest subsidy on annual basis and reimburse to the financing bank. The scheme envisages 15% reservation for SCs, 7.5% for STs. 27% for OBCs, 5% for Minorities 1% for Ex-Servicemen, 3% for physically handicapped, 30% for Women (overall). Objectives of the Scheme i. To generate employment opportunities in rural areas and urban areas through self employment ventures. To bring together widely disbursed traditional Artisans, Rural and Urban unemployed youth and give them Self employment opportunities to the extent possible, at their place. To provide continuous and sustainable employment to a large segment of traditional and prospective artisans and Rural and Urban unemployed youth in the country so as to help arrest 76

migration of youth from Rural to Urban Areas. iv. To increase the Wage earning capacity of Artisans and contribute to increase in the growth rate of Rural and Urban employment. v. Self Help groups (including those belonging to BPL provided that they have not availed benefit under any other scheme) are also eligible for assistance under PMEGP. vi. Assistance under the scheme is available only for new projects sanctioned specifically under the PMEGP. vii. Beneficiarys contribution is 10% of project cost for general categories and 5% for Special Categories (including SC/ST/OBC/Minorities /Women, Exservicemen, Physically handicapped, NER Hill and Border area etc.) viii. Margin Money (rate of subsidy) for general categories will be 15% in urban, 25 % in rural areas. For special categories, it will be 25% in urban and 35% in rural areas and will be a one time assistance. ix. Normal rate of interest shall be charged. Repayment schedule may range between 3 to 7 years. x. No Collateral security will be insisted upon by Banks in line with guidelines of RBI for projects involving loan up to Rs.5.00 lakhs in respect of projects cleared by the Task Force. Guidelines for implementation of the Scheme: 1. Any individual above 18 years of age is eligible to take up Business / Service / Industry venture without Income Ceiling. 2. For setting up of project costing above Rs.10.00 lakh in manufacturing (Industry) sector and above Rs.5.00 lakh in the Business/ Service sector, the beneficiaries should possess at least VIII standard pass educational qualification. 3. The maximum cost of the project / unit admissible under manufacturing(industry) is Rs.25.00/Rs.10.00 lakhs under Business/ Service sector.

ii.

iii.

The PMEGP scheme is being implemented by the Industries Department w.e.f. 2009-10 and the details of the progress made are as indicated below:
Year No of units grounde d 702 906 655 Amount disburse d in Rs Crs 21.97 23.59 20.11 Emplo yment

2009-10 2010-11 2011-12

17730 14200 6550

In all, 655 projects under PMEGP have been established in the State during 2011-12(till the end of Sept.2011) for which total margin money released was Rs.20.11 crores. Warangal district with 69 projects and with margin money of Rs. 1.92 crore, tops the list in the State. The District-wise details of PMEGP projects established and margin money released are given in Annexure 6.2. Rehabilitation of Sick SSI units: Government have introduced a Scheme called A.P. Small Scale Industries Revival Scheme (APSSIRS) to address the problem of sickness in SSI sector. Under APSSIRS, the Special Cell has sanctioned 58 relief and concessions. Subsequently, the Government have launched a new revised scheme i.e., A.P. Small Scale Sick Industries Revival & Rehabilitation Scheme-2006 (APSSSIRRS) for revival of sick enterprises to cover rehabilitation of potentially viable enterprises and to prevent incipient sickness. Government also decided to set up A.P. Small Scale Industries Revival and Rehabilitation Fund for the purpose of partially compensating the sacrifices made by the Financing Institutions, Banks etc. The following relief and concessions are being made available. i. Relaxation from ULC Act. Grant of permission to mortgage surplus land by exempting it under section 20 of the Urban Land Ceiling (ULC) Act in favour of banks / financial institutions, as proposed in the Industrial Investment Promotion Policy 2005-10. ii. Healthy Industrial Relation: The labour department would take proactive action for amicable settlement of disputes between management and representatives of 77

labour so as to ensure success of the rehabilitation package with the cooperation of the workers. iii. Interest rebate to Bank/Financial Institutions: The backbone of the new revised policy is to encourage the Banks/Financial institutions for servicing the sick units and provide a rehabilitation package for their quick revival to join the main stream. 6% interest subsidy will be provided to all the identified /eligible sick units, subject to maximum of Rs.2.00 lakhs per year for a maximum period of three years. However, the component of the interest to be reimbursed shall be projected by the Financing Bank and the balance percentage of interest charges shall be borne by the beneficiary (which includes surcharge and penal interest etc. iv. Deferment of Commercial Tax (CT) Arrears: Arrears of payment of purchase tax, sale tax and interest towards non-payment of sales tax shall be deferred for 3 years from the date of grant of revival package. The amount so deferred will be recovered in six equal half yearly installments effective after three years tax holiday. v. Relief in Energy Charges: a) If the sick industrial unit under consideration has to pay arrears of Current Consumption (CC) charges, it may be given choice either to pay the entire arrears of CC Charges up to the date of disconnection with interest and 4 months minimum charges during closure period without interest + Contracted Maximum Demand (CMD) charges in one lump sum for new connection, the percentage of interest charged by APTRANSCO/DISCOM on the arrears of CC charges will be subsidized to the extent of 15% of interest charged from out of the percentage of the total interest charges and the same will be paid to APTRANSCO subject to a maximum of Rs.5.00 lakhs and the balance percentage of interest charges shall be borne by the beneficiary (which includes surcharge and penal interest etc.). b) If the Industrial unit under consideration opts for payment of arrears of CC charges up

to the date of disconnection with interest and 4 months minimum charges during closure period without interest + CMD charges in 3 annual installments then it will be permitted to pay by 1/3 of the dues each year, with reimbursement of 15% of the interest charged from out of the percentage of the total interest charged to APTRANSCO by Government, subject to maximum of Rs.3.00 lakhs per year for a period of three years. Industrial Incentives: Industrial Investment Promotion Policy 2010-2015: Government of Andhra Pradesh have announced Industrial Investment Promotion Policy 2010-2015, in the year 2010 extending various incentives for the MSME Sector and Large Industries. The Scheme covers the whole of the State except in the Municipal Corporation limits of Vijayawada, Greater Visakhapatnam Municipal Corporation and Greater Hyderabad Municipal Corporation excluding existing Industrial Estates/Parks, Industrial Estates notified/ to be notified and commence commercial production on or after 01/07/2010 but before 31/03/2015. However, the Industrial Enterprises located in Sanathnagar, Azamabad, Chandulal Baradari and Kattedan Industrial Estates of Hyderabad and Rangareddy districts are not eligible for any incentives/concessions. However, the service activities set up in all Municipal Corporation limits are eligible only for investment subsidy and all other service / business activities are not eligible for any incentives set up anywhere in the State. Project involving substantial expansion / diversification of existing industries in the eligible lines of activities are also entitled for benefits offered under the policy. Following are the incentives: 1. Micro and Small Enterprises: 1.1. 15% investment subsidy on fixed capital investment subject to a maximum of Rs.20.00 lakhs. 1.2. 100% reimbursement of stamp duty and transfer duty paid by the industry on purchase of land meant for industrial use. 78

1.3. 100% reimbursement of stamp duty for lease of Land / Shed / Buildings, mortgages and hypothecations. 1.4. 25% rebate on land cost limited to Rs.10.00 lakhs in Industrial Estates and Industrial Parks. 1.5. 25% land conversion charges for industrial use limited to Rs.10.00 lakhs. 1.6. Fixed power cost @ Rs.0.75 per unit (upper ceiling) on the proposed revised rates (2010-11) for a period of 5 years from the date of commencement of commercial production. In case, decrease in Power Tariff the reimbursement will be reduced proportionately. 1.7. Reimbursement of 100% VAT / CST or State Goods and Service Tax (SGST) for a period of 5 years from the date of commencement of commercial production to Micro Enterprises. 1.8. Reimbursement of 50% VAT / CST or State Goods and Service Tax (SGST) for a period of 5 years from the date of commencement of commercial production to Small Enterprises. 1.9. Interest subsidy under Pavala Vaddi Scheme on the term loan taken on the fixed capital investment by New Micro and Small Enterprises in excess of 3% per annum subject to a maximum reimbursement of 9% per annum for a period of 5 years from the date of commencement of commercial production. 1.10. Seed capital assistance to First Generation Entrepreneurs to set-up Micro Enterprises @ 10% the machinery cost, which will be deducted from the eligible investment subsidy. 1.11. 50% Reimbursement of cost involved in skill upgradation and training the local manpower limited to Rs.2000 per person. 1.12. 50% subsidy on the expenses incurred for quality certification / patent registration limited to Rs.2.00 lakhs for MSEs. 1.13. 25% subsidy on specific cleaner production measures limited to Rs.5.00 lakhs.

1.14. To extend investment subsidy to the identified service activities related to industries setup in all Municipal Corporation limits in the State. 2. Medium Enterprises & Large Industries 2.1. 100% reimbursement of Stamp duty and transfer duty paid by the industry on purchase of land meant for industrial use. 2.2. 100% reimbursement of stamp duty for lease of Land / Shed / Buildings, mortgages and hypothecations. 2.3. 25% rebate on land cost limited to Rs.10.00 lakhs in Industrial Estates and Industrial Parks. 2.4. 25% land conversion charges for industrial use limited to Rs.10.00 lakhs for medium enterprises. 2.5. Fixed power cost @ Rs.0.75 per unit (upper ceiling) on the proposed revised rates (2010-11) for a period of 5 years from the date of commencement of commercial production. In case, decrease in Power Tariff the reimbursement will be reduced proportionately. 2.6. Reimbursement of 25% VAT / CST or State Goods and Service Tax (SGST) for a period of 5 years from the date of commencement of commercial production. 2.7. 50% Reimbursement of cost involved in skill upgradation and training the local manpower limited to Rs.2000 per person. 2.8. 50% subsidy on the expenses incurred for quality certification / patent registration limited to Rs.2.00 lakhs for Medium Enterprises. 2.9. 25% subsidy on specific cleaner production measures limited to Rs.5.00 lakhs. 2.10. Infrastructure like roads, power and water will be provided at door step of the industry for stand alone units by contributing 50% of the cost of infrastructure from Industrial Infrastructure Development Fund with a ceiling of Rs.1.00 crore subject to (a) the location should be beyond 10 KMs 79

3. 3.1

3.2

3.3

3.4 3.5

3.6

3.7

3.8

3.9

from the existing Industrial Estates / Industrial development Areas having vacant land /shed for allotment and (b) cost of the infrastructure limited to 15% of the eligible fixed capital investment made in the industry. Scheduled Caste / Scheduled Tribe Entrepreneurs 100% reimbursement of stamp duty and transfer duty paid by the industry on purchase of land meant for industrial use. 100% reimbursement of stamp duty for lease of Land / Shed / Buildings, and also mortgages and hypothecations. 33 1/3 rebate in land cost limited to Rs.10.00 lakhs in Industrial Estates / Industrial Parks. 25% land conversion charges for the industrial use limited to Rs.10.00 lakhs. Fixed power cost @ Rs.1.00 per unit (upper ceiling) on the proposed revised rates (2010-11) for a period of 5 years from the date of commencement of commercial production. In case, decrease in Power Tariff the reimbursement will be reduced proportionately. Reimbursement of 100% VAT / CST or State Goods and Service Tax (SGST) for a period of 5 years from the date of commencement of commercial production to Micro Enterprises. Reimbursement of 50% VAT / CST or State Goods and Service Tax (SGST) for a period of 5 years from the date of commencement of commercial production to Micro Enterprises. Seed capital assistance to First Generation Entrepreneurs to set-up Micro Enterprises @ 10% the Machinery cost, which will be deducted from the eligible investment subsidy. 35% investment subsidy on fixed capital investment for Micro & Small Enterprises by SC and ST Entrepreneurs, with a maximum limit of Rs.50.00 lakhs per unit (i.e. 35% for SC and ST Entrepreneurs and 40% for SC Women and ST Women Entrepreneurs). Additional 5% investment subsidy for

units set up in Scheduled Areas by ST Entrepreneurs with a maximum limit of Rs.50.00 lakhs per unit. 3.10 Interest subsidy under Pavala Vaddi Scheme on the term loan taken on the fixed capital investment by New Micro and Small Enterprises in excess of 3% per annum subject to a maximum reimbursement of 9% per annum for a period of 5 years from the date of commencement of commercial production. 3.11 50% Reimbursement of cost involved in skill upgradation and training the local manpower limited to Rs.2000 per person. 3.12 50% subsidy on the expenses incurred for quality certification / patent registration limited to Rs.2.00 lakhs for MSEs. 3.13 25% subsidy on specific cleaner production measures limited to Rs.5.00 lakhs. 3.14 For Micro and Small Enterprises set up by SC and ST entrepreneurs, Infrastructure like roads, power and water will be provided at doorstep of the industry for stand alone units by contributing 50% of the cost of infrastructure from IIDF on Fixed Capital Investment with a ceiling of Rs.1.00 Crore, subject to a) the location should be beyond 10 kms from the existing Industrial Estates/IDAs having vacant land/shed for allotment; and b)cost of the infrastructure limited to 15% of the eligible fixed capital investment made in the industry. 50% of the cost of infrastructure is raised to 75% in respect of units set up by ST entrepreneurs in Scheduled areas. 3.15 The line of activity considered as eligible exclusively in case of Scheduled Caste and Scheduled Tribe entrepreneurs and incentive shall be extended under service activity. 4. Women Entrepreneurs. 4.1 5% Additional Investment subsidy on fixed capital investment limited to Rs.5.00 lakhs to Micro & Small Enterprises. 80

4.2 All other benefits as stated above in respect of Micro & Small enterprises. 5. Mega Projects 5.1 Mega projects i.e. projects with an investment of Rs.250 crores and above or a project that created employment to more than 2000 persons are eligible for all the incentives available for Large & Medium Scale industries. 5.2 Further, the Government will also extend tailor made benefits to suit to particular investment requirements on case to case basis. Pavala Vaddi Scheme: Government have introduced an Interest Subsidy Scheme of Pavala Vaddi to reduce the financial burden for setting up of New Micro & Small Enterprises including Food Processing Industries in the State. The Scheme shall be applicable to the Term Loan availed by eligible new Micro & Small Enterprises on or after 1-7-2010. The new Micro and Small Enterprises shall commence commercial production after 1-7-2010 and before 31.3.2015. The new Micro and Small enterprises under IIPP-2005-10, availing term loan from scheduled commercial Banks recognized by Reserve Bank of India, APSFC and SIDBI only are eligible under this scheme. 1. The reimbursable interest on term loan is that portion which is in excess of 3 % per annum, subject to a maximum reimbursement of 9% per annum. 2. The interest amount paid by the new eligible Micro & Small Enterprises to the financial institution/ banks on the term loan availed will be reimbursed with a maximum limit of 9 % on half yearly basis through the concerned Financial Institutions/Banks. Benefit will be available for period of 5 years from the date of commencement of commercial production i.e. up to 1st half of 6th year or till the closure of the term loan account whichever is earlier. 3. This reimbursement to the unit shall not include penal interest, liquidated damages etc., paid to the Financial Institutions/ Banks.

4. The benefit shall be extended only to the eligible new units which are promptly and regularly repaying the loan installments of principal and interest. 5. The loan accounts that are classified as overdue in the books of the bank at the time of half yearly closing and that which are classified as Non-performing assets year-end closing are ineligible. However, if they resume on-time repayments and regularize the arrears, they are eligible for the incentive in the next half yearly period. 6. The benefit shall be extended only to eligible new Micro & Small enterprises set up in the State except in the Municipal Corporation limits of Visakhapatnam, Vijayawada and Hyderabad. However, units under expansion/diversification are not eligible for this benefit. 7. The classification of enterprises as Micro & Small enterprises shall be as per the MSMED Act, 2006. 8. All the definitions and other guidelines not mentioned in the G.O. shall be followed as per the operational guidelines of IIPP-2010-15 Scheme. Food Processing Policy of AP: The objective of the policy is to develop value added Agro Industries in Andhra Pradesh as a major vehicle of growth for its trade and economy, to generate large scale employment in the rural areas and provide high returns to farmers, to maximize use of the opportunities and potential in Agriculture and related sectors, in which Andhra Pradesh has significant strength, by creating vital linkages and synergies between Agriculture and Industry. Government has announced various incentives under Food Processing Policy of A.P including reimbursement of Power @ Rs.1/- per unit exclusively to the Food Processing units and the other incentives will be granted as per IIPP 201015 Policy. Industrial Infrastructure Development Fund (IIDF) Government have introduced the Scheme of Industrial Infrastructure Development Fund (IIDF) for providing financial assistance to 81

develop infrastructure facilities at the doorstep of the proposed industrial estates/unit. The facilities include a. b. c. d. Drinking water and Industrial Water Electricity Telecommunications Drainage, laying of drainage line from the unit/industrial estate to the existing point or to the natural drainage point. e. Roads. f. Any other infrastructure facilities as approved by the Government; SLC. g. Common Effluent treatment plans. Industries which are declared as ineligible industries under the Industrial Policies announced from time to time are not eligible for financial assistance from Industrial Infrastructure Development Fund. Government Estates shall only be considered to have the benefits of the IIDF. Industries proposed to be located in place other than industrial areas (isolated areas) are eligible for financial assistance towards the cost of infrastructure facilities up to 50% of the cost of the project or Rs.100 lakhs which ever is less, if such a location is otherwise justified. The decision of the SLC shall be final on such eligibility. The cost of Infrastructure to be developed should not exceed more than 15% of the total project cost of the unit. Bio-technology Park: Government of Andhra Pradesh intends to provide high quality infrastructure at a reasonable cost with integrated services to Biotech manufacturing units by setting up a series of Bi-tech parks throughout the State. Shapoorji Pallonji Biotech Park is located at Turkapalli (Village), Shamirpet (Mandal), Ranga Reddy District in an area of 300 acres with a private promoter to cater the needs of increasing demand for space, an additional space of about 1.2 million sq.ft. is developed in Phase-II of the park. Apart from this, APIIC has also developed Biotech Park at Karakapatla (V), Mulugu (M) of Medak District in an area of 609 acres. Government have constituted an Advisory Committee for Biotechnology Park, which will advise the Government on the

infrastructure to be created, types of units to be allotted site in the Park etc. Growth Centers: Government of India with a view to act as magnets for attracting industries in backward districts, have approved Growth Centers to provide best infrastructure facilities available in the country in respect of power, water, telecommunications. The cost of each Growth Centre is Rs.30 crores. The financing pattern of the Growth Centre is in the ratio of 2:1. Government of India have sanctioned 4 Growth Centers to the State which are being set up at Bobbili in Vizianagaram District, Ongole in Prakasam District, Hindupur in Ananthapur District and Jadcherla in Mahabubnagar District. The APIIC Ltd., is the implementing agency for the establishment of Growth Centres. Integrated Infrastructural Development Centres (IIDC): Integrated Infrastructural Development Centres (IIDC) is to facilitate setting up of industries in rural/backward areas and to provide stronger linkages between Agriculture and Industry. The cost of the Centre will be financed by the Central Government by way of grant and the balance as loan from SIDBI. Government of India have sanctioned 6 IID centres in the State which will be developed by the APIIC Ltd. 1. IIDC, Udumulapur, near Nandyal, Kurnool District. 2. IIDC, Tada, Nellore District. 3. IIDC, Keelapattu(V) Nagari, Chittoor District. 4. IIDC, Madikonda, Warangal District. 5. IIDC, Gajularamaram, Ranga Reddy District. 6. IIDC, Surampally, Vijayawada, Krishna Dstrict. The status of implementation of above centres is as follows: IIDC, Udumulapur: The approved cost of the IID Centre is Rs.235.99 lakhs. The cost of the Centre will be financed by way of Rs.2.00 crores grant by Central Government and the balance as loan from SIDBI. Government of India have so far released an amount of Rs.65.50 lakhs as grant. The 82

APIIC Ltd. have acquired 68.55 acres situated at Nandyal (M) Kurnool district for the development of the centre. 92 plots are developed. IIDC, Tada: Government of India have approved IIDC, Tada, Nellore District with a total cost of Rs.404.69 lakhs. The implementing agency has developed the IIDC in an area of 30 acres and all the 136 plots developed have been allotted to the women entrepreneurs. IIDC, Keelapattu: Government of India have approved IIDC Keelapattu, Chittoor District with a project cost of Rs.499.10 lakhs. The development work is yet to be started. IIDC, Madikonda: Government of India have approved IIDC, Madikonda, Warangal District at a total cost of Rs.452.23 lakhs. The development work is yet to be started. IIDC, Surampally (V), Vijayawada: Government of India have approved the setting up of IIDC at Surampally village at an estimated cost of Rs.370.00 lakhs which will be implemented by Association of Lady Entrepreneurs of Andhra Pradesh (ALEAP). Government of India so far released an amount of Rs.52.33 lakhs as a grant to the ALEAP. The ALEAP is developing IIDC in an area of 29 acres which is under implementation. IIDC, Gajularamaram: Government of India have approved for setting up of IIDC at Gajularamaram, Ranga Reddy District at an estimated cost of Rs.347.00 lakhs and also released an amount of Rs.1.40 crores as a grant to ALEAP, the implementing agency. It has developed the IIDC in an area of 30 acres and developed 136 plots and allotted all the plots to the women entrepreneurs. Critical Infrastructure Balancing Scheme (CIBS): Government have introduced new scheme called CIBS under which funds will be made available to the Industrial Association / Service Societies/ NGOs for the up gradation of the infrastructural facilities such as water supply, power, laying of roads, effluent Treatment Plants, etc. in the existing IEs /SSI clusters identified under the SSI cluster development programmes. The funds will be

provided/ reimbursed in the ratio of 1:1 between Government and IAs/ Service Societies/ NGOs. In some cases where number of sick and closed units and vacant plots are more than 50% APIIC will share 20% of the estimated cost and the service societies have to contribute only 30% of the project cost.

***
INDUSTRIAL INFRASTRUCTURE
Special Economic Zones(SEZ): 6.2 Andhra Pradesh Industrial Infrastructure Corporation (APIIC) is the nodal agency for the Special Economic Zones in Andhra Pradesh. There are 114 SEZs approved by the Government of India and out of these, 75 are notified and 27 SEZs have become operational. The projected direct employment generation is 8,50,022 and created employment is 97763 so far. The projected investment is Rs. 1,05,447 crores and achievement so far is Rs. 14,267.43 crores. The details of the exports from out of SEZs are as follows: Year Exports (Rs.Cr.) 2008-09 3021.00 2009-10 5554.00 2010-11 13334.69 Petroleum Chemical and Petrochemical Investment Region (AP PCPIR) Department of Chemicals & Petrochemicals, Government of India has accorded approval in March 2009 for development of Petroleum Chemical and Petrochemical Investment Region (AP PCPIR) in Visakhapatnam Kakinada Region in an extent of 603.58 Sq.Km. A Memorandum of Agreement (MOA) was signed between Government of India and Government of Andhra Pradesh on 01-10-2009. Government of Andhra Pradesh has already constituted a Special Development Authority as Visakhapatnam Kakinada Petroleum, Chemical and Petrochemical Investment Region Special Development Authority (VKPCPIRSDA) for planned growth of the area by making master 83

plan, providing civil amenities etc, in the SDA area. Master Plan is under preparation. State Government has sanctioned Rs.40.00 Crore for this project which will be utilized for Land Acquisition for widening of state roads providing NH connectivity. AP Gas Infrastructure Corporation Exploration and Production: The State Government with an intention to utilize the natural gas for the overall development of the States economy through the participation in Upstream and the downstream sectors like power, fertilizers, ceramics, glass, Commercial, domestic fuel and automobile etc., have created a Special Purpose Vehicle by name Andhra Pradesh Gas Infrastructure Corporation(APGIC). The APGIC was incorporated on 2.9.2009 as a Government Company. It is a Joint Venture of APIIC and APGENCO with 51 and 49% equity in it respectively. Krishna-Godavari basin is considered to be one of the worlds richest deposits of natural gas. The APGIC got the mandate to participate in the NELP biddings for the Exploration and Production of Natural Gas. The APGIC had joined hands with the global majors of E&P activities of oil and natural gas, such as British Gas, ONGC, OIL, and NTPC and participated in the bidding. The APGIC won one Deep Water Block and three Shallow Water blocks with other consortium partners. The APGIC has 10% equity in all the four blocks and whereas other partners got the remaining 90% interest. British Gas is the operating partner for the Deep Water Block where as ONGC is the operating partner for the three Shallow Water Blocks. It is estimated that the APGIC, as 10% equity holder in the four blocks, has to spend about US$ 40.5 Millions (Rs. 184.28 Crs.) in total. So far, an amount of Rs. 8.94 Crores has been contributed for all the blocks. Progress of Upstream: KG-DWN-2009/1: The activity progressed so far: Loaded 2D seismic and 2 wells data. Tied 2 wells to seismic. Regional correlation to tie the two areas (A &B) using a GXT line.

Velocity modeling using well data prepared. Mapping of four tertiary horizons in Area B completed. Time Map for all four tertiary horizons in Area B generated.

KG-OSN-2009/1: G &G interpretation of the existing data is completed. o Regional mapping of reflectors close to the top of Basement and cretaceous in 2D data is completed. o Correlation of events closes to cretaceous, Albian, within Albian and Berremian top, and basement in 3D is completed. Processing of 2D Seismic data (Phase II) at RCC Chennai is in progress. Newly acquired 2D data loading in IIWS is in progress. Newly acquired 3D seismic Data at RCC Chennai is in progress. Notice and multiple attenuation tau P dominion is completed. NTPC Geophysicist interacted with operator regarding Seismic data processing. 2D - 1163.5 LKM; 3D 567.275 SKM completed (Cumulative). KG-OSN-2009/2: G &G interpretation of the existing data is completed. Regional mapping of the reflectors close to the top of Basement and Cretaceous in 2D completed. Processing of 2D seismic data (Phase II) at RCC Chennai is completed Newly acquired 2D Seismic data loading in IIWS is in progress. Processing of newly acquired 3D Seismic data at RCC Chennai is in progress. Noise and multiple attenuation in tauP domain is completed. MC Meeting was held at DGH office, Noida on 27th Sep 2011 and discussed the status of Exploration of blocks. 2D - 1163.5 LKM; 3D 357.735 SKM completed (Cumulative).

KG-OSN-2009/4: Regional mapping of the reflectors close to the top of the basement and cretaceous is completed. Mapping of two reflectors close to MioPliocene and Cretaceous within 3D area is completed. Gas Distribution Network: The Petroleum and Natural Gas Regulatory Board (PNGRB), New Delhi is the competent authority to regulate the petroleum and natural gas pipeline and other midstream and down stream activities in India. PNGRB so far conducted three rounds of bidding to allocate the Geographical Areas to the interested entities to lay and operate the City or Local Gas Distribution Networks. In the first two rounds of bidding the PNGRB has included Hyderabad, Vijayawada, Kakinada and Rajahmundry cities of our State among other Cities of various States. M/s. Bhagyanagar Gas Limited has been authorized by PNGRB to lay CGD network for Hyderabad, Kakinada and Vijayawada cities. APIIC, the parent Company of APGIC is holding 5% equity in Bhagyanagar Gas Limited. Rajahmundry city was under bidding in round 2 and it is learnt that M/s. Reliance (RIL) has to be declared as successful bidder as per PNGRB parameters but authority has not been awarded due to a case pending before Supreme Court. The State Government of Andhra Pradesh had requested PNGRB to switch over to District Gas Network instead of City Gas Distribution Network so as to enable the rural areas to get the advantage of natural gas availability. The PNGRB had accepted the proposal of the Government of Andhra Pradesh and accordingly from the 4th round of bidding it has taken district as a unit instead of city. In the 4th round bidding to be closed on 16th Nov, 2011, in which the districts viz., Ranga Reddy-Medak, Nalgonda and Khammam are included. The APGIC has submitted the details basis Suo motu letter of PNGRB for laying and maintaining the City or Local Gas Distribution Networks for the Geographical Areas in addition to Rangareddy-Medak, Nalgonda and th Khammam (4 Round of Bidding) viz., 1) 84

West Godavari-South of East GodavariKrishna, 2)Visakhapatnam-North of East Godavari, 3) Srikakulam-Vizianagaram, 4) Karimnagar-Warangal Districts, 5) Chittoor and 6) Mahabubnagar districts. Andhra Pradesh Gas Distribution Corporation (APGDC): The Andhra Pradesh Gas Infrastructure Corporation (APGIC) is planning to participate in the bidding for the CGDs in the State. To participate independently for these Local Gas Distribution Networks, the APGIC yet to acquire the qualification such as previous experience in laying and maintaining the Gas pipelines of at least 300 K.Ms cumulatively. Keeping in view of the above, the APGIC had incorporated a whole subsidiary company by name Andhra Pradesh Gas Distribution Corporation (APGDC) from Infrastructure & Investments Department. APGIC is offering 50% of equity in APGDC to GAIL Gas Limited initially, before off-loading to private participants, at prorata basis subsequently. After off-loading the 50 % equity to the Private/Public participants, the equity shall be APGIC 25 %, GAIL GAS Ltd 25 %, Private/Public Participants 50%. As GAIL Gas Ltd., had the experience and expertise in laying and maintaining the City or Local Gas Distribution Networks as well as cross-country pipelines, it is thought their association will augment well for the State. And also the APGDC will acquire all the prerequisite qualifications to compete for the bids conducted by the PNGRB for the City or Local Gas Distribution Network or Crosscountry or other pipelines. Recently the output of natural gas has dropped down significantly from KG-D6, the supplier; Reliance is unable to meet the demand as committed to the downstream entities. Moreover, MoPNG indicated to rely on LNG is inevitable. Govt of Andhra Pradesh is also of the opinion to opt for RLNG through floating barge or land based terminal in the East coast of Andhra Pradesh in view of swapping issues and additional taxes for importing Gas from West coast. This matter was deliberated with GAIL at length during 4th Board meeting on 15th Oct 85

2011. GAIL were asked to prepare feasibility report to explore avenues further for suitable location and a knowledgeable experienced party. Regional Grid: The State and APGIC are planning to have the State-wide Pipeline Grid connecting CGD/Local Gas Distribution Networks so as to cover all the districts thereby enabling the supply of natural gas for domestic, industrial, commercial and automobile purposes. It is also to cover Industrial Parks, SEZs and NHs Industrial Park, Mannavaram The Government of Andhra has issued revised orders alienating Government land measuring an extent of Acs.753.85 at Industrial Park, Mannavaram i.e., Acs.490.08 situated in Sy.Nos.1-1, 1-3, 68-1, 69-1, 80 & 145 of Mannavaram Village and Acs.263.77 situated in Sy.Nos. 1, 19, 23-1, 507, 508, 509, 510 & 512 of Kalavagunta Village of Srikalahasthi Mandal, Chittoor District, Andhra Pradesh in favour of APIIC Ltd. The Revenue Authorities have handed over possession of revised extent of Acs.753.85 i.e., 490.08 acres. in Mannavaram Village and 263.77 acres. in Kalavagunta Village of Srikalahasthi Mandal to APIIC Ltd., in June 2010. The APIIC has handed over the revised extent of 753.85 acres @ Rs.100/per acre to M/s. N.B.P.P.L. in June 2010 and registered the fresh deed of sale in favour of M/s. NTPC-BHEL Power Projects Private Limited. As regards to civil works, the compound wall for factory area about an extent of 400 acres with a cost of Rs.238.00 lakhs completed. The compound wall for town ship area with a cost of about Rs.91.00 lakhs is being constructed. Further, in 1st phase 17 Nos. (i.e., fabrication building, administration building, permanent store, open store, shifting yard, dispensary building, security building, fire station building, substation building for 33 KV, canteen, entrance gates, over head tank, sump, formation of internal roads, drainage system and water distribution system etc.) works were taken up with a cost of Rs.40.00 crores duly fixing target date for completion by 12/2012. All buildings are

242.0

Index of Industrial Productio

INDEX OF INDUSTRIAL PRODUCTION The Index of Industrial Production (IIP) is yardstick of measuring the Industrial growth in the State. It includes the relative change of physical production in the field of Industry during specific period as compared to the previous period. The IIP is estimated monthly by collecting data from the selected units of Manufacturing, Mining and Quarrying and Electricity. The main objective is to estimate the contribution of Industrial sector to the Gross State Domestic Product. In the State, the IIP is being compiled with base year 1993-94 for 17 industrial classifications at 2-digit level under Manufacturing sector. As per the Advance estimates 2011-12(A), the Mining & Quarrying, Manufacturing (Regd.), Electricity sectors have registered 0.90%, 9.6% and 8.1% growth respectively. Where as at all India level the Mining & Quarrying, Manufacturing, Electricity sectors have registered (-)2.2%, 3.9% and 8.3% growth respectively. The estimates of IIP for the period AprilNovember, 2011 (provisional) for Andhra Pradesh - General Index shows a growth of 11.9% over the corresponding period of previous year. The General Index growth at all India level for the period AprilNovember, 2011 is 3.8%. In the State Mining & Quarrying, Manufacturing and Electricity Sectors registered a growth of (-)1.1%,14.1% and 9.9% respectively. Where as in all India the growth in Mining and Quarrying, Manufacturing and Electricity Sectors are 86

150 100 50 0 2001- 2002- 2003- 2004- 2005- 2006- 2007- 2008- 2009- 201002 03 04 05 06 07 08 09 10 11

Use-based groups are integral part of the IIP, divided in to four major groups i.e., Basic goods, Capital goods, Intermediate goods and consumer goods and these groups have registered a growth of 0.9%, 47.7%, 4.8% and 15.7% respectively during the period April - November, 2011 (provisional) as compared to the corresponding period of previous year. Consumer durables and Consumer non-durables have registered a growth of 10.0% and 15.9% respectively during the period April - November, 2011 (provisional) as compared to the corresponding period of previous year. ANNUAL SURVEY OF INDUSTRIES The Annual Survey of Industries is the principal source of Industrial statistics in the State. It is conducted once in a year to collect the data from the Organised Manufacturing units registered under the section 2m (i) & 2m (ii) of the factories Act 1948. This refers to the factories employing 10 or more workers and using power or those employing 20 or more workers but not using power and Beedi and Cigar units registered under Beedis, Cigar worker(conditions at employment) Act, 1966. The main objectives of Annual Survey of Industries are: 1. Estimation of the contribution of manufacturing Industries as a whole and of each type of Industry to the State Income.

145.1

***

200

155.1

164.2

173.8

188.7

250

223.6

234.7

about 5000 Nos., direct employment and 25,000 Nos., indirect employment.

300

250.6

273.8

come upto plinth level and columns casting are in progress. At present, eleven engineers are employed by NBPPL company for supervision of works taken up by them. At about 450 people are engaged by the contractor as temporary employees for execution of various works presently going on at site. The employment will be generated

(-)2.5%, 4.1% and 9.5% respectively. The indices of IIP of the State are given Annexure -6.3. Growth in Industrial Production in terms of IIP is visible over the decade as shown in the following diagram.
Index of Industrial Production in AP

2. Systematic study of the structure of the Industry as a whole and each type of Industry. 3. Analysis of various factors influencing Industries in the State. 4. Provision of comprehensive, factual and systematic basis for formulation of Policy. The Data for 16 principal characteristics based on Annual Survey of Industries are given in from 2004-05 to 2009-10 (P) Annexure- 6.4.

Collieries Co. Ltd.(SCCL) (Rs.248.32 crores), A.P TRANSCO (Rs.113.10 crores) APSRTC(Rs.110.78 Crores) and the total profit made by these five SLPEs is Rs.2016.46 crores, which is 89.28% of the total profit made by all the 23 profit making SLPEs.

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MINES AND GEOLOGY
6.4 Minerals form a major contributor to economic growth of the state. Andhra Pradesh is a Mineral rich State in the Country containing a vast and variety of Mineral Wealth particularly Industrial Minerals. It is a house for 48 minerals and more specifically for Gold, Diamond, Bauxite, Beach Sand, Limestone, Coal, Oil and Natural Gas, Manganese, Dolomite, Quartz, Feldspar, Precious and Semi-precious stones, Clays, Calcite, Steatite Iron Ore, Base Metals, Barytes, Uranium, Granite, Limestone Slabs, Marbles, Dimensional Stones and other Building Materials. The State with vast mineral potential has worked out certain strategies to explore, exploit and develop the mineral sector with the constructive cooperation of both private and public sectors. The State has focused on the inventory of mineral resources, key issues of legislation, objective and strategies in tune with the National Mineral Policy in accelerating the growth in the liberal regime and thereby leading to overall development of the mining sector. The State Mineral Policy is an integration of National Policy. The main aim of State Mineral Policy is to serve as a guiding force to translate the States mineral potential into reality with the objectives of eco-friendly and sustainable mining. Andhra Pradesh is rapidly changing and emerging as a Mineral State of Global importance and growth of Mineral Economy. The State is constantly encouraging new entrepreneurs to ground Mining and Mineral Projects through effective implementation of Government policies and quick disposal for Mineral Concession Applications. The progressive strategies and Polices of the state have culminated in growth of leases, extent, 87

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STATE LEVEL PUBLIC ENTERPRISES
6.3 There are 30 state level public enterprises (SLPEs) functioning in the state. As per the working results of these SLPEs, the performance during the year 2008-09 is as follows: Capital Employed: The capital employed by all the 30 state level public enterprises was Rs.32,580.96 crores. The Top five state level public enterprises whose Capital employed is highest are A.P.GENCO, Housing Corporation, A.P.TRANSCO, Singareni Colleries Co. Ltd and APSFC. The capital employed by the top five SLPEs constitute 81.43 % of the total capital employed by all the SLPEs in the state. Turnover: The total turnover (including other income) made by all the 30 public enterprises was Rs.36,276.67 crores. The Top five state level public enterprises whose turnover is highest are - State Beverages Corporation, A.P. GENCO, Singareni Colleries Co. Ltd APSRTC, and Civil Supplies Corporation. The turnover achieved by the top five state level public enterprises to total turnover works out to 87.24%. Profit: 23 SLPEs, out of the 30 have made profit totaling to Rs.2258.49 crores during 200809. The Top five state level public enterprises that made profits during 2008-09 are Housing Board (Rs.1029.06 crores) APGENCO (Rs.515.20 crores), Singareni

Mineral Production, Mineral Value and grounding of Mineral Based Industries. Mineral Resources Andhra Pradesh is well known globally for variety of rocks and minerals and called as Ratna Garbha, a State endowed with variety of minerals. Many of the ancient travelers and historians have mentioned about ancient mining of Gold, Diamond, Base Metals, Precious Stones etc. The State Mineral Industry is well illustrated in the form of Damascus Sword, Jewellery, Monuments, Sculptures, Aesthetic Forts, Palaces etc., made out of locally available minerals and rocks. Andhra Pradesh is repository of many minerals and has tremendous potential for mining and development; contains varieties of Litho units/ Rocks, Which contain host of industrial and non-industrial minerals. A.P. is geologically unique and consists of Igneous, Volcanic, Metamorphic and Sedimentary formations range in age from most ancient (Archean) to recent(ternaries), and contain Peninsular Gneissic complex, Dharwars, Eastern ghats, Cuddapah, Pakhal, Penganga, Bheema Kurnool (Palnadu,) Gondwana, Deccan traps, Tertiary and Quaternary formations. These formations with different Litho Units / Rocks contain host of industrial, Non-Industrial, Metallic Minerals.
Table 6.3 Estimated Mineral Reserve Item Unit Quantity Million Coal 18,927 Tonnes Limestone ,, 35,179 Bauxite ,, 615 Barytes ,, 70 Beach Sands ,, 241 ,, Gold (ore) 12.10 Diamond Lakh carats 18.23 Million 2,406 Granite Cubic Meters Source:-Mines and Geology Department

The State occupies first position in Barytes, Limestone and Beach sand heavy mineral deposits in the country. State is well known for Gold, Diamond, Precious and Semi Precious stones occurrences over vast areas. 88

There are huge deposits of Bauxite in East Godavari and Visakhapatnam districts. Krishna- Godavari on shore and off shore basin contain huge reserves of oil and natural gas. State also contains huge uranium deposits in Kadapa and Nalgonda districts. Andhra Pradesh is only State in the entire Southern India that contains large deposits of Coal. The State is also having number of scattered low grade iron ore deposits in Ongole, Krishna, Khammam, Karimnagar, Kurnool and Kadapa districts. The State is well known for exclusive granite varieties- Chimakurthy Black Galaxy Granite, Srikakulam Blue, Khammam and Warangal Black granite, Karimnagar Tan Brown etc. and producing 8.00 to 9.00 Lakh Cum.meters of various Varieties of black and multi colour granites. Departmental Functions/Activities: The Department of Mines and Geology looks after promotional and regulatory functions for overall development of mineral sector and also collection of mineral revenue to the State Exchequer. The Department is responsible for processing of Mineral Concession applications, grant of leases for Minor Minerals, approval of Mine Plans, Inspection of Mines, curbing of illicit Mining and Transportation, Vigilance, monitoring of Mineral Production, Survey and Demarcation of areas, Mineral Revenue Collection, Mineral Investigations and explorations and dissemination of Mineral information. Leases and Mining There are 2047 Mining leases and 9687 quarry leases for Major minerals (Industrial Minerals) and Minor Minerals (Construction Minerals)with an extent of 1,20,462 hects and 19,310 hectares respectively and 6 Reconnaissance permits (Gold, Diamond, Base metals, Precious metals). Mining for coal, Limestone, Barytes and Natural Gas falls under large scale mechanized sector; Granite, Dolomite, quartz, feldspar, Clays etc., under semi mechanized medium sector

and other minerals falls under semi mechanized small sector. Nearly 90% of the Mines fall under small sector and remaining 10% falls under medium and large sectors. Mineral Based Industries Both Public and Private sectors have established 97 principle large and medium scale mineral based industries for manufacture of cement, steel, sponge Iron, Fertilizers, Ferro Alloys, Glass, Oil refinery, Fiber Glass, Ceramics, Refractories, Zinc refinery, Chemicals etc., A.P. is the 2nd largest cement producer in the country. There are 42 plants with an installed capacity of 50 Million Tons per annum. In addition, there are about 5000 Granite, Marble and Limestone cutting and polishing units, Slate cutting units, mica processing units, Gem cutting and faceting units, Granite monuments manufacturing units, Pulverizing units, stone crushers, mosaic and ceramic tile units, lime kilns, and Rock stone sand units. Focus Minerals and Industries The mining sector is identified as one of the growth engines and certain minerals have been identified as focus minerals viz Bauxite, Heavy minerals, Beach Sand, Limestone, Coal, Gold, Diamond, Dolomite, Oil and Natural gas, Uranium, Garnet, Granite, Titanium, etc. In addition Cement, Thermal Plants, Refinery, Cutting and Faceting, Mining and Refinery, Steel and Sponge, Refinery etc., as focus industry for over all growth and development of the mining sector from the State. Mineral Production and Value The Mineral consumption is increasing due to promotion of various industries and manufacture of Mineral based products. State produces about 100 to 110 million tonnes of industrial minerals and 200 million cubic meters of dimensional stones and building material and A.P. stands 1st in Barytes and Limestone production in the country. The state contributing about 15 per cent to the countrys mineral value production and approximately Rs.1000 Crores by way of foreign exchange. The production of Coal, Natural Gas and Limestone from 1994-95 to August 2011 is given in Annexure 6.5. 89

Disposal of Mineral Concession Applications: Disposal of Mineral Concession applications are given importance in pre-fixed time frame. The Mines Department has taken initative to get NOCs from Revenue and disposed record number of Mineral Concession Applications. The Department has disposed 8547 Mineral Concession applications in the year 2008-09, 10140 in the year 2009-10, 7731 in the year 2010-11 and 3479 in the year 2011-12(up to November 2011). Revenue The State Mineral and Mining sector has contributed Rs.2171 crores of Mineral Revenue during 2010-11. Rs.1017 Crores contributed upto Sep.2011 against the target of Rs. 2695 Crores during the year 2011-12. During the 2010-11, State stands 3rd in Mineral Revenue among the important Mineral Producing States of the country viz., Orissa (Rs. 3230 Cr), Jharkhand(Rs.2133 Cr), Chattisgarh (Rs 2400 Cr), Rajasthan (Rs.1907 Cr), and Karnataka (Rs.1110 Cr) and Tamilnadu(Rs.650 Cr). District wise mineral revenue from 2007-08 to 2011 (April-Sep) is given in Annexure 6.6. Vigilance The Department was able to ground 4 Centralized Vigilance Units, 8 Regional Vigilance Units, 6 Temporary Check Posts and 15 Vigilance Offices to curb illegal mining and transportation of minerals in the state. The Department after grounding of the regional vigilance and sand vigilance schemes has stepped up vigilance over vulnerable areas of illicit mining & transportation and booked 15717 cases and collected a total penalty of Rs.17.49 crores during 2009-10. In the year 2010-11 the department has booked 18530 cases and collected a penalty of Rs. 20.09 Crores. During the year 2011-12 the department has booked 13949 cases and collected a penalty of Rs. 1327.82 lakhs. Task Force: Government of India has suggested to constitute a State Level Task Force and District Level Task Force for effective vigilance to curb illegal mining and transportation of minerals in the respective

states. Accordingly, State Level Task Force under the Chairmanship of the Secretary, Industries and Commerce Department and District Level Task Force was constituted under the Chairmanship of District Collector. The State Level Task Force has met and discussed issues of Forest and Revenue clearances for quick disposal of lease applications to stop illicit mining and transportation, more powers for seizure of vehicles under M.V. Act, blanket clearances in respect of mineral bearing areas falling in Revenue lands, identification of compensatory land adjacent to Forest areas, by Forest Department, inclusion of Commercial Tax Department, Seizure and safe custody of vehicles in the respective Police stations etc. Investigations and Exploration Investigations are carried out for Exploration and prospecting of mineral deposits, Building up History of Mines, Preparation of maps of mineral belts, Rendering advice for establishment of mineral based industries etc. These functions also comprise regional geological mapping followed up by detailed prospecting of mineral bearing areas selected on priority basis and estimation of reserves with quality. All mineral investigations carried out by the Central and State agencies in Andhra Pradesh are coordinated by the department. Mineral Investigations and explorations on promotional basis, Exploration by drilling in promising mineral belts is also undertaken to estimate the quality and quantity of the minerals available before venturing upon exploitation. Further, measures are taken to prevent frittering of large mineral deposits and steps towards their more systematic exploitation. It is therefore suggested to reserve certain areas for exclusive exploitation in the Public sector. The Department through DMRTUF Trust has carried out investigations like Scan of Srikakulam and Kurnool mineral resources for grounding of mineral projects, Limestone waste utilization from the intensive limestone mining areas in collaboration with NCCB, Iron Ore in Kadapa district and proved know potential, grade and resources for exploitation of Iron Ore, Promotional drilling 90

for Granite in Prakasam and Karimnagar districts, Limestone in Guntur and Anantapur districts, In addition, the department have also taken up the following investigations with the active participation of DMRTUF and Universities. Studies on exploration and reserve estimation for new and hidden bauxite deposits in EGMB of A.P. Geochemistry and utility of grey and black shale overburden of the Mangampet Baryte deposit- To probe the industrial application. Geochemistry of the Phosphoric siliceous dolostones near Pulivendula, Kadapa District. Evaluation of waste rock derived out of Dimensional Stone mining in parts of A.P and its utility. Evaluation of Dimensional Stone granite of Chittoor District. Geophysical Investigation of the gushing of gas in parts of Kadapa basin. Revival of sustainable mining activity in Nellore Mica Belt through prospecting for COLTAN (Colambite-Tantallum) and other economic minerals. On-line Processing of Mineral Concession Applications: Project Khanija in Kadapa District. The department is also taking active participation in all the Central Geological Programs and Sub-Committee meetings for exploration of minerals in the State. Mineral Projects The Department has taken initiative for grounding of Bauxite mining projects and establishment of Aluminum / Alumina project with an investment of Rs.40,000 crores, Uranium Project with 2000 crores. Beach Sand heavy minerals project with Rs.6000 crores, Steel plant with Rs.20,000 crores, Iron ore project with Rs.160 crores, Gold and Diamond projects with Rs.50 Crores and Cement plants with Rs.3000 crores Mineral Information The department has participated in the International Granite Trade Fairs at Jaipur, Chennai and Bangalore, Industrial exhibitions at Hyderabad, World Mining

Congress and Expo 2006 at Tehran and Prospectors and Developers Association of Canada Expo 2010, Toranto (PDAC), International Exhibition of Stones, Design and Technology in September-October 2010 at Italy (Verona), Stone Mart 2011 at Bangalure to disseminate and promote the mineral potential and mineral sector opportunities of the State. Booklets and brochures on Minerals and opportunities in Mineral sector for the entrepreneurs and public are brought out. Devolution of Powers The department is also instrumental in devolution and delegation of certain powers to the Zonal Joint Directors in respect of Mineral regulation, issue of Mineral Revenue Clearance Certificate, and approval of Mineral Revenue Assessment, Issue of Notices, approval of Mining Plans and transfer and deputation of staff for effective Mineral administration at ground level. The department has also delegated powers to District officers from the Regional Offices for issue of way bills under Mineral Dealers Rules 2000 to facilitate the Mineral dealers to obtain way bills immediately from the respective district offices. Policy Initiatives: The department has taken initiative in enactment of The A.P. Mineral Bearing Lands (infrastructure) Cess Rules, 2005 for collection of Cess on Mineral Bearing Lands for promotion of infrastructure facilities and rapid exploitation of Mineral resources in the State. Initially, only Coal, Oil, and Natural gas, Barytes, Lime Stone, Iron Ore and Granite are brought under the Cess Rules. The department has taken initiative and identified 12 exclusive Mining zones around Hyderabad for Building stone, Metal, and Manufacture of stone sand. The Government has already declared One Exclusive Mining Zone at Bandaraviryala over an extent of 670 Acres

The Government in consultation with department has also transferred the sand quarrying & regulation subject from Panchayatraj Raj & Rural Development Department to the Mines & Geology Department for scientific, regulation and effective realization of Mineral Revenue to the State exchequer. The department has taken fresh initiative to conduct sand auctions throughout the State. The Department taken initiative to announce the State Coal Policy facilitating APMDC to operate Coal Mines in Tribal Agency areas in conformity with APLTR and also in association with other PSUs. The Department has also suggested apportionment of some amount to the Department from Panchayat Raj Department from the Seigniorage Fee collected on minor minerals for effective vigilance and augmentation of mineral revenue to the local bodies. The department has also taken initiative and submitted proposals to Government for collection of uniform Seigniorage fee from the builders.

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COMMERCE AND EXPORT PROMOTION
6.5 The exports from the State have recorded Rs.91,614 crores in the year 2010-11 while it was Rs.73,143 crores in the previous year 2009-10. Computer software contributes more than 30 percent to the total exports. The other major exports from the State are Engineering items, Drugs, Pharmaceuticals and allied Chemicals and plastics, Animal, Marine and Leather Products, Agriculture and Agro based Products, Minerals and Mineral Products, Handlooms, Handicrafts, Textiles, Gems and Jewellery and imitation Jewellery items, Electronics and Electrical items.

91

Value of Exports from A.P. (Rs.Crores)

100000 90000 Value of Exports (Rs.Crs) 80000 70000 60000 50000 40000 30000 20000 10000 0 2001- 2002- 2003- 2004- 2005- 2006- 2007- 2008- 2009- 201002 03 04 05 06 07 08 09 10 11

by the department to promote productivitylinked settlement in order to make Industries more competitive. The number of workers involved and mandays lost due to work stoppages have decreased this year when compared to the corresponding period of last year The details industrial relations are shown in Table 6.4. Table 6.4 Industrial Relations
Item
Strikes Lockouts Workers Involved (No.) Mandays Lost (Lakh No.) 2010 8 9 17,105 24.26 2011 (up to Sep.,) 9 7 15,241 16.28

Item wise exports from Andhra Pradesh are given in Annexure 6.7.

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INDUSTRIAL RELATIONS
6.6 Industrial peace is a prerequisite for the growth and development of Industries. Work stoppages due to industrial disputes between employers and workmen and consequential loss of man-days in a given period would be an important indicator of labour management in Industries. Government through its conciliation machinery has been making efforts to settle disputes amicably and promote industrial peace and for congenial work environment. Efforts are being made

Source: Labour Department

The number of strikes, lockouts, workers involved, and man-days lost from 1981 to September 2011 are shown in Annexure 6.8.

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92

7. ECONOMIC INFRASTRUCTURE
7.1 Infrastructure Development is the key for economic growth and plays a significant role in setting an enabling platform for sustainable economic development. It encompasses services such as water management, power and electricity, telecommunications, sewage and sanitation, gas, roads, railways, ports, airports that promote commercial activities, production and consumption. Further, financial services such as banking, industrial and commercial development, tourism and entertainment centers and other segments also form part of the growth process. A fast growing economy warrants an even faster development of infrastructure. Besides the governmental efforts in creating public infrastructure, the role of private sector in the provision of infrastructure through publicprivate partnerships (PPPs) and also private sector exclusively in certain areas such as transport, communications, entertainment etc., hasten up the pace of infrastructure growth. utilization of river yields works out to 1765 TMC only for the existing projects and thus there is a vast scope of tapping water resources for creating irrigation potential. During the pre-plan period, 66.77 lakh acres of ayacut was developed by constructing major anicuts on Krishna, Godavari and Pennar rivers and by constructing medium projects under irrigation sector. The breakup of these projects is as follows: Project Major Medium Minor Schemes (Nos.) 11 45 12,351 Ayacut (lakh Acres) 30.96 1.93 33.88

IRRIGATION
Irrigation development as well as its management is of utmost importance in the State. Andhra Pradesh is rightly called A RIVER STATE as it is blessed with major river systems like the Godavari, Krishna, Pennar, Vamsadhara and 36 other rivulets. The states share of dependable flows at 75% dependability from the river systems is estimated at 2764 TMC (Thousand Million Cubic Feet). This breaks up into 1480 TMC from the Godavari River system, 811 TMC (800 TMC + 11 TMC regeneration) from the Krishna, 98 TMC from the Pennar and the rest from other rivers. The entire dependable water share of Krishna River is fully harnessed through the construction of several reservoirs and barrages. The yield from Godavari River is being utilized to an extent of 720 TMC for the existing projects and the surplus flows aggregating to an average of 4000 TMC is flowing to the sea, un-utilized. Total 93

Five year plans have been taken up since independence and investment in irrigation sector has been on the increase to achieve the agricultural growth. Major Projects namely K.C. Canal, Kaddam, TBP HLC Stage-I & Rojalibanda Diversion Scheme and further Godavari Barrage and Prakasam Barrage have been constructed in place of the age old anicuts on Godavari & Krishna rivers along with 94 Nos. of Major and Medium Irrigation projects completed during the period of 1st to 11th plan and an amount of Rs.88,610.14 Crores has been spent from Plan I to XI i.e. up to November 2011. Projects like Nagarjuna Sagar, Sriram Sagar, Telugu Ganga, Somasila, SRBC, SLBC, Vamsadhara along with Medium and Minor Schemes have also been taken up during the plan period and they are at various stages of completion. During the year 2004, the Government has taken up plans for fully utilizing the available yields of Godavari and other rivers and initiated a historical beginning named JALAYAGNAM with the aim of completing the ongoing and new projects in a record time to provide immediate irrigation to water starving segments on top priority by mobilizing funds from all possible sources. Presently 86 projects (44 Major + 30 Medium + 4 Flood Banks + 8 Modernisation) are considered under Jalayagnam. With the

above projects including Minor Irrigation and APSIDC new irrigation potential of 97.03 lakh acres will be created besides stabilization of 9.45 lakh acres. During 200405 to 2011-12, 13 projects were completed and water released for 21 more projects creating partial irrigation potential under Major and Medium irrigation projects. The remaining projects are programmed to be completed in a time bound and planned manner. Since 2004-05 to 2011-12, 20.90 Lakh acres of Irrigation Potential (16.94 Lakh acres new and 3.96 Lakh acres stabilization) has been created under Major and Medium irrigation projects besides 4.89 Lakh acres under Minor irrigation sources and 2.69 Lakh acres under APSIDC irrigation projects. For the early completion of ongoing projects, financial assistance from World Bank, JBIC, NABARD and from Govt. of India under AIBP is being obtained and the works are in progress. Most of the sites suitable for gravity irrigation schemes are already exhausted and upland areas which cannot be commanded by gravity flows are planned to develop by Major Lift Irrigation schemes. In view of the above, the Government have programmed the following special lift irrigation schemes: i. Dr. B.R. Ambedkar PranahithaChevella Sujala Sravanthi a mega Irrigation project was taken up with a cost of Rs.38.500 Crores for diverting 160 TMC of water from river Pranahitha a tributary of river Godavari, and it is in progress. This will create a new ayacut of about 16.40 lakh acres in Adilabad, Karimnagar, Warangal, Nizamabad, Medak, Nalgonda and Ranga Reddy districts along with providing drinking water facilities for enroute villages and to the industrial needs of Hyderabad. ii. Mahatma Jyothi Rao Pule Dummugudem Nagarjuna Sagar Tail Pond is contemplated to lift 165 TMC of water from River Godavari during flood season from upstream of Dummugudem Anicut and to carry to Nagarjuna sagar Project Tail Pond to supplement irrigation under Nagarjuna Sagar Project with a cost of Rs.19521.42 crores.

iii. Chinthalapudi Lift Irrigation scheme is taken up to irrigate 2 lakh acres in the upland areas of West Godavari and Krishna districts with a cost of Rs.1701 Crores and it is in progress. iv. Babu Jagjeevan Ram Uttarandhra Sujala Sravanthi Project is taken up with a cost of Rs.7214 Crores to create an ayacut of 8 lakh acres in the upland areas of Srikakulam, Vijayanagaram and Visakhapatnam districts. v. The Government have accorded administrative approval to the P.V. Narasimha Rao Kanthanapally Sujala Sravanthi, Phase-I at an estimated cost of Rs. 10,409 Crores for construction of Barrage across River Godavari and lifting 50 TMC of water and dropping into the existing Kakatiya Canal to supplement 7.50 lakh acres of SRSP Stage-I (tail end ayacut) and Stage-II in three districts viz., Warangal, Nalgonda and Khammam. The work is yet to be taken up. Modernization of Delta Systems Modernization of Delta Systems and other projects has been taken up with a cost of Rs. 15001.45 crores. The break up consists of Modernization of Godavari Delta taken up with Rs. 3361 Crores, modernization of Krishna Delta with Rs. 4573 Crores, modernization of Pennar Delta with Rs. 1001.73 Crores, Nagarjuna Sagar project with Rs. 4444.41 Crores, TBP HLC & LLC with Rs. 794.12 Crores, Nizam Sagar Project with Rs. 549.60 Crores, Yeleru Delta System with Rs. 138.00 Crores and Nagavali System with Rs. 139.59 Crores. Besides the above, Improvements to Flood banks of Vamsadhara, Nagavali, Godavari, Krishna, Hundri, Penna, Kandaleru etc., are taken up with a cost of Rs. 2312.76 Crores. Accelerated Irrigation Benefit Programme(AIBP): Government of India have initiated assistance under AIBP to complete the ongoing Major and Medium Irrigation projects taken up with Central Water Commission and Planning Commission Clearances, since 1996 97 to create Irrigation Potential at optimum cost, based on the guidelines issued from time to 94

time. Since 1996-97, 33 Projects (17 Major and 16 Medium) were included under AIBP since inception ie.1996-97 with a target Irrigation Potential of 14.786 lakh Ha. Out of 33 Major and Medium Irrigation Projects covered under AIBP, 11 Projects were taken up before 2004-05 and 22 projects were taken up after 2004-05. Out of 22 Projects, 15 Projects are covered under Prime Ministers Relief Pakage(PMRP) and the balance 7 projects are covered under Normal AIBP. Out of the above, 11 Projects (7 Major and 4 Medium) were completed and one Project was deleted and the balance 21 Projects are ongoing under AIBP. An Irrigation Potential of 6.046 lakh Ha has been created upto 07/2011 under AIBP. Minor Irrigation Sector: Under Minor Irrigation, about 78,000 tanks are serving an ayacut of 46.50 lakh acres including 66,000 tanks transferred from Panchayat Raj Department with an ayacut of 14.70 lakh acres. Rehabilitation of the small tanks has been taken up at a cost of Rs.167 Crores. Fnancial assistance from World Bank, JBIC, NABARD, AIBP and Normal State plan is being obtained for A.P Community based Tank Management Project to take up new constructions and stabilization of existing tanks. Proposals for creating additional ayacut of 3.00Lakh Acres have been contemplated under various schemes in the coming 3 years period. Under AIBP, Govt. of India has approved 67 MI schemes at a cost of Rs.226 Crores to create a new ayacut of 69,245 Acres in tribal and drought prone areas which carries 90% grant from Govt. of India. Rehabilitation of Minor Irrigation (MI) schemes has been taken up to stabilize 6.25 lakh acres ayacut at a cost of Rs.1044 Crores. In the first phase, Rehabilitation of MI schemes sanctioned under World Bank assisted AP Community Based Tank Management Project (APCBTMP) are in progress. The scheme is intended to improve 3000 Tanks of a total project cost of Rs. 1044 Crores. The scheme is in progress and about 1899 Schemes have been grounded. 95

Building up of Scientific Database for Hydrology: Hydrology Project Phase-I at a cost of Rs.21.03 crores was taken up for measurement validation, transfer and dissemination of Hydrological, Hydro meterological and Water Quality Data for formulation of Irrigation Projects, Drinking water, Industrial and Power Projects and to establish computerized data base net work. Under this programme, 77 Gauge Discharge sites on various minor streams and 40 Digital water level recorders at various reservoirs have been established. Further 208 Standard Rain Gauge stations, 80 Auto Graphic Standard Rain Gauge stations, 8 Full Climatic Stations, 15 Water Quality Level-I and Water Quality Level-II Labs have been established. The World Bank has approved the Hydrology Project Phase-II under IBRD loan No.4749 IN A.P as one of the implementing agencies among 13 States and 8 Central Departments in the Country. The project will expand development of a comprehensive Hydrological Information System and will implement activities towards improved planning and development of Water Resources. The cost of the project is restricted to Rs.6.81 Crores during Mid-Term Review by the World Bank. The project cost has been revised to Rs 8.83 Cr by providing additional funds for upgrading existing networks with Real Time Telemetry System. The Phase-II has been commenced in April 2006. A website is also developed for which the URL is http//hp-apsw.cgg.gov.in. Hydrological Data Users Group (HDUG): Hydrological Data User Groups (HDUG) at State Level and District Level formed to asses the Hydrological Information Needs (HIN) of Data Users. So far 5 State Level HDUG meetings, 17 District Level HDUG meetings and 11 Awareness Raising Workshops were conducted to create awareness among data users and to asses the needs. Mass events like exhibitions, school visiting are also being conducted as part of awareness programmes.

Trainings: Capacity building is being takenup by imparting trainings to the staff of Hydrology Project in various subjects viz. Hydrology, Procurement, GIS, and Computers etc. Decision Support System (DSS): SRSP System in middle Godavari Sub Basin (G5) is chosen for development of DSS for SW planning as part of HP-II in AP. Mike basin software is being used for DSS (P) Most of the data needed for the system is already collected and communicated to consultants and NIH, MIKE BASIN model setup for SRSP system with supporting data is created. Additional net work of 25 ARG/SRG & 4 FCs has been established to support DSS. The consultants have finalized Generic Model in consultation with NIH and the same will be used in the state to customize the SRSP features and conditions. Purpose Driven Studies (PDS): Purpose Driven Studies (PDS) in Reservoir Sedimentation Studies for SRSP, Kadem, Jurala and Nizam Sagar are being taken up through APERL, Hyderabad at a cost of Rs 60.50 Lakhs. The following projects are executed in Command Area Development Authority to improve the capacity of the Irrigation systems Andhra Pradesh Irrigation Livelihood Implementation Project (APILIP): Under this project, 55 new minor irrigation projects with an estimation of new ayacut of 17208 hectares and modernisation work has been taken up in 20 Medium projects with stabilizing an extent of 34514 hectares.. The total cost of the project is Rs.1137.74 crores. An amount of Rs. 97.56 crores was spent under this project during the year 2011-12. Andhra Pradesh Community Based Tank Management Project (APCBTMP). Under this project, 2157 Tanks Renovation works have been taken up for stabilizing ayacut of 60000 hectares with an estimated cost of Rs. 1044.30 crores. An amount of Rs.83.25 crores was spent under this project during the year 2011-12. Repairs, Renovation and Restoration of Minor Irrigation Tanks (RRR-II) Under this project 1029 tanks have been covered for stabilizing ayacut of 34091

hectares with an estimated cost of Rs.339.70 crores. The development of Irrigation potential and its utilization is given in Annexure 7.1. Minor Irrigation Census: As per the 4th Minor Irrigation Census, there are 23.06 lakh minor irrigation sources in Andhra Pradesh during the year 2006-07 as against 20.36 lakh sources in 3rd Minor Irrigation Census 2000-01 registering an increase of 13.28 percent. The statement showing variation on Minor Irrigation sources from 1986-87 to 2006-07 is given in Annexure-7.2.

* **
GROUND WATER
7.2 Groundwater is one of the major source of drinking water in both urban and rural areas. Besides, it is an important source of water for the agricultural and the industrial sector. Being an important and integral part of the hydrological cycle, its availability depends on the rainfall and recharge conditions. The demand for water has increased over the years and this has led to water scarcity in many parts of the world. During the past two decades, the water level in several parts has been falling rapidly due to an increase in ground water extraction. The number of wells drilled for irrigation of both food and cash crops have rapidly and indiscriminately increased. Intense competition among users viz., agriculture, industry, and domestic sectors is driving the groundwater table lower. The National Water Policy (1987) calls for controls on the exploitation of groundwater through regulation and an integrated and coordinated development of surface- and ground-water. Functions of Ground water development: Periodic estimation of the groundwater resources of the state on a watershed approach and according clearances for minor irrigation schemes. Detailed investigations for delineation for potential zones and for selection of well sites, to be implemented by developmental agencies and individuals. 96

 Investigations for identification of feasible areas and suitable sites for artificial recharge and rainwater harvesting structures. Drilling of exploratory cum production bore / tube wells in order to study the sub surface configuration of aquifers and assess the aquifer parameters Monitoring of groundwater levels and quality through a network of observation wells, stream flow check points and improved network of piezometers with Automatic Water Level Recorders. Conjunctive use studies in selected major Command areas. Special studies for evaluating the groundwater regime through modern tools like, aerial photographs, satellite imagery, Geographical Information System etc., in relation to the development and management activities under various programs. From 2009-10 onwards the department is shifted its focus to management by adopting Community Based Ground Water Management(CBGWM). Estimation of Groundwater Resources: For the purpose of estimation of groundwater resources, the state has been divided into 1229 watersheds (which are also called as groundwater basins or assessment units). The estimation was last done in 2010-11 with 2008-09 database. Categorization of watersheds/ mandals/ villages is made based on the stage of ground water development and the details are as follows:
% of stage of development (extraction) of ground water >100% 90% to 100% 70% to 90% <70% Category Over Exploited Critical Semi-critical Safe

As per the estimation, the ground water development as follows. Category Watersheds Mandals Over Exploited 94 84 Critical 49 26 Semi-critical 102 93 Safe 984 905 Total 1229 1108 Further, 2123 villages have been identified as over exploited for the purpose of notification under Andhra Pradesh Water, Land and 97

Trees Act (AP WALTA), where further exploitation of ground water is banned except for drinking water purpose. In terms of quantity, the total groundwater availability in the state is 30,761 MCM out of which 14,145 MCM is the utilization for various purposes leaving a balance of 16,616 MCM. The overall stage of ground water development is about 46%. The stage of ground water development in command areas which constitutes about 23% of the states area is 30% and in non-command areas the stage of groundwater development is 57%. Groundwater Development A study of the composite hydrographs of the past and the present indicates the groundwater development taking place in the state. It is generally observed that more the recharge more will be the utilization. A break point will be reached where the number of wells will increase whereas the groundwater exploitation and the total area irrigated through groundwater remains constant and the power consumed will also increase considerably. At present, on an average about 1.2 hectares is irrigated per well and on an average a total number of 50,000 wells per year are commissioned due to which the average unit area irrigated per well may decrease. The irrigation potential created under groundwater during 2009-10, is 22.84 lakh hectares. At present, the well population is more than25 lakhs (mostly bore wells) and the area irrigated under groundwater for the year 2009-10 was 33.43 lakh hectares and 2010-11 was 36.72 lakh hectares. If micro irrigation practices are adopted, the irrigation potential through groundwater can reach about 46 lakh hectares. Investigations: During the year 2010-11 the Ground Water department has investigated 20,648 sites under various programmes for selection of Well Sites, Lift Irrigation, Artificial Recharge Structures etc. A total of about 10,993 beneficiaries were covered and about 11,508 hectares of land was either stabilized or new areas were brought under irrigation. Out of the above, about 2,909 Scheduled Castes and 1,198 Scheduled Tribes beneficiaries were covered under Special Component Sub-plan and Tribal Sub-plan

programmes. An area of about 2,490 hectares for Scheduled Castes and about 1,475 hectares for Scheduled Tribes were either stabilized or new areas were brought under irrigation. Under CLDP, and APWALTA an area of about 7,543 hectares was covered benefiting about 7,876 farmers. In addition to the above, investigations were also carried out in 1,077 sites for selection of well sites for Industries under environmental clearance and for drinking water. 818 sites were investigated under Lift Irrigation and Artificial Recharge Structures. During the year 2011-12 (upto November, 2011), the Ground Water Department has investigated 10,791 sites under various programmes for selection of Well Sites, Lift Irrigation, Artificial Recharge Structures etc. A total of about 7,426 beneficiaries were covered and about 7,858 hectares of land was either stabilized or new areas were brought under irrigation. Out of the above, about 1300 Scheduled Castes and 1469 Scheduled Tribe beneficiaries were covered under Special Component Sub-plan and Tribal Subplan programmes. An area of about 1,488 hectares for Scheduled Castes and about 984 hectares for Scheduled Tribes were either stabilized or new areas were brought under irrigation. Under CLDP and APWALTA an area of about 5,140 hectares was covered benefiting about 4,315 farmers. In addition to the above, investigations were also carried out in 618 sites for selection of well sites for Industries under environmental clearance and for drinking water. 308 sites were investigated under Lift Irrigation and Artificial Recharge Structures. Monitoring of Ground Water Levels: During 2010-11 (there is a net rise in the groundwater level to an extent of 3.01 m. in the State over the last year (March, 2010) ground water level. Coastal Andhra region recorded a net rise of 2.58 m, Rayalaseema region recorded a net rise of 2.36 m. and the Telangana region recorded a net rise of 3.86 m. over March, 2010 ground water level. During 2011-12 (upto November, 2011) there is a net fall in the level of ground water to an extent of 2.53 m. in the State against the last year (November, 2010) groundwater level. Coastal Andhra region recorded a net fall of 98

2.53 m and Rayalaseema region recorded a net fall of 2.42m and the Telangana region recorded a net fall of 2.69 m. against November, 2010 groundwater level. Monitoring of water quality: The department collects water samples during Pre-monsoon [May] and Postmonsoon [November] from all the monitoring network wells and also wherever necessary during the investigations. These water samples were analysed in the Chemical Laboratories of the department. During 201011, the department has analysed 10,817 water samples against the target of 8358. During 2011-12 (upto November, 2011), 9441 water samples analysed against the target of 9189. Drilling: During 2010-11, out of the annual target of 330 wells under drilling, 416 wells have been constructed. Under SCSP 182 wells and under TSP 104 wells were constructed to provide irrigation for the benefit of Scheduled Caste and Scheduled Tribe beneficiaries. During 2011-12 (upto November, 2011), out of the annual target of 300 wells under drilling, 64 wells have been constructed. Of which 32 under Special Component Sub-Plan, and 29 wells under Tribal Sub-plan were constructed World Bank Assisted Projects: Hydrology Project Phase II: World Bank Assisted Hydrology Project Phase-II is a sequel to Hydrology Project-I, will build on and expand development of a comprehensive Hydrological Information System (HIS), for improving access and use by user departments, civil society and other data users in the sector, thereby intensifying the use of HIS in effective and efficient water resources planning and management. Andhra Pradesh Community Based Tank Management Project: Participatory Groundwater Management aims at empowering the groundwater users in the tank influence zone to wisely manage the dynamic groundwater resources. Participatory Groundwater Management comprises of five major activities capacity building of the stakeholders. participatory hydrological monitoring (PHM).

 Water audit and crop water budgeting Crop planning and Crop adoption. Under this component a total of 314 tanks have been selected for Participatory Groundwater Management activities, falling in 13 districts, covering 146 Mandals in 161 assessment units. The activities cover installation of PHM equipments including rain gauges, drilling of piezometers, trainings, data analysis and dissemination etc. Andhra Pradesh Water Sector Improvement Project: There is a need to develop a new groundwater management model that recognizes limitations of existing management system by individual and recommends an aquifer level groundwater management by the community. Under the above project two pilot projects are undertaken by the department. They are a) User Centered Aquifer Level Groundwater Management Pilot and b) Conjunctive use of surface and groundwater pilot. Centrally Sponsored Scheme: Under this scheme, the department is conducting technical studies on the impact of construction of artificial recharge structures in Kadapa, Chittoor, Mahabubnagar, Rangareddy and Medak districts.

686 MU to 42,468.84 MU (April11 to Sep11). The annual total revenue including non-tariff income from sale of power increased, from mere Rs.5.50 crs to Rs.17584.20 Crs. (excluding State Government subsidy). The development of the APSEB / APTRANSCO over the last 50 years is shown in Table 7.1. Table 7.1 Power Development Item
Installed Capacity(MW) Peak Demand met (MW) Consumers served (Lakh Nos) Annual Energy Handled (MU) Agricultural services (Lakh Nos) Annual Revenue including Non-tariff income (Rs Crs.) (excluding subsidy / support from GOAP) (2009-10) actuals Per-capita consumption (KWh)
Source: AP TRANSCO

1959 213 146 2.7 686 0.18

2011 (upto Sep. 15768.14 11579 234.63 42468.84 (April to Sep11) 29.50

5.50

17584.20

11.5

952 (upto March11)

***
POWER
7.3 The Andhra Pradesh State Electricity Board, was formed in 1959.During 1999, the APSEB has been restructured into two functionally distinct corporations viz., APGENCO & APTRANSCO. Distribution business was segregated from APTRANSCO by formation of four distribution companies w.e.f. 01-04-2000. Trading activities were entrusted to four Discoms w.e.f. 09.06.2005 in compliance with Electricity Act, 2003. From 1959 to 2011-12 (upto September,2011), the installed capacity has been increased from 213 Mega Watt (MW) to 15768.14 MW; the consumers served have grown up from 2.7 lakhs to 234.63 lakhs, the energy handled per annum increased from 99

The Andhra Pradesh Electricity Regulatory Commission (APERC) constituted by Government of Andhra Pradesh, has been functioning w.e.f 31st March 1999. APERC has issued annual / multi year Tariff Orders regularly from 2000-01 onwards. Government is particularly committed to the welfare of farmers by way of providing free power to all agriculture consumers including all the services released. Government has provided a Tariff subsidy of Rs.3652.81 Crs during the year 2010-11. The Tariff subsidy provided to agricultural sector is Rs 2074.31 Crs and cross subsidy to agricultural sector is Rs.2393.96 Crs . Government has provided a Tariff subsidy of Rs. 4209.95 Crs during the current year ie. 2011-12. The Tariff subsidy provided to agricultural sector is Rs 2401.32 Crs and

cross subsidy to agricultural sector is Rs.2670.39 Crs. Government of Andhra Pradesh provided free power to Agriculture Sector with effect from 14.05.2004 in view of the extreme hardships faced by agriculture consumers in the past years. Government has also waived the power consumption arrears relating to agricultural consumers of DISCOMs and RESCOs and in this connection the Govt. reimbursed Rs.975 Crores to the utilities. As per modified policy, farmers having upto 3 connections in dry land, up to 2.5 Acres land holding in wet land are eligible for free power. Out of 29.50 Lakh Agricultural Services, all the farmers are eligible for free power except farmers having more than 3 connections in dry land, more than 2.5 Acres land holding in wetland, IT assesses and corporate farmers. The modified policy proposes incentives and disincentives to promote energy saving measures. Incentivised tariff is proposed for those who go in for energy saving devices (reduction from 50 paise to 20 paise per unit) viz., installation of capacitors & frictionless foot valves by March 2006, ISI pumpsets and HDPE / RPVC pipes by March 2008. During the year 2011-12, it is programmed to release 1,50,000 new agricultural connections. So far, 41,304 agricultural services have been released during 2011-12 upto 30.09.2011. 22.51Lakh capacitors have been fixed to the pumpsets as on 30.09.2011 (80.66%). This will result in saving of power by 8 to 10%. Priority is given by Government for promoting Lift Irrigation in order to reduce exploitation of ground water. Four Major Lift Irrigation schemes, 591 medium Lift Irrigation schemes at 33kV and 11kV supply and 2,999 minor Lift Irrigation schemes at LT supply are existing as on 31.03.2011. Dedicated feeders were provided for 290 Nos. HT Lift Irrigation schemes. Restructured-Accelerated Power Development and Reforms Programme (R-APDRP) The focus of the programme shall be on actual, demonstrable performance in terms of sustained loss reduction. Power Finance Corporation (PFC) is the Nodal Agency to operationalise the programme. Towns and cities with population of more than 30,000 and 100

also certain high-load density rural areas are covered under this programme. Projects under the scheme shall be taken up in three Parts. Part-A: This shall include the projects for establishment of baseline data and IT applications for energy accounting/ auditing & IT based consumer service centers. PartB: This shall include regular distribution strengthening projects such as Renovation, modernization and strengthening of 11kV level Substations, Transformers/ Transformer centers, Re-conductoring of lines at 11kv level and below, Load Bifurcation, feeder separation, Load Balancing, HVDS (11kv), Aerial Bunched Conductoring in dense areas, replacement of electromagnetic energy meters with tamper proof electronic meters, installation of capacitor banks and mobile service centers etc. In exceptional cases, where sub-transmission system is weak, strengthening at 33 kV or 66kV levels may also be considered. PartC: This part, to be implemented by Ministry of Power/ PFC, will include, Preparation of System Requirement Specifications, validation of the Base- line Data, appointment of Project Advisors and Project Management Consultants. The programme would be of the size of Rs. 51,577 Crs. Part-A : Rs. 10,000 Crs. Part-B : Rs. 40,000 Crs. and Part-C : Rs. 1,577 Crs. The details of R-APDRP are shown in Table 7.2.
Table 7.2 Restructured-Accelerated Power Development and Reforms Programme Amount Amount DISCO No. of Sanctioned Released M Towns (Rs. Crs) (Rs. Crs) EPDCL 28 60.66 18.20 SPDCL 32 107.83 32.35 CPDCL 31 175.03 52.53 NPDCL 22 44.50 13.35 Total 113 388.02 116.43
Source: AP TRANSCO

An amount of Rs. 1056.59 crores is sanctioned for part - B works in 42 towns of Andhra Pradesh. An amount of Rs. 162.56 crores is sanctioned for taking up

SCADA/DMS in 5 towns of Andhra Pradesh. The IT works (part - A) in all the four discoms of A.P are in various stages of execution and targeted for completion by February, 2012. Rajiv Gandhi Grameen Vidyutikaran Yojna ( RGGVY): The Government of India has introduced Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY) programme in the year 2005 with an aim to provide access to electricity to all households in the country. The outlay of RGGVY is Rs 854.81 crores for four APDISCOMs and four RESCOs for electrification of 14,309 un-electrified habitations and 36,35,754 rural households including 25,92,140 BPL rural households. The above scheme cost includes Rs 478.39 crores for infrastructure development and Rs 327.82 crores for electrification of rural households including BPL rural households. Under RGGVY programme, so far, 13,616 un-electrified habitations and 31,16,196 rural households including 26,56,600 BPL rural households have been electrified up to September 2011. So far, DISCOMs have incurred an expenditure of Rs 839.36 crores REC has released an amount of Rs 749.95 crores to DISCOMs. High Voltage Distribution System (HVDS) High Voltage Distribution System (HVDS) was introduced in the State which aims at reduction of loss through replacement of the low voltage network with High Voltage and installation of large number of smaller capacity 11 kV / 400 V transformers viz., 25/16 kVA for supply to agricultural consumers. The benefits on implementation of HVDS are: Loss Reduction Prevention of un-authorized agricultural services Improvement in pump-set efficiency Reduction in Distribution Transformer (DTR) failure 101

HVDS has been implemented to the 6,70,830 agricultural services up to 31-032011 at the cost of 2123.01 crores. In addition to the above, during the year 201112 , HVDS has been implemented to 26,234 agricultural services up to 30-09-2011 at the cost of Rs 123.40 crores, bringing the total number of agricultural services under HVDS to 6,97,064 at the cost of Rs 2246.41 Crores. APRHVDSP Implementation of HVDS under JICA funding Loan Agreement was concluded between Government of India (GOI) and JICA on 16-06-2011 towards Andhra Pradesh High Voltage Distribution System Project (APRHVDSP) for implementation of HVDS to 2.43 lakhs agricultural services at the cost of Rs.1154.80 Crores with JICA loan component of Rs 988.80 Crores. The executing Agencies are APSPDCL, AP CPDCL and AP NPDCL. JICA has also communicated the approval on effectuation of loan. Proposed implementation period is 5 years from 2011-12 to 2015-16. Appointment of Consultant for Project Management is programmed to be completed by the end of December 2011 including tender finalization and JICA concurrence. It is programmed to finalise the tenders and to commence the works during 1st quarter of the financial year 2012-13. Generation Progress All six units of Priyadharshini Jurala Hydro Electric Project (6 x 39 MW) have been commissioned on 18.09.2008, 29.11.2008, 07.08.2009, 08.09.2010, 19.11.2010 and 04.08.2011 respectively. Kothagudem Thermal Power Station Stage-VI 500 MW: The project was synchronized with grid on 26.06.2011 and commercial date of operation was declared on 23.10.2011. Nagarjuna Sagar Tail Pond Dam Power House (2x25 MW): The excavation of the tail portion and powerhouse was completed. 72% of Power house concreting was completed. Two units are programmed for commissioning by June, 2012 and December, 2012 respectively. Pulichinthala HES (4x30 MW): Fist unit is programmed for commissioning by

June,2012 and balance three units at four months interval there after. Lower Jurala HEP (6x40 MW): Excavation of tail race pool, power house pit completed. 99% of excavation of tail race channel is completed. Fist unit is programmed for commissioning by August ,2012 , Unit-2 by October,2012 and the balance four units in four months interval there after. Solar Photovoltaic Power Project at Jurala HEP(1MW): This project is proposed under Jawaharlal Nehru National Solar Mission(JNNSM). The registration of the project with the programme administrator M/s IREDA is completed and confirmation for Generation based Incentive (GBI) is also received. Tenders were called for EPC contract of the project on eprocurement platform. Excavation, sand sluicing and PCC foundation works of solar panel pedestal footings are in progress. Controlling of Commercial losses To bring down the commercial losses due to theft and malpractice, a special ordinance amending the Electricity Laws as Indian Electricity (AP amendment) Ordinance, 2000 was promulgated and the bill was passed in the Legislative Assembly in September, 2000 and made effective from 31st July 2000. After enactment of the above Act., 11,74,672 cases have been booked up to September 2011 and 12,117 persons have been arrested. Rs 142.67 Crs has been realized against a penal assessment of Rs.326.01 Crs. Rs.107.13 Crs have been collected during the above period as compounding fees for first offence from 10,28,928 cases that were compounded. Single phasing arrangement have been provided to 9449 Rural feeders to provide Proper regulation of hours of supply to agriculture. Improved voltages for lighting supply in rural areas. Replacement of Meters: During 2004-05 to 2009-10, 91.89 lakh sluggish / struck-up / burnt out electro mechanical meters were replaced with high quality electronic meters. During 2011-12 (up to 8/11), 8.44 Lakh defective meters were replaced. 102

Billing and Collection Spot billing using hand held computers was introduced covering all the areas i.e., Towns, Municipalities, Mandals and Villages. Monthly spot billing is introduced in all Municipalities. On-line billing collection facility is available in Hyderabad city and in all the towns through 300 e-Seva centers. On-line billing collection facility in rural areas is available through 1313 RSDPs (Rural Service Delivery Points) and also e-Kiosks and APonline internet centers. Electricity Consumer Meetings Meetings with consumers are being held every month at circle and division level. Major issues raised are billing complaints and delay in replacement of DTRs in rural areas. Vidyut Adalats held every week to resolve billing complaints at Mandal Head Quarters. Distribution Transformer replacement (DTR) centers increased from 85 to 226 for timely replacement. IT Initiatives Various Information Technology (IT) initiatives have been taken up in Distribution Companies (DISCOMs) to improve the performance and bring in transparency & accountability. CAT (Consumer Analysis Tool) MATS (Monitoring and Tracking System) TIMS (Transformer Information Management System) PMRS (Performance Monitoring and Reporting System) Book Consolidation Module Remote Meter Reading (RMR) Enterprise Resource Planning (ERP) has been implemented in APTRANSCO and DISCOMs. E-Vaaradhi, an electronic way to reach electricity consumers is introduced in EPDCL for passing the messages relating to billing information, power shut down information etc., through SMS. Management uses these tools very efficiently for improving Accountability and

Productivity of employees and enhancing transparency. Awards AP Power Sector secured the first rank in CRISIL rating for the year 2004-05 with a score of 55.81. APTRANSCO was adjudged second best in the country in Transmission availability for the year 2004-05 next to Power Grid Corporation of India Limited (PGCIL) by MOP, GOI. APTRANSCO received the Power Lines Expert Choice Award 2006 for Most admired Organization in the State Sector. APTRANSCO was adjudged best in the country in Transmission availability for the years 2005-06 (with 99.87%) and 200607(with 99.89%) by Ministry of Power, Govt. of India and received Gold Shield. APTRANSCO has received the India Power 2008 award for the best overall utility performance presented by council of power utilities. APTRANSCO received 2nd prize in IEEMA power awards 2009 for excellence in power transmission. APTRANSCO has achieved the 4th Enertia Award for Best Performing Utility (State) (under Category III: Utilities and T & D Awards) in October2010. APTRANSCO won special award in India Power awards for the best overall utility performance conferred by council of power utilities in November 2010. AP Transco has been awarded National Vigilance Excellence Award for the year 2011 at all India level among various banks, PSUs and other Ministries for the vigilance activity under preventive vigilance. This award presented by the Vigilance Commissioner, Central Vigilance Commission during the VIII Vigilance anniversary Celebrations on 08-07-2011. APTRANSCO is adjudged as the Joint winner of prestigious 5th Enertia award under Best Performance Utility State Category in October 2011 for its continued excellence in the areas of loss reduction and Transmission system availability.

APTRANSCO was chosen for the excellence in Cost Management Award , for achieving various economic and efficiency measures, by a jury headed by Justice S Varma, former Chief Justice of the Supreme Court in the year 2011. Current Scenario: The present installed capacity in the State up to the end of September 2011 (including share from Central Sector) is 15,768.14 MW. The energy available from various sources for use during 2011-12 (up to 9/2011) was 42468.84 MU. The number of consumers served has increased to 2.35 crores as on 30-9-2011. The per capita consumption has reached 952 KWH during 2010-11. 4354 sub-stations and 8,37,087 distribution transformers are existing up to end of September 2011. The details of Power Generation and Distribution are given in Annexure 7.3. To meet the growing demand for power, the Government is constructing projects in State sector and encouraging private sector to implement gas based and other projects. During 10th fiveyear plan, 2940 MW capacity was added to the system. Out of 2940 MW, 824 MW is under State Sector, 1355 MW is under Central sector, 428 MW is under private sector (gas based projects) and 333.05 MW are Non Conventional Energy projects and others. It is programmed to add 5484.79 MW during 11th five year plan i.e. 2007-12, out of which 3053 MW is under State sector, 769.23 MW is under Central sector, 1128 MW is under private sector (Gas based projects), and 534.56 MW are Non conventional Energy Projects. During 11th five year plan i.e. 2007-12, 3772 MW was already added to the present installed capacity ( ie. 2163 MW under State sector, 254.09 MW is under Central sector, 1128.1 MW is under private, 226.66 MW is under Non conventional Energy Projects). It is programmed to add 17126 MW during 12th five year plan i.e. 2012-17, out of which 9012 MW is under State sector, 2754 MW is under Central sector, 5360 MW is under private sector (Gas based projects).

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103

ROADS AND BUILDINGS

7.4 BUILDINGS: Plinth area of the Government Buildings (Both Residential and Non-Residential) in the State has increased from 22.80 lakh Sq.feet. as on 1.4.1965 to 99.72 lakh Sq.feet as on 30.9.2011. ROADS Roads are one of the basic modes of transportation system and also an important priority sector of Infrastructure. Systematic development of road is one of the important pre-requisites for development and acceleration of growth in the economy. Among the different modes of domestic transportation systems, Road transport carries more than 80 percent of the Goods and Passenger traffic. The network of roads, particularly from rural to urban facilitates speedy movement of goods and services and ensures higher growth trends, social integrity and well being of the society. The productivity and efficiency of Road transport is directly linked with the availability and quality of Road network. In view of the high potential in Agricultural activity, there has been huge increase in Road network. The total R&B Road Network in the State is 70,394 Kms as on 30-09-2011. Of this, the National Highways constitute 4,730 Kms, the State Highways constitute 10,470 Kms and Major District Roads constitute 32,205 Kms and Rural Roads 22,989 Kms. The density with reference to R&B Road Network in the State is 0.23 Kms per one Square Kilometer and 0.86 Kms per 1,000 persons. State Roads: The State Roads wing of the R&B department constructs and maintains Roads and Bridges to stipulated standard on all 53,616 Kms Non- Core net roads under its control, including those taken over from Panchayat Raj department or other Local Bodies. This is done by removing the existing deficiencies in the road system such as improvements or widening to the existing pavements, construction of bridges on unbridged crossings or construction of missing links and improvements to Geometrics on 104

existing roads for improved road safety and maintenance of the existing roads in order to provide all weather roads and to maintain the existing roads in good condition. Repairs and Maintenance of Roads (NonPlan) The Roads wing is maintaining the Road Network of 53,616 Km (Non- Core Net roads) out of a total 65,664 km State Roads using the grant under non-plan (maintenance). Ordinary Repairs (Maintenance): Under Ordinary Maintenance works such as patch work, sectioning of berms, jungle clearance, maintenance of bridges or culverts/CD works and urgent repairs to the roads are taken up. It is meant for the routine maintenance of the roads. 25% of the nonplan grant under SH and MDR is allocated for ordinary maintenance. The O.R grant is allocated to the executive engineers based on the length of roads in their jurisdiction. Special Repairs: Under special repairs programme, the roads which are ripe for renewal within or beyond renewal cycle of 4 to 5 years are considered for renewal of top BT layers. Every year badly damaged roads are identified which are ripe for renewal and based on the budget allotted, the roads are taken up for special repairs. Plan Works Under Normal State Plan, original works other than maintenance nature works are taken up. Under the scheme works, new road formations, construction of new bridges, widening or strengthening of the existing roads are taken up. During last seven years Government have sanctioned 137 works under MDR and SH costing Rs. 1618.79 Crores. At present, 58 works costing Rs. 357.66 Crores were completed and 33 works costing Rs. 466.50 Crores are in progress and the balance works are in tenders and estimate stage. Under Tribal Sub Plan(TSP), Government have sanctioned 31 works costing Rs. 126.26 Crores. At present, 22 works costing Rs.48.83 Crores were completed, 5 works costing Rs.50.68 Crores are in progress.1 work costing Rs.5.94 Crores at Tender Stage

and 3 works costing Rs.20.81 Crores at Estimate Stage. Under Special Component Sub Plan, the Government have sanctioned 64 works costing Rs. 60.48 Crores. At present, 25 works costing Rs.21.48 Crores were completed, 34 works costing Rs.34.00 Crores at tender stage and 5 works costing Rs.5.00 Crores at estimate stage. Apart from the above, road safety engineering works were also sanctioned and the works are almost completed. Rural Development Fund (RDF): Rural Development fund works are taken up in roads and buildings department with Agricultural Marketing committee funds from the year 2008-09 onwards with a budgetary provision of Rs.244.66 Crores in order to improve the connectivity of rural areas and to transport the agricultural produce to the nearby market yards. So far, 488 works costing Rs. 497.203 Crores from 2008-09 to 2011-12 were sanctioned under Rural Development Fund works. Six works costing Rs. 5.87 Crores were deferred. 482 works costing Rs. 491.333 Crores were taken up. 336 works costing Rs. 327.848 Crores were completed. 116 works costing Rs. 127.635 Crores in progress. 6 works costing Rs. 8.84 Crores are at Agreement Stage. 24 Works costing Rs. 27.51 Crores are at Tender Stage. Central Road Fund(CRF) Scheme: Improvement to roads under Central Road Fund, which is being released by Government of India as per The Central Road Fund Act 2000, Act No. 54 of 2000. Under the CRF act, Government of India has introduced diesel and petrol cess at Rupee.1.50 on sale of one liter of Petrol / Diesel. The fund so collected is meant for utilization of development and maintenance of National Highways. development of the Rural Roads. development and maintenance of other State Roads including roads of Inter State Connectivity(ISC) and economic importance(EI). construction of Roads under (or) over the Railways by means of a bridge and 105

erection of safety works at unmanned rail road crossings. Distribution in respect of such projects as may be prescribed.
Status of CRF, ISC & EI Schemes
Amount in Rupees

Works takenup(Nos) Works completed(Nos) Works are in progress(Nos) Works are at Revevalidation Stage(Nos) Administrative sanction awaited stage(Nos)

818 771 40 6

2178.71 1969.22 168.27 16.49

24.74

Total expenditure incurred from 2000-01 to 2010-11 was Rs.1988.05 Crs, of which Rs.87.75 Crs was state share and remaining Rs.1900.30 Crs was admissible expenditure incurred. The amount reimbursed by Government of India was Rs.1300.90 Crs and balance amount to be reimbursed is Rs.599.41 Crs. Railway Safety Works (ROBs/RUBs) Scheme Road Over / Under Bridges (ROBs/RUBs) are mainly constructed in lieu of busy level crossings. The Constructions are being taken up under cost sharing basis with State Governments on 50:50 basis as per the norms. Construction of ROBs/RUBs and manning of unmanned level crossings where Train Vehicular Units (TVUs) are more than 1.00 Lakh, are essential components of Railway Safety Works, and are of utmost importance for Railway Safety. The proposals for ROBs/RUBs are being approved by Railway Board. As on today 122 Nos of ROBs/RUBs under Road Safety Works scheme are approved by Railway Board during the preceding years which are at various stages of construction. 48 ROBs/RUBs costing Rs.612.18 Crores Completed.34 ROBs/RUBs costing Rs.830.45 Crores in Progress.4 ROBs/RUBs costing Rs.112.60 Crores at Tender Stage.15 ROBs/RUBs costing Rs.585.20 Crores are

received administrative sanction from Government., and are at estimation stage. Administrative sanction awaited for 11 ROBs costing Rs.337.61 Crores.10 ROBs/RUBs costing Rs.372.71 Crores at Investigation stage. Further, as per public representations, ROBs/RUBs are being taken up at Level Crossings which are having less than 1.00 lakh PCUs. These works are not shared by Railways and are taken complete 100% share from Government of Andhra Pradesh. 11 Nos of ROBs/RUBs are taken up, which are at various stages of construction.4 ROBs/RUBs costing Rs.53.43 Crores are in progress. 7 ROBs/RUBs costing Rs.147.57 Crores is at estimation stage. National Highways: As on September, 2011 there are 17 National Highways in the State covering a length of 4730 Kms, of which four-lane and above are 2047 Kms, two-lane are 2318 Kms and Intermediate lanes are 116 Kms and Single lanes are 249 Kms. The density of National Highways is 5.59 Kms per lakh population (2011) in the State and in terms of area coverage, a length of 17.19 Kms is available for every 1,000 Sq. Kms in the state. The corresponding figures at all India level are 5.85 Kms and 21.52 Kms respectively. National Highways Development Project (NHDP) Phase I & II, III and Port Connectivity: The National Highways No.5, 7 and part of 9 are taken up for development of four-lane roads in the State. The total length of the roads taken up for development by the NHAI is 1,834 Kms. Under Phase-I, the Golden Quadrilateral covering a length of 1062 Kms is completed. Under Phase-II North South Corridor covering a length of 772 Kms is under progress and so far a length of 519.48 Kms is completed. Similarly, under Port connectivity road of length 12 Kms and other projects of road length 58 Kms are completed. Under PhaseIII, 519.50 Kms length of National Highways is proposed for widening into Four-Lane on the basis of Build, Operate and Transfer (BOT) model. The road works 106

proposed under this model are - 241.0 Kms length of Hyderabad-VijayawadaMachilipatnam on NH-9, 192.5 Kms length on Kadapa-Mydakur-Kurnool section on NH-18, 30.0 Kms length of HyderabadYadagirigutta section on NH-202 and 56.0 Kms of Tirupathi-Tiruthani-Chennai section on NH-205. Road works on NH9, NH 18, NH202 and NH 205 are entrusted and in progress. Other Important Activities: A stretch of 31 Kms roadwork from Kms 493/0 to 524/0 of NH-9 from Sangareddy to Hyderabad was widened to Four-lanes on BOT basis with an estimated cost of Rs. 99.00/144.00 Crores. The concession period of the BOT project is 11 years and 7 months (including the construction period of two years). The commercial operation of the project was commenced from 29.12.2008. Under NHDP IV A/B two laning with paved shoulders/four laning on selected National Highways on Public Private Partnership (PPP) basis is to be taken up in the State. Preparation of feasibility reports are under progress for four stretches viz., two laning with paved shoulders of Kathipudi to Digamarru on NH 214 for a length of 140 Kms, Vijayawada to Bhadrachalam on NH 221 for a length of 169.7 Kms, DigamarruOngole Road, NH 221 for the entire length of 255 Kms and four laning of NH 4 for the entire length of 84 Kms in the State. Consultants engaged by the GoI for the preparation of feasibility report for four laning of the entire length of 56 Kms in A.P. have submitted final PPR to the Ministry. Finally, evaluation of the RFPs received from the consultants for engagement for prepration of feasibility report for KalyanNirmal Road is under progress. Under Left Wing Extremism (LWE) scheme, the GoI have sanctioned five works on NHs, out of which four works entrusted to the agencies are in progress, and one work is major work of construction of bridge at Eturunagaram across Godavari on NH 202 and the amount of estimate is Rs 278.31 crores, tenders are to be finalized by GoI. A stretch of 6.60 Kms Road work from Km 124/0 to Km 130/6 of NH 202 was

sanctioned by MoRTH at a cost of Rs 24.87 Crores and work is in progress. Construction of a road bridge across Vynatheya, a branch of Godavari on Kathipudi-Pamarru Road was sanctioned for an amount of Rs.7042.82 Lakhs and the work is in progress. Further agreement was concluded for the work of Construction of a road bridge across river Godavari on Nizamabad-Jagdalpur Road was sanctioned for an amount of Rs.6101.88 Lakhs HUDCO 13th Finance Commission Works: Strengthening and widening of municipal and inter city roads in Andhra Pradesh was taken up with loan assistance of Rs 700.00 Crores from HUDCO during the year 200506. Under this scheme, 523 works covering a length of 1240 Km, costing Rs 717.67 Crores were sanctioned, out of which 502 works with a length of 1193 Km, costing Rs 620.45 Crores were already completed. 1760 Nos of Road safety interventions works at a cost of Rs 198.00 Crores were also taken up out of which 1753 works already completed at a cost of Rs 194.00 Crores under HUDCO scheme. The expenditure incurred so far on these HUDCO works is Rs 843.48 Crores. 13th Finance Commission have allocated a grant of Rs 981.00 Crores for maintenance of Roads and Bridges in Andhra Pradesh during the period 2011-12 to 2014-15. Out of which, the grant allocated to R&B is Rs 616.16 Crores for 4 years i.e from 2011-12 to 2014-15. Action plan has been approved by High level Committee for taking up 1087 Km length at a cost of Rs 136.29 Crores during year 2011-12 and 1270 Km length at a cost of Rs 146.97 Crores during the year 2012-13. Action being taken to call for tenders and ground the works sanctioned for the year 2011-12. NABARD WORKS- RIDF: Government of Andhra Pradesh has identified the urgent need to create adequate employment opportunities in rural areas through development of infrastructure. As part of the State Government has taken up infrastructure development in rural areas through financial assistance of NABARD from 1995-96 with two funds viz., RIDF(Rural Infrastructure and Development 107

Fund) & RIAD(Remote and interior area development). Government of Andhra Pradesh has selected Roads and Buildings department for improvements of roads and construction of bridges in rural areas. Since inception of NABARD funding to rural area infrastructure nearly 13,150 Kms of rural roads have been brought to riding surface with BT and connected to nearby towns. 329 bridges have been constructed. So far 1781 Road works, 329 Bridges (Total 2110 works) sanctioned with a cost of Rs. 2666.98 Crores since 1996-97 to 2009-10 under RIDF II to RIDF XVI & RIAD (Phase I) to RIAD (Phase-IV). In which 2097 works taken up with a cost of Rs. 2651.78 Crores. 1992 Works were completed with a cost of Rs. 2313.96 Crores. 86 Works costing Rs. 295.81 Crores are under progress. 15 works costing Rs. 26.09 Crores were terminated / closed. One work costing Rs. 1.55 Crores RAS pending with Government. Three works costing Rs. 14.37 Crores are at tender stage. In the year 2011-12, 66 works with an estimated cost of Rs. 203.30 Crores under RIDF XVII and 29 works with an estimated cost of Rs. 70.77 Crores under RIAD (Phase V) were cleared by NABARD on recommendation of State Government Administrative sanction was accorded by the government for Rs. 203.30 Crores and Rs. 7.28 Crores respectively for RIDF and RIAD Phase V. Tenders were invited for 47 works in RIDF XVII with an estimated cost of 136.92 Crores. There is still nearly 2500 Kms of metalled and unmetalled surface in rural areas to be improved in order to bring to BT surface and to connect rural areas to nearby towns.

Andhra Pradesh Road Development Corporation (APRDC)

The Road Development Corporation was established in the year 1998 with an objective for the development and maintenance of Roads in the State and other allied and incidental activities there to. Under AP State Highway Project (APSHP), which was taken up with World Bank loan, 1400 Kms length of roads were improved in

Widening and Strengthening component under capital improvement and 1734 Kms length of roads were improved in Heavy Periodic Maintenance. These roads consisted State Highways (SH) and Major District Roads (MDR). The other set of around 1818 Kms of roads were improved under AP Economic Restructuring Project to clear the maintenance backlog on core network of arterial roads. A.P. Road Sector Project (P 096021) The Project is approved by the Government of India and World Bank for further strengthening the objectives set in the APSHP, to reduce the transport cost and constraints. The cost of the project is estimated at Rs. 3165 Crores. Major Component of the Project: a)Up-gradation and Improvement component for 429 Kms: Cost Rs.1546.61 cr. i. In this component, 428.6 Kms (seven roads consisting of 9 packages)of road length is targeted for Widening and Strengthening. The road work for Chittoor Puttur road (package 1) and Jagityal Peddapalli road (Package -6) are entrusted and works are in progress. ii. Tenders are invited for Kandi Shadhnagar road on 21.12.2010. Bid Evaluation report (BER) communicate to World Bank for NOC. A final decision is to be taken on the BER iii. Kurnool Devanakonda road agreement was concluded on 29.11.2011. Mydukuru Jammalamadugu Road consists of two packages ie. MJ-03 & MJ-04. For MJ-03, LOA is issued and MJ-04 tenders are invited to be received on 30.12.2011. iv. For Pedana, Nuziveedu Vissannapeta Road DPR & BD are finalized and are being furnished to bank for issue of No objection. Kakinada Rajahmundry Road Detailed Project Reports (DPRs) are under finalization. b) Long Term Performance Based Maintenance Contract (LTPBMC) 6241 kms: Cost Rs.1431.14 cr.(5 years duration) In this Component, 6151 Kms of roads are targeted for maintaining under LTPBMC. Under Phase-I, 11 Packages are entrusted (2113Kms) and works are in progress. In

Phase-II, 12 Packages are entrusted and works are in progress. The remaining 14 Packages inviting tenders is in progress are at various stages c) Institutional Strengthening, Road Safety & PPP Facilitation Support: Cost Rs. 191.36 cr. i) Institutional Strengthening Action Plan(ISAP)- M/s Lea Associates Ltd. Canada in association with LASA, New Delhi, were appointed as consultants for the consultancy services on ISAP implementation. The services were commenced on 07.04.2011. The consultants have submitted inception report and quarterly progress reports 1&2 and conducted one workshop so far. Institutional strengthening cell & Working group have been formed for effective implementation of Institutional Strengthening Action Plan (ISAP). ii) Road Financing Study (RFS): The study is to articulate the case for reforms of Road Financing in the State and recommend the operating modalities and new financing arrangements to be adopted by the State Government duly creating AP State Road fund. The recommendations of the advisory committee are furnished to Government for establishing Road Fund. iii) Road Safety Policy (RSP): Transport department will be the Nodal / Lead department for Implementation of Road Safety Action Plan. Prl. Secretary Transport has been appointed as Nodal Officer. Three roads are proposed for pilot study. Government have reconstituted the Road Safety Council for Andhra Pradesh for a period of two years from the date of issue of notification to till the Road Safety Council is reconstituted, whichever is earlier. Road Safety Advisor and Assistant Advisor are appointed to assist the Transport Commissioner in taking forward the road safety component under APRSP and the inception report is sent to World Bank for comments. iv)Road Management System (RMS): It is proposed to establish Road Management System for optimum utilization of funds in prioritization of the road 108

improvement and maintenance. The duration of this system is projected for 6 years so as to address effectively various deficiencies in maintenance and management of State Roads. Consultants were appointed and the work is in progress. Widening of roads to four lanes & Bridge Works (Build, Operate and Transfer basis) under Public Private Partnership (PPP) Objectives: a) Construction of new roads b) Relieve congestion, c) Improve commuter access and reduce travel time. d) Promotion of Private Participation in Infrastructure. e) Safe roads. f) Fuel efficiency. 1. Second bridge across river Godavari near Rajahmundry including approaches connecting EGK road under (PPP) project. Rs.808 Cr. 70% of the work completed. 2. Construction of HLB across river Musi from Km 6/6 to 7/2 of Miryalaguda Kodada Road.-Rs.12.56 Cr. Work completed. Commercial Operation Date (COD) started from 19.02.2010 3. Hyderabad Karimnagar Ramagundam Road (Rajiv Rahadari)Rs1358 Cr. Concession agreement concluded on 20.08.2010. Financial closure achieved by the concessionaire. Work is in progress. 4. Narketpally - Addanki - Medarametla Road.-Rs.1197 Cr. Concession agreement concluded on 23.07.2010. Financial closure achieved by the concessionaire. Work is in progress Annuity Works: 1) Nine road works with a length of 154.79 Kms at a cost of Rs. 418.83 Cr are sanctioned, Out of which seven works are completed and balance two works for Rs. 143.66 Cr are nearing completion. 2) Core Network Roads Under NonPlan: The Maintenance & Management of 12,048 Kms of High Density Corridors designated as Core Road Network is entrusted to 109

APRDC with effect from 01.04.2007. An amount of Rs.200.00 Cr was allocated under Non-Plan maintenance during the year 2011-12. The maintenance works are in progress. Works Sanctioned under Core Net Plan: Two road works at a cost of Rs. 93.50 Cr. (i.e., Nagasanipalli Talupula Road & Nellore Krishna Patnam Road) and one Bridge costing Rs. 35.00 Cr. (Bridge across river Tungabhadra @ Alampur) are in progress. Up-gradation of Ananthapur Tadipatri Bhogasamudram Road at a cost of Rs. 305.00 Cr. Tender process is in progress. Up-gradation and Improvement of Kadiri Koduru Road at a cost of Rs. 235.00 Cr. DPR under finalization. PANCHAYAT RAJ ROADS The total length of the rural roads under Panchayat Raj engineering department is 1,38,781 Kms in the State as on 01-04-2011. Out of this, Other District Roads consist of 5,506 Kms, Major District Roads 1,096 Kms and Village roads 1,32,179 Kms. The surface details of the road length are CC Roads 3,586 Kms; BT 36,441 Kms, WBM 26,395 Kms and Gravel 72,359 Kms.

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TRANSPORT
7.5 Road Transport plays a prominent role in the economic development of the State. The Transport department plays a key role in licensing of drivers, registration of motor vehicles, issue of transport permits, levy and collection of motor vehicle tax, enforcement of vehicle violations, acts as nodal agency for road safety and motor vehicles pollution control. As on 30-11-2011, the State has a registry of 110.53 lakh vehicles. About 72.22% of the vehicles on road are two wheelers, followed by cars, three wheelers, buses and trucks. The growth of vehicles in the State is around 14%. The registered motor vehicles on road are shown in Annexure 7.4.

The transport department collects revenues from the issue of driving licenses, registrations, permits and taxes. The growth of revenue is shown in Table 7.3. Table 7.3 Revenue of transport department Year 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12(upto Nov.11) Total Revenue (Rs. Crs) 950.92 918.69 1095.85 1096.49 1354.19 1371.96 1591.61 1846.52 1998.52 2618.37 1921.00

Source: Transport Department

All services in the Transport Department are fully computerized and provide for multiple accesses to services through the Internet, eseva centers and Aponline in addition to the departments offices with a view to increase transparency in the functioning of the department. Citizens can now make tax payments or book slots of the learner licenses and driving licenses through the eSeva counters or through the internet or at the transport offices. New Initiatives Citizen Friendly Services has been the goal of the computerization strategy in the Transport department. The department gradually plans to migrate from clientserver architecture to the web enabled architecture for greater data integrity and uniformity of operations across the state. This not only enhances transparency but reduces discretion at lower levels in addition to cutting down transaction time. Some of the initiatives undertaken by the department are given as under: Slot booking on the internet or through e-Seva services or through RTA offices have been made mandatory for learner license and driving license.

Any service any counter to expedite works of the RTA offices, besides rationalizing the use of man power. Dispatch of all documents by speed post. Registration of non-transport vehicles can now be done in one day. Online payment of life tax by all vehicle dealers has been made mandatory from 1st June 2008. Bio-metric (finger print) authentication has been introduced for learner license test. Driving Licenses in smart card form are being issued in Hyderabad, Ranga Reddy, Vijayawada, Nandigama, Gudivada and Kadapa and will shortly be extended through out the State. Color coding of all categories of driving licenses has been introduced for better enforcement. 20,000 RTC buses and 100 setwin buses have been added to the transport data-base to expedite issue of permits and fitness certificates. Affixing retro reflected stickers on transport vehicles has been made mandatory. Fully functional website will enable citizens to access data of vehicles, application forms and access of services. Pollution Control The department has taken steps to upgrade and net work all the 530 Pollution-Testing stations that were licensed in the private sector to be compatible to new testing norms prescribed in Central Motor Vehicles Rules 1989. 101 Pollution Testing Stations were networked so far. In order to control vehicular pollution, Goods vehicles and Stage Carriages of 15+ years have been prohibited from the Hyderabad area. Similarly, public service and private service vehicles of more than 15 year old are prohibited in Visakhapatnam area. Restriction has been imposed on the number of three wheeled contract carriages (Auto-rickshaws) in Hyderabad, Vijayawada and Visakhapatnam. No new permits are issued to three wheeler contract carriages in these three cities. Any replacement of auto rickshaw is permitted with LPG operated one.

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Bharat Stage (BS) III vehicles are not permitted to be sold nor are they registered in GHMC area. Only BS IV compliant vehicles are permitted to be sold or registered in GHMC area. In the rest of the State, BS-III compliant vehicles are permitted to be sold and registered. Enforcement The department has been making a conscious effort to enforce the provisions of the Motor Vehicles Act by actively booking violation of vehicle registration and driving license conditions. Active enforcement enables better compliance of registration and licensing conditions by operators. In the year 2010-11, the department through active enforcement has been able to mobilize revenue of Rs.203.69 crores. During the year 2011-12, the enforcement revenue realized is Rs.104.46 crores up to October, 2011. Road Safety The enormity of havoc created by road traffic accidents is generally not understood fully. Though each major accident is shocking, such accidents are generally seen as isolated and unconnected events and as unavoidable fallout of modern-day living. Government have realized the magnitude of the problem and all possible steps are being taken at the State level to reduce the number of accidents. Andhra Pradesh is the only State where Road Safety Council is chaired by the Honble Chief Minister. The Government are aware that Road Safety is a multi-dimensional and multi-sectoral problem and therefore needs a coordinated inter-disciplinary approach. To achieve effective coordination, Transport department has been made the nodal department. In view of the importance attached to road safety at the highest level all the support that is required for achieving the goals in terms of policy, Legislation, Resources etc., will be provided. With a view to mitigate the number of road accidents in the state, the Transport department has initiated a number of measures under the Road Safety Programme called SAFAR Safety Always for All Roads: Some of them are 111

1. Streamlining the Licensing system of drivers: The department has introduced computer based learner license test to assess the knowledge of drivers. In addition, the department has introduced slot booking system through e-seva, RTO office counters and the internet for scheduling the learner license test and the driving test. 2. Driving test has been made rigorous through strict testing on driving tracks. All districts have a driving test track. 3. Heavy motor vehicle driving schools need to register online all candidates undergoing training. Only those registered with the department online are permitted to take a test for obtaining a heavy motor vehicle licence. 4. Enforcement by police and transport department has been made more intensive to book violations under the MV Act (with reference to driving and overloading of goods and passenger vehicles). 5. Contract carriages are being constantly monitored and checked for carrying commercial goods at the cost of the safety of the passengers. 6. Sub-inspectors of police have been authorized to check all visible offences. 7. Auto rickshaws are prohibited on the national highways. 8. Driving licenses of drivers involved in fatal and grievous accidents are being suspended. 9. District road safety committees have been reconstituted with District Collector as Chairman for effective monitoring and taking remedial measures. 10. Laser guns have been procured for detecting over speeding vehicles. Interceptor vehicles fitted with laser guns, breath analysers and surveillance cameras and pollution testing equipment have been provided to Hyderabad, Rangareddy, Visakhapatnam, Vijayawada and Chittoor to check violations.

11. A number of gadgets such laser guns for detecting speeding vehicles; breath analyzers for detecting drunken driving and mobile interceptors for detecting overloaded, speed and polluting vehicles have been procured and provided to the transport and police department. 12. Surveillance Cameras have been provided to the Police department. Erected at 11 identified junctions in the twin cities of Hyderabad and Secunderabad. E-challans are being generated by the police department for all offences detected. 13. Six Heavy duty cranes have been supplied to the police department for removal of stranded and accident vehicles on the important national highways. 14. The health department is identifying a large number of hospitals to serve as traumatic care centres in addition to providing immediate emergency assistance through 108. This facility enables precious lives to be saved with minimum delay in providing trauma care. 15. An Empowered Committee is constituted under the Chairmanship of Principal Secretary to Government (Transport) to implement the Road Safety Action Plan (World Bank Scheme) involving all the line Departments. 16. Road Safety Council under the Chairmanship of Hon`ble Chief Minister has been constituted at State Level to provide leadership and direction at the highest level in view of the magnitude of the problem. Several decisions have been taken. Action has been initiated on the deliberations of the first road safety Council meeting held on 23-08-2010. 17. Accident prone areas are categorizaed in to AB and C on the roads of NHs, R&B and Panchayatraj etc., involving line Departments concerned for improvement on priority basis and to get high rate of positive results with

the Road Safety Measures being taken by the Government. 18. The department has taken steps to control overload in goods vehicles in a systematic way. Action is being taken on the companies which are giving overloads to truck operators. This is yielding good results and improving the road safety.The State Government is taking measures road safety is a concern of each and every one in the state.

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Andhra Pradesh State Road Transport Corporation (APSRTC)
7.6 The transport needs of the people in the state were first met by a wing of Nizam Railways in June, 1932 with 27 buses and 166 staff, mainly looking after the needs of passengers connected to Railway Stations. Later on, the Road Transport Sector was under the department of Hyderabad State from 1st Nov.1951 and with the reorganization of States, a separate Corporation was initialized in Andhra Pradesh State w.e.f.11th January, 1958. The corporation initially had a fleet strength of 609 buses (16 depots) with a staff of 5,081 during the year 1958. As the State has been growing on all fronts since then, the needs of transport have also increased, forcing the implementation of nationalization and increase its fleet strength year after year to meet the needs of traveling public. APSRTC is the largest State Road Transport undertaking in the country, which has not only entered in the Limca book of records in the year 2000, but also entered the Guinness Book of World Records on 31st October, 1999. The Corporation is first in fleet utilization in the country by achieving 96.37% in the year 2011-12(upto Sep,2011). The corporation has 7 Zones, 23 Regions and 210 Depots with a total fleet strength of 22,216 buses and 1.21 lakhs employees on rolls as at the end of September, 2011. All the 210 depots having fleet operation were computerized and linked through a dial up network. The fuel efficiency is 5.13 per 112

litre during 2011-12(upto Sep,2011). It operates about 77.94 lakh kms & transports about 1.37 crore passengers daily. Average vehicle productivity per day is 353 kms. Product Achievements: The corporation has innovated trend setting improvements in the quality of travel in rural and urban areas by providing newly designed ordinary coaches `Pallevelugu for rural passengers; `Garuda for long distance passengers, `Seethala Hamsa, `Metro Deluxe and `Metro Express for urban passengers, and `Sapthagiri Ordinary for ghat road passengers. The JnNURM Buses were also introduced for Urban passengers in major cities like Hyderabad, Secunderabad, Vijayawada, Visakhapatnam, and Tirupati. The Corporation has introduced On-line ticket booking system for the convenience of passengers. Special Achievements: The Corporation bagged National Awards on; i. Highest Tyre Performance ii. Fuel efficiency iii. Productivity Among the STUs in India, APSRTC stands top in the area of physical performance in the vehicle productivity and resource utilization indicators like Vehicle Utilisation, Fleet Utilization, average No. of passengers transported, Fuel efficiency, Tyre life, break down rate and Accident rate. APSRTC is one of the largest employer in the state having 1.21 lakh employees. The staff ratio per bus has been under control at 6.10 during 2011-12(up to Sep,2011) .Employees productivity has registered 57 KMs during 2011-12(up to Sep,2011). After a gap of several years, APSRTC took up direct recruitment of Management Trainees and Supervisory Trainees in order to energize and professionalize the Executive and Supervisory cadres. The regular conduct of induction training and refresher courses for defaulting drivers has resulted in increased safety during both night and day time to operations. APSRTC performance from 2005-06 to 2011-12(up to Sep, 2011) is given at Annexure 7.5.

AIRPORTS
Hyderabad International Airport
7.7 Hyderabad International Airport officially known as Rajiv Gandhi International Airport (RGIA) replaced the former international airport of the city, Begumpet Airport. GMR Hyderabad International Airport Limited (GHIAL) has the mandate to build, finance, operate and maintain the new airport under a public private partnership initiative. The total investment for the airport construction in the first phase is Rs.2920 crores. GHIAL is a joint venture company promoted by GMR Group (63%) with Malaysia Airports Holding Berhad (MAHB) (11%), Government of Andhra Pradesh (13%) and the Airports Authority of India (13%) as the other consortium partners. As on 31st March, 2011 GHIAL employed 534 employees. Airport Features: RGIA provides world-class facilities and infrastructure, in accordance with ICAO standards and practices, to handle large aircraft and international traffic. Its integrated domestic and international terminal is equipped with 12 contact boarding bridges, 30 remote stands, Common User Terminal Equipment (CUTE), self check-in kiosks (Common User Self Service CUSS) and 46 immigration counters. It also incorporates modern IT systems including Flight Information Display Screens, Baggage Handling System (BHS), and Airport Operational Database (AODB) technology for the first time in India. RGIA is the first Indian airport to have the fully automated Airport Operations Control Centre which acts as the nerve centre for all coordination within the airport. RGIA is designed to cater to 12 Million Passenger per annum (MPPA) which can be phase-wise developed to cater to an ultimate capacity of 40 MPPA. When completely developed it will consist of 2 runways, 2 integrated terminals, landside commercial zones, 2 SEZs, community facilities and the entire necessary supporting infrastructure. The total land area is 5495 acres. 113

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Location: Located strategically at the geographical centre of India, Hyderabad is within a two hour flying radius to all the major cities in India and a four hours radius to all the major cities in the Middle East and South East Asia. The city therefore holds tremendous potential to emerge as one of the main air travel hubs in India and the critical destination-and-transit point for travel between the East and the West. Currently, there are 12 foreign and 6 domestic airlines operating from Hyderabad which fly to over 44 destinations. In addition, Lufthansa Cargo and Blue Dart operate Cargo freighter services. Connectivity: The Airport has two major access points: The National Highway NH-7 and Outer Ring Road (ORR) from the west side and Srisailam State Highways on the Eastern side. 1st phase of ORR effectively connects Cyberabad region to the Airport. First of its kind 11.8 km long elevated expressway (PV Narasimha Rao) enable passengers to reach airport from the city centre through the NH7 Highway, within 30 minutes. Besides these, Multi-Modal Transportation System (MMTS), Mono Rail Transport System and other alternative modes of transport are being actively explored in collaboration with the State Government. Traffic Highlights a) Air Traffic Movements (ATM): For the year 2010-11 in Domestic ATMs there is a growth of 3.74% year over year (YoY), whereas International ATMs has grown by 1.75 %. Overall the ATMs have shown a growth of 3.40% YoY. In the year 2010-11 the airport handled 83292 ATMs. During 2011-12 (up to Dec,2011) the Domestic ATMs there is a growth of 23.81% YoY, where as International ATMs has grown by 0.80%. Overall the ATMs have shown a growth of 19.91% YoY. The airport handled 74480 ATMs up to December,2011. b) Passenger Traffic: For the year 2010-11 Domestic passenger growth is around 20.03% YoY, whereas International 114

passengers traffic has grown by 10.68 %. Overall the passenger traffic has shown growth of 17.59% YoY. In the year 2010-11 the airport has handled 7.63 Million passengers. During the year 2011-12(upto Dec,2011) Domestic passenger growth is 18.22% YoY, where as International passengers traffic has grown by 0.42%. Overall the passenger traffic has shown growth of 13.74% YoY. The airport handled 6.47 Million passengers upto December, 2011. c) Freight Traffic: For the year 2010-11, Domestic Cargo growth is around 24.07% YoY, whereas International cargo volume has grown by 19.50 %. Overall the Cargo has shown growth of 21.52% YoY. In the year 2010-11, the airport handled 80,777 tonnes of Cargo. During the year 2011-12(upto Dec,2011) Domestic Cargo growth is -5.43% YoY, where as International cargo volume has grown by 8.25%. Overall the cargo has shown growth of 2.01% YoY. The airport handled 61667 tonnes of cargo upto December,2011. New Developments at RGIA in 2010-11 For enhancement of Cargo Handling capacity, new cargo Building with an approximate area of 1912 Sq.m has been constructed which is leased out to Blue Dart for their cargo operations. The Cargo Terminal has installed a Pharma Zone complex, with approximate 2518 Sq.m of built area which was inaugurated on 2nd December 2010. Operations started with effect from 1st January, 2011. GHIAL has constructed a compost plant within the Airport to manage the biodegradable Waste generated at Airport. GHIAL has formed a joint Venture with Malaysian Aerospace Engineering Sdn. Bhd. (MAE) to set up a third-party airframe maintenance, repair and overhaul (MRO) facility. To start with, the MRO facility would consist of 1 wide body hangar to perform C & D checks for wide body aircraft, 2 bay

narrow body hangar to perform C & D checks for narrow body aircraft and 1 Narrow body hangar for maintenance and paint activity. These hangars will be supported by workshops necessary for airframe maintenance. This facility can perform maintenance checks for ATR, Boeing 737-NG, B777 and Airbus A330, A320 aircrafts types to start with. This MRO facility will start operations upon receipt of Approval from DGCA which is expected by November 2011. Achievements: RGIA is well poised to establish the city of Hyderabad prominently on the global aviation map thus contributing to the prosperity, growth and economic development of the region. Below are the achievements and awards: RGIA Ranked No.1 in the world by Airports Council International (ACI) on Airport Service Quality (ASQ) ratings, in 5-15 million passenger category airports for 2010. The Most Favorite Airport in India at the Conde Nast Traveller India Awards. Routes Airport Marketing Award for Indian Sub continent at the 8th Routes Asia, Adelaide, 2010. RGIA named Best Airport India by the UK based Skytrax in its World Airports Awards. ISO 10002 2004 (Complaints Management System) Certification. Certificate of merit award,2011 for energy conversation from Ministry of Power, Government of India on 14th December,2011. Tirupathi Airport This existing operational airport of the AAI is in an area of 312 acres. Honble Prime Minister of India laid the foundation stone on 1-9-2010 for up-gradation of Tirupati Airport as International Airport. As per the Master Plan, AAI has requested to hand over 690 acres for Phase-I development work which include installation of ILS and construction of new Integrated Terminal Building complex for which estimates are under finalization. Out of the above, the District Administration has already handed 115

over Ac.293.5 to AAI. Government of A.P has agreed to allocate additional funds of Rs. 133.00 crores to acquire the additional lands and arranging shifting of utilities. Kadapa Airport: This is an existing non-operational airport. Runway is ready for aircraft operations and also night landing facilities will be available by January, 2012 since Ground Lighting Facilities (GLF) work will be completed by January, 2012 which is now in progress. The AAI has requested additional land of 476.33 acres, of which 457.83 acres has already been handed over to AAI to take up works. The AAI has completed the runway works. The compound wall along the periphery of the boundary of 12.1 Km is completed. Warangal Airport: This is an existing non-functional airport, in an area of 748.02 acres. Government has signed MoU with AAI for development of this Airport. The AAI has projected additional land requirement of 438 acres. About 195 acres of land was already identified. The Collector, Warangal was coordinate with AAI and furnish the details of remaining 243 acres. Vijayawada Airport: Airport belongs to AAI and is under operation. GoAP has signed MoU with the Airports Authority of India (AAI) for upgradation of this existing operating airport. AAI prepared Master Plan and projected additional land requirement of about 361 acres of land for Phase-I works. An amount of Rs.76.00 crores is required for land acquisition. AAI informed that construction of new terminal building and control tower are the proposed works by them and that installation of ILS is in progress. Government has agreed in principle for acquisition of additional land. Rajahmundry Airport: This is an existing operational airport in an area of 365.49 acres. GoAP signed MoU with AAI for upgradation for operation of bigger aircrafts such as B 737 800 / A320 etc. AAI has proposed Master Plan and projected land requirement of 1605 acres for phase wise development of the airport. However upon request by the State Government the AAI has reduced this to 966

acres. The cost of the land in this area is very high as most of the lands are fertile. Therefore AAI has been requested to further reduce the additional land required. An amount of Rs.96.60 crores is required for land acquisition. AAI informed that New Domestic Passenger Terminal Building for 150 per hour capacity and new fire station cum Technical Block cum Control tower is presently under construction at a cost of Rs.43.29 crores.

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SEA PORTS
7.8 Andhra Pradesh is having 974 Kms long coast line with one major Port at Visakhapatnam under Government of India and 14 non-major ports under State Government. Recent trends show that Indias trade is growing especially in dry bulk cargo traffic with China and Asian countries leading to a substantial increase in cargo from East Coast. Ports offer tremendous potential for development and for the growth of a wide spectrum of maritime activities such as international shipping, coastal shipping, ship repairs, fishing, captive ports for specific industries, all weather ports, tourism and sports etc., Gangavaram Port The Port is located in Visakhapatnam district. It is being developed with private participation as a Multipurpose all weather port to become the deepest port (21m) with round the clock operations and with state-ofart cargo handling equipment. All statutory clearances were obtained and 95% works are completed. The operations of the port have commenced in July, 2008. The total estimated cost is Rs.1,850 crores in phase-I, Rs.2,600 crores in phase-II and Rs.10,000 crores in phase-III. The handling capacity of Phase-I is 35 Million Tonnes, Phase-II is 75 Million Tons and phase-III is 200 Million Tonnes per annum. During 2010-11, the Port handled 139.50 Lakh Tonnes of Cargo and realized revenue of Rs.443.32 Crores. The Government received Rs.9.31 Crores as Government 116

share. During 2011-12 the end of upto September, 2011, the Port handled 75.70 lakh tonnes of Cargo and realized a revenue of Rs.271.75 Crores. Kakinada Anchorage port The Anchorage Port is a sheltered Port with the location of 17 Kms length of Hope Island. Anchorage Port handled about 150 to 200 Sea going ships every year. There are about 100 private owned steel barges with a total capacity of 3,000 tonnes employing 2,000 persons. About 3,000 workers are working as shore labour and stevedoring labour in the ships. During 2010-11, the port handled 11.45 lakh tonnes cargo and realized Rs.7.36 crores of revenue on cargo and earned total revenue of Rs.16.37 Crores. During the year 2011-12 up to the end of September, 2011, the Port handled 7.23 lakh tonnes of Cargo and realized revenue of Rs. 6.96 Crores. Kakinada Deep Water Port The Deep Water berths developed by the Government were privatized in 1999 and handed over to M/s. International Sea Ports Ltd., for operation and maintenance for 50 years. For this purpose a Special Purpose Vehicle (SPV) called M/s. Kakinada Seaports Limited (KSPL) was formed for operating and maintaining the Port. During 2010-11, the port handled 99.07 lakh tonnes of cargo and realized Rs.198.09 Crores revenue. The Government received Rs.43.58 Crores as government share. During 2011-12 up to the end of September, 2011, the port handled 46.31 lakh tonnes of Cargo and realized revenue of Rs. 106.00 Crores. Rawa Port The port is located in East Godavari District having an off shore single buoy mooring system for collecting off shore oil tankers for transporting to other ports. M/s Cairn Energy (I) Ltd., as acceleration company installed Single Buoy Mooring (SBM) at Rawa port. The port handled 15.60 lakh tonnes of cargo and realized revenue of Rs.3.82 crores during. 2010-11. During 2011-12, up to the end of September 2011, the Port handled 8.21 lakh tonnes of Cargo and realized revenue of Rs.1.98 crores.

Krishnapatnam Port This port is in Nellore District and this first greenfield port is being developed by Krishnapatnam Port company Ltd., (KPCL) on Build, Operate, Share and Transfer (BOST) basis under PPP over a period of 30 years. Phase-I of the port is developed with an estimated investment of Rs.1,200 crores and will have five berths. The port has started commercial operations from March, 2009. During 2010-11, the port handled 159.13 lakh tonnes of cargo and realized a revenue of Rs.592.43 Crores. The Government received Rs.15.40 Crores as Government share. During 2011-12 up to the end of September 2011, the Port handled 75.23 lakh tonnes of cargo and realized a revenue of Rs.268.46 crores. Phase-II of the port is being developed with an estimated investment of Rs.6000 crores to handle 40 million tonnes. The operations of phase-II of the port are expected to commence by the end of 2011. Vodarevu, Nizampatnam Port and Industrial Corridor- VANPIC Project This twin port project and industrial corridor is being developed in Guntur and Prakasam districts by M/s. VANPIC Pvt. Ltd., under MoU route, with a total investment of Rs.16.800 crores. Concession Agreement was concluded with the developer in July, 2008 to develop the VANPIC project on BOOT basis for a period of 33 years, extendable by 11 years + 11 years. DPR for Vodarevu port has been approved and the same is expected to commence by the end of the year 2011-12. Machilipatnam Port: The Government of Andhra Pradesh is developing this port in Krishna District under PPP Mode on Build, Own, Operate and Transfer terms (BOOT) basis. The Revised Concession Agreement was concluded with M/s Machilipatnam Port Limited on 07-06-2010 and the concession period is 30 years (extendable by 10 years + 10 years). DPR for Machilipatnam Port is under examination.

COMMUNICATIONS
7.9 As on 31st March 2011, there are 16,150 Post Offices in the State, of which 104 Mukhya Dak Ghars/Head Post Offices, 2,343 Sub Post Offices and 13,703 Branch Post Offices. Similarly, there were 169 Customer service centers having Telegraph section, 4,266 Telephone Exchanges. The details are given in Annexure 7.6. As per the TRAI report, there are a total of 677.90 lakh telephone connections at the end of October, 2011 in the state. Out of which, 23.48 lakh connections are wireline (land line) and 654.42 lakhs are wireless.

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BANKING
7.10 The number of scheduled bank offices in the State is 8,211 at the end of March, 2011. The aggregate deposits amounted to Rs.2,83,600 crores and the total bank credit extended was of the order of Rs.3,27,275 crores as on 31-3-2011. The credit-deposit ratio of the banks in the state is 115.40% as against RBI norm of 60%. Total priority sector advances to Net Bank Credit is Rs.1,54,227 crores (47.12%) against RBI norm 40%. Agricultural advances to Net Bank Credit are Rs.83,098 crores or 25.39% of Net Bank Credit (NBC) against RBI norm of 18%. SSI Advances (outstanding) is Rs.27,033 crores which accounted for 8.26% of NBC. Other priority sector advances are at Rs.44,096 crores forming 13.47% of NBC. Profile of banking institutions in A.P as on 30.03.2011 is given in Annexure 7.7.

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TOURISM
Andhra Pradesh is recognized variously-for its legendary dynasties; for its most revered temples, for its lacquer toys and beautiful weaves; rich literature and the vibrant arts of Kuchipudi dance. There are holy pilgrim centres, attractive palaces, museums, ports, rivers, beaches and hill stations. Andhra Pradesh with more then 600 tourist locations attracts the largest number of tourists in India. More than 7 million visitors visit the state every year. Andhra Pradesh tourism is known as Koh-i-noor of India. 117

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Andhra Pradesh Tourism Development Corporation(APTDC): APTDC is a State Government undertaking incorporated in the year 1976. It continues to register significant growth since 1999-2000 with a focus on the creation of tourism infrastructure and products. APTDC continues to strive for promotion of new tourism products such as Eco-Tourism, Beach Tourism and Cruise Tourism. 6 new eco-tourism destinations have been promoted as novel initiative under community based eco-tourism. The River Cruise tourism to Pattiseema and Papikondalu on river Godavari, Nagarjunasagar to Srisailam on Krishna River have become immensely popular. Currently, the corporation runs 53 hotels and other tourism facilities with 1049 rooms in prime locations fostering homely ambience packages an impressive fleet of 126 buses that connect to important tourism locations with in and outside the state. The water fleet with 120 boats and launches that provides pleasure cruises and river cruises affordable reality. The corporation runs Sound & Light shows, pleasure rides making River & Lake cruise tourism at an affordable reality. The activities of the Corporation can be classified broadly into the following: Tourism Infrastructure Development Hotels & Catering Units Guided & Package Tours Leisure Cruises & Pleasure Boating Sound & Light Shows Eco-Tourism While the primary focus remains to aggressively develop world-class tourism infrastructure. Recently, it has ventured into new tourism related fields like, Heritage, Pilgrimage and Eco-tourism etc. Growth of APTDC: APTDC has registered a systematic growth over the years both in terms of revenue and also tourist arrivals. The thrust of the Government of Andhra Pradesh on the development and promotion of tourism has enabled this to happen. In line with the policy of the Government, APTDC focused on the development of tourism infrastructure 118

thereby promoting new tourism products and successful operation of tourist centers. Growth of A. P Tourism Development Corporation from 2004-05 to 2011-12 is shown in Table 7.4. Table 7.4 Tourists Inflow and Revenue Year Tourists Revenue (Nos.Lakhs) (Rs.Crores) 2004-05 24.96 59.18 2005-06 43.83 76.46 2006-07 53.54 89.50 2007-08 62.47 100.89 2008-09 73.79 109.00 2009-10 77.48 116.70 2010-11 41.63 124.68 2011-12 19.08 59.41
(up to Sep.11)

Source: Tourism Development Corporation

Tour Packages: APTDC has designed a number of Tourists Packages to different destinations covering temples, hill resorts, beach resorts, heritage sites both in and outside the state through its modern transport fleet of over 126 buses including Twin Deck Bus for exclusively for the local sight seeing. APTDC is the first corporation in the country to introduce Volvo coaches that has set a new level in the tourism travel. The transport fleet is supported by a chain of central reservation offices in Hyderabad, Tirupathi, Visakhapatnam, Bengaluru, Chennai, Kolkatta and Shirdi supported by a network of tour promotion agents. APTDC also enters into strategic alliance with major tour operators. The tours connect major hubs in the south such as Chennai, Bengaluru, Shirdi, Tirupathi, Hyderabad, Coimbattore, Mangalore and Goa making South India a seamless travel destination. Haritha Hotel Chain: The Haritha Hotel Chain consists of 53 hotels with 1049 rooms located in important tourist centers provide the right ambience and the quality a tourist truly deserves. All APTDC hotels provide for a restaurant, AC and non AC accommodation and in major locations a swimming pool. APTDC has a strategic arrangement with Shanthigiri Ayurvedic Clinic of Kerala, which provides wellness ayurvedic treatment.

Important places where hotels & resorts are located includes Hyderabad, Vijayawada, Visakhapatnam, Jungle Bells, Araku Valley, Rishikonda, Basara, Bhadrachalam, Warangal, Tirupati, Horesely Hills, Kuppam, Yadagirigutta, Kurnool, Dwaraka Tirumala, Srisailam, Nagarjuna Sagar and Dindi.. In addition to these, construction of new hotels is nearing completion at Gandikota and Ananthagiri, Ranga Reddy District. Wayside Amenities APTDC has taken up development of Wayside amenities along the highways to provide better facilities to highway travelers like Restaurant, Washrooms, Parking area, Souvenir shop and Children play area at Alankanpally, Suryapet, Pragnapur, Kamareddy, Lepakshi, Wyra, Sone and Srikalahasthi. Projects completed and commissioned are Alankanapally, Pragnapur, Lepakshi, Srikalahasti and Suryapet. Development of wayside amenities at Wyra and Tallapaka is taken up and works are in finishing stage. Water Fleet APTDC operates lake and river tourism at several places in the state. Wholesome entertainment and pleasure cruises are being operated in the Hussainsagar lake in Hyderabad. Visiting tourists and local residents can view the Buddha on the rock of Gibralter or just dine through a pleasure cruise on the most popular cruise boats such as the Bhagirathi, Bhagmathi and the Khairun-nissa. The water fleet strength of APTDC is 120 which includes FRP boats, Launches, Parasail boat and large vessels. The Corporation operates 10 cruises in Godavari and Krishna rivers. New catamaran type boats and latest Speedboats introduced at various water bodies as a part of strengthing the water fleet operation. APTDC operates pleasure rides at the Miralam tank, Durgam Cheruvu, Nagarjuna Sagar, Nellore, Srisailam, Vijayawada, Vishakhapatnam (Bay of Bengal), Karminagar (LMD), Tirupathi, Rajahmundry and Brahmasagaram. New boating units at suitable Jalayagnam sites taken up by the corporation and about 17 new units are proposed to be established. 119

River Cruises Most popular River Cruise on River Godavari between Pattiseema and Papikondalu is being operated attracting huge number of tourists. The introduction of the river cruise on the Godavari has stimulated many a private entrepreneur to operate similar cruises on the Godavari. The cruise offers a unique experience of a boat ride for over four hours and bring back the tourists to Pattiseema in the evening. Two days package with night stay in tented camp along the banks of the Godavari near Kollur enroute to Papikondalu also arranged for tourists. Package tour introduced in River Krishna from Nagarjunasar to Srisailam. A Twin deck cruise (120 seater) introduced (Haritha) with lower Deck A/c is presently operating in Godavari river in addition to FRP boats. Houseboats In addition to the pleasure cruises, 5 airconditioned house boats are being operated, which offer a unique experience similar to the backwaters of Kerala. The House boats are equipped with two bedrooms and a deck to laze through the day along the serene and picturesque Godavari in East Godavari district. Ropeway Ropeway facility at Srisailam Pathalaganga established and commissioned in January 2005 and giving good revenue to the corporation i.e about 10 to 12 lakhs per month average. This facility has benefited so many local people with direct and indirect employment in Pathalaganga area. Boating revenue also increased due to this facility as more tourists are getting down to Pathalaganga and taking the boat rides. Akkamahadevi Caves river cruise operation also increased with this ropeway. This became a major attraction for Srisailam pilgrim tourists. Sound and Light Shows To show case historic and heritage monuments to the tourists, Sound and Light shows are organized at Golconda Fort, Hyderabad and Chandragiri palace near Tirupati. These two shows are immensely popular. A multimedia show is under

development at the Amravathi Interpretation Centre. Mega destinations and Secondary Destinations APTDC has focused development in and around the three primary destinations of Hyderabad, Visakhapatnam and Tirupathi. In addition, development is also centered around the 3 secondary destinations i.e. Warangal, Kurnool and Vijayawada. The development of infrastructure is based on developing destinations and tourism circuits with a funding mix from the Government of India and State Government. Eco-Tourism Initiatives The Corporation took the initative of identifying potential Eco-tourism spots in the state. In the recent past, corporation has revamped and improved the tourist facilities. It has successfully implemented the popular ecoprojects like the Belum caves, revamping of Borra caves, An exotic Jungle destination by name Jungle Bells at Tyda, The famous lake project at Durgam Cheruvu, illumination of Ettipothala water falls and development of Bhavani river Island. Community based Eco-tourism Andhra Pradesh is encouraging community based Eco-tourism in association with forest department, under their Community Forest Management program by providing opportunities for jungle walks, forest retreats, wild life tourism, bird watching and trekking. Places identified for Eco-tourism are Maredumilli (East Godavari District), Nelapattu (Nellore District), Mamandur, Talakona, Nanniyal (Chittoor District), Balapalli (Kadapa District), Ettipotla (Guntur District), Kambala Konda (Visakhapatnam District). Transport to and fro the destination will be provided by APTDC. Vana Samrakshana Samithi (community) will provide accommodation, guide services and food facilities. Forest department will provide infrastructure under Community Forest Management (CFM). Tourism Projects a) Completed Projects: Budget Hotel at Nellore with a cost of Rs.850 lakhs. Budget Hotel at Kadapa 120

Yogi Vemana Memorial Park at Katarpally, Ananthapur Distirct. Adventure and Heritage Tourism Center at Gandikota in Kadapa District. Development of Singur Dam Accommodation Block at Srikalahasthi, Mahanandi, Gandikota, Idupulapaya and Srisailam b) On-going projects: Construction of Budget Hotel at Nizamabad. Development of Tourist facilities & amenities at Anantha Padmanabha Swamy Temple at Ananthagiri, Ranga Reddy district. Development of Eco & Adventure tourism Resort at Ananthagiri, Ranga Reddy district. Development of River Cruise Circuit on River Godavari & Krishna. Tourist facilities at Alampur, Mahabubnagar district. Development of Adventure Tourism at Puligundu, Chittoor District. Development of Eco-tourism center at Bhimulavaripalem near Pulicat, Nellore district. Development of Buddhist Circuit at Nagarjunasagar, Chandavaram and Undavalli. Development of Visakapatnam Beach Circuit. Development of Laknavaram Lake in Warangal. Development of Horsely Hills, Chittoor district. Development of Kolleru Lake in West Godavari Development of Vizianagaram and Srikakulam Circuit Development of Eco-Park at Nellore Tank, Nellore Development of Heritage Circuit Kadapa. Rural Tourism Project at Dharmavaram. Software work plan CBSP at Village Dharmavaram.

Rural tourism project at Ettikoppaka, Visakapatnam. Software work plan CBSP at Etikoppaka, Visakapatnam Development of Rural tourism project at Kuchipudi, Krishna districts. Software work plan CBSP at Kuchipudi Village, Krishna district. Development of Jammulamma Reservoir at Jammiched Village, Gadwal, Mahaboobnagar district. Development of Ramayapatnam as Beach Destination Prakasam district. Development of Beach Destination at Baruva, Srikakulam district. Establishment of Institute of Hotel Management Catering Technology and Applied Nutrition Society at Tirupati. Development of Rural tourism Project at Nirmal, Adilabad district (Hardware). Software proposal (CBSP) for project Development of Artisan Village at Nirmal, Adilabad district. Development of Eco-tourism centre at Ananthagiri, Ranga Reddy district. Placing Touch Screen Kiosk at important tourism infrastructure 3D LCD Screens at Rajeev Gandhi International Airport. Mobile Multimedia tour at Golconda. Rural tourism project at Cheriyal , Warangal. Software work plan CBSP Cheriyal , Warangal.

Andhra Pradesh has emerged as a State that provides the right climate for the growth of IT business and is now one of the most preferred destinations in the Country. Andhra Pradesh is at present, home for Indian IT majors such as TCS, Infosys, Wipro, HCL, Mahindra Satyam, Cognizant, Patni, Tech Mahindra, Sonata, Infotech, and others. Andhra Pradesh is also home for MNC IT giants and Fortune 500 companies like Microsoft, Google, IBM, Oracle, DELL, Motorola, Deloitte, Convergys, UBS, Bank of America, HSBC, Honeywell, Siemens, JP Morgan, UHG and so on. As a growth engine, IT sector in A.P. is making steady strides for rapid socioeconomic development of the State. As of now, the share of IT exports from the State of Andhra Pradesh occupies 13.9% of national IT exports. IT sector contributes to about 49% of total exports from all sectors in the Sate. Andhra Pradesh ranked 4th position in IT performance in the Country. During 2010-11, IT sector created gainful direct IT employment to about 2.80 lakhs educated youth of the State. It is estimated by NASSCOM (National Association of Software & Service Companies) that every direct job in IT creates four indirect jobs in other sectors, thus resulting in cyclical growth & employment generation in the State. New companies like DSM, NCR, Free Scale Semiconductors, WNS, etc. have come forward to set up their operations and existing companies like TCS, Accenture, Infosys, IGate, HCL, Delloite, Google, etc are significantly expanding their operations. The IT companies have started and enhanced their annual recruitment plans appropriate to their human resource requirements. As a growth engine, IT sector in A.P. is making steady strides for rapid socioeconomic development of the State. The growth of IT sector in the State is shown in Table 7.5.

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INFORMATION TECHNOLOGY AND COMMUNICATIONS
7.12 Government of Andhra Pradesh aspires to transform the State into a Knowledge Society and make available the benefits of Information Technology (IT) to the last mile of the State and to all citizens, especially those in rural areas.

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Table 7.5 Growth of Information Technology Year 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 Exports (Rs. Crores)
(Year wise)

No. of Employees
(Cumulative)

284 574 1,059 1,917 2,907 3,668 5,025 8,270 12,521 18,582 26,122 32,509 33,482 35,022

8700 12000 25,500 48,700 64,000 71,445 85,945 1,26,920 1,51,789 1,87,450 2,39,000 2,51,786 2,64,375 2,79,438

Source: Software Technology Parks of India, Hyd.

In tier II locations also, the growth of IT is encuraging and the status on development of I.T. in Tier II locations for the year 2010-11 is as follows: Centre Vizag Vijayawada Kakinada Tirupati Exports (Rs.Crores) 904.08 85.2 26.96 4.21 Employment 14278 2184 1116 154

(iii) Achieving higher levels of export turnover resulting in enhanced productivity, and augmentation of Gross State Domestic Product (GSDP). (iv) To spread IT to nook and corner of the State. (v) Leverage Information Technology as a tool for the socio- economic development in the State. Salient Features of ICT Policy 2010-15: The ICT Policy 2010-15 provides the following incentives and facilitation for encouraging setting up of IT companies in the State: Special Focus Areas: 1. Start up companies 2. SMEs 3. IT Product/R&D Companies 4. SC/ST Entrepreneurs 5. Women Entrepreneurs 6. Animation, Gaming & Digital Entertainment 7. Engineering services 8. Tier II locations 9. Tier III locations 10. Promotion of IT Incubation facilities at Engineering Colleges/other educational institutions 11. Corporate Social Responsibility 12. Promotion of Womens participation in ICT Sector. INCENTIVES: General Incentives automatically applicable: i) IT/ITES units are exempt from the purview of the AP Pollution Control Act, except in respect of power generation sets. ii) IT/ITES units/ companies are exempt from the purview of statutory power cuts. iii) IT Industry is exempt from inspections under the following Acts and the Rules framed there under, barring inspections arising out of specific complaints. The IT units are permitted to file selfcertificates, in the prescribed formats. The Factories Act, 1948. The Maternity Benefit Act, 1961. The AP Shops & Establishments Act, 1988. The Contract Labour (Regulation & Abolition) Act, 1970. The Payment of Wages Act, 1936. The Minimum Wages Act, 1948.

Source: Software Technology Parks of India, Hyd

I . IT Promotion and Policy To make Andhra Pradesh one of the fore runners in IT sector in the Country, the new Information & Communications Technology (ICT) Policy 2010-15, effective from 1st July 2010, has been brought out with the following objectives: (i) Provision of congenial industrial friendly proactive climate for IT companies to locate, grow and sustain their operations most competitively in a hassle-free environment in the State. (ii) Creation of employment opportunities to the educated youth of all sections of the Society across all regions,

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The Employment Exchanges (Compulsory Notification of Vacancies) Act, 1959. iv) General permission for three shift operations with women working in the night for IT/ITES units/ companies. v) IT/ITES units/companies and nonhazardous hardware manufacturing industry are declared as essential service under AP Essential Services Maintenance Act. Common Incentives for all IT companies 1. 100% reimbursement of stamp duty, transfer duty and registration fee paid on sale/lease deeds on the first transaction. This incentive is not available in case Government land is allotted. 2. 50% reimbursement of stamp duty, transfer duty and registration fee paid on sale/lease deeds on the 2nd transaction. This incentive is not available in case Government land is allotted. 3. Admissibility of Industrial Power category tariff. 4. 25% power subsidy on power bills for a period of 3 years or Rs.30 lakhs which ever is earlier, from the date of commencement of commercial operations. 5. Reimbursement of 50% exhibition subsidy for participating in the national/international exhibitions limited to 9 sq m space. 6. Government will support IT Exporters Associations, ITsAP, NASSCOM, ELIAP, STPI, IEG or any such organisation (as decided by the committee) in the creation of Library for making available material on trends in technology, market intelligence, research reports and analysis etc., by contributing Rs.10 lakhs per annum for development of the SME sector by making such material available at these libraries. Specific Incentives to Focus Areas: Reimbursement of Lease Rentals: Startups & SMEs: Providing 25% subsidy on lease rentals upto Rs.5 lakhs per annum, maximum upto a period of three years, for the plug-and-play built up office space ranging from 1000 sft to 5000 sft, leased in STPI, IT/multi-purpose SEZs/IT Parks (both Public & Private promoted). 123

Recruitment Assistance: a. Startups: Recruitment Assistance of Rs.2.5 lakhs for recruitment made upto 50 IT professionals within a period of one year. b. SMEs: Rs.10 Lakhs as recruitment assistance for employing minimum 200 IT employees within 2 years of commencement of commercial operations. c. R&D: Rs.15 Lakhs as recruitment assistance for employing minimum 150 IT employees within two years of commencement of commercial operations. d. SC/ST Entrepreneurs & Women Entrepreneurs : Rs.10 Lakhs as recruitment assistance, basing on the level of employment generated, for employing minimum 100 IT employees within three years of commencement of commercial operations i.e., Rs.5 lakhs for first 50 employment generated in the first year , Rs.2.5 lakhs to the next 25 employees in the 2nd year, and Rs.2.5 lakhs for the remaining 25 employees employed at the end of third year. e. Animation, Gaming & digital Entertainment and Engineering Services: Rs.15 Lakhs as recruitment assistance for employing minimum 100 employees within one year of commencement of commercial operations. Tier II locations: Rs.15 Lakhs as recruitment assistance for employing minimum 100 employees within two year of commencement of commercial operations. Tier III locations : Rs.10 Lakhs as recruitment assistance, basing on the level of employment generated, for employing minimum 100 IT employees within three years of commencement of commercial operations i.e., Rs.5 lakhs for first 50 employment generated in the first year, Rs.2.5 lakhs to the next 25 employees in the 2nd year, and Rs.2.5 lakhs for the remaining 25 employees employed at the end of third year. This incentive is available only for the first 5 anchor companies as identified by the Government.

Reimbursement of Patent Filing Costs: Startups; R&D; SC/ST Entrepreneurs; Women Entrepreneurs; Electronic Hardware : Patent Filing Costs will be reimbursed to a maximum of Rs.2 lakhs on successful attainment of the patents. Reimbursement of Quality Certification Expenditure: SMEs, and Animation, Gaming & digital Entertainment: Reimbursement of 20% of expenditure incurred for obtaining quality certification limited to a maximum of Rs.4 lakhs. SC/ST Entrepreneurs & Women Entrepreneurs: 50% subsidy on the expenses incurred for quality certification, limited to Rs. 2.00 Lakhs. Engineering Services: Reimbursement of 20% of expenditure incurred for obtaining quality certifications for CMM Level 2 upwards. Reimbursement will be limited to a maximum of Rs.4 lakhs. Similar reimbursement will be made to BS7799 for security and also for ITES companies for achieving COPC and eSCM certification. Tier II Locations (Visakhapatnam, Vijayawada, Warangal and Tirupati): 100% reimbursement of stamp duty, transfer duty and registration fee paid on sale/lease deeds on the first transaction. This incentive is not available in case Government land is allotted. 50% reimbursement of stamp duty, transfer duty and registration fee paid on sale/lease deeds on the 2nd transaction. This incentive is not available in case Government land is allotted. Admissibility of Industrial Power category tariff. 25% power subsidy on power bills for a period of 3 years or Rs.30 lakhs which ever is earlier, from the date of commencement of commercial operations. Subsidy of Rs.10 lakhs to the first five anchors IT/ITES companies employing 124

more than 250 employees in IT or 500 employees in ITES in any Tier-II location. Rs.15 Lakhs as recruitment assistance for employing minimum 100 employees within two years of commencement of commercial operations in the Tier-II city. Reimbursement of 50% exhibition subsidy for participating in the national/international exhibitions limited to 9 sq m space. Free City profiling and detailed report on advantages of each Tier II location for prospective investors and entrepreneurs; Organising exhibitions, conferences in Tier II cities and taking IT companies located there as part of trade delegations to domestic, national and international exhibitions. Tier III Locations (Identified in any district other than HMDA area and Tier-II locations) 100% reimbursement of stamp duty, transfer duty and Registration fee paid on sale/lease deeds on the first transaction. 50% reimbursement of stamp duty, transfer duty and Registration fee paid on sale/lease deeds on the 2nd transaction. Admissibility of Industrial Power category tariff. 50% power subsidy on power bills for a period of 5 years or Rs.30 lakhs which ever is earlier, from the date of commencement of commercial operations. A subsidy of Rs.10 lakhs to the first five anchor IT / ITES companies employing more than 250 employees in IT or 500 employees in ITES in any Tier-III location. Rs.15 Lakhs as recruitment assistance, basing on the level of employment generated, for employing minimum 100 IT employees within three years of commencement of commercial operations in identified Tier-III location, i.e., Rs.5 lakhs for first 50 employment generated in the first year, Rs.2.5 lakhs to the next 25 employees in the 2nd year and Rs.2.5 lakhs for the remaining 25 employees employed at the end of third year. Reimbursement of 50% exhibition subsidy for participating in the international exhibitions limited to 9 sq. mts. Government shall strive to create Incubation Centres and IT Parks depending on need based requirement.

Government shall take steps to see that the e-learning concept is widely used by the students in Tier III locations. Mega Project Incentives A special and up front negotiated package of incentives will be offered for mega projects set up by ICT Multinational Corporations (MNCs) and IT majors. Mega Projects are defined as such ICT projects, with present employment of more than 1000 in the case of IT and 1500 in the case of ITES and an annual turnover of more than Rs.100 crores for the last 3 years Provision of Land for construction of own IT Campuses: Allotments of Government land to the IT Industry are made subject to availability, fulfillment of certain eligibility criteria by the applicant IT/ITES company, and on payment of land cost and development cost, as determined from time to time by the allotment agencies, i.e., APIIC/HMDA and the concerned local statutory authorities. Industry Facilitation: For facilitation of ICT industry to come, set up, grow and expand their operations in a hassle-free business and industrial friendly environment in the State, the following mechanisms are in place: a. Business Advisory Committee: Constitution of Business Advisory Committee, under the Chairmanship of Honourable Chief Minister and key stakeholders representing IT/ITES Industry for advising the Government on IT promotion strategies. b. Single Window Mechanism: Constitution of Special Single Window Clearance Committee for IT/ITES sector, under the chairmanship of the Principal Secretary/Secretary to Government, IT&C department, and other Heads of the department of the concerned Government Agencies, along with industry associations such as NASSCOM, ITsAP and other IT/ITES industry associations as members, as per the provisions of Section 5(1) of the AP Industrial Single Window Clearance Act, 2002, to provide single window Pre and Post Business Facilitation service which will facilitate the IT/ITES Companies in obtaining clearances from various 125

departments/agencies for setting up of enterprises in a time bound manner. c. Consultative Committee on IT Industry (CCITI): Constitution of Consultative Committee on IT Industry (CCITI), is a joint committee with representatives from the Government and the ICT Industry - for administering the incentives to the ICT Industry in a smooth manner, and for effectively resolving the problems, overcoming the impediments and ensuring growth of the ICT Industry in the State. The CCITI shall administer the incentives on specific application made by an ICT Company for the incentives mentioned herein. Such applications shall be prima facie scrutinized by the subcommittee of the CCITI headed by the Special Secretary, IT&C, in association with industry representatives, on the eligibility, veracity of technical/financial information, etc., before being placed before the CCITI for its consideration. d. IT Infrastructure Promotion Committee: In order to provide solutions to operational issues pertaining to infrastructure, such as water, road, power, sewerage and transport in the IT Layouts, an Infrastructure Committee, under the chairmanship of Principal Secretary, IT&C, comprising the field level officers of the respective agencies and captains of IT Industry and Associations, has been formed and is in place. This Committee meets periodically to address the related issues for providing requisite facilitation to IT Industry. e. IT Security & Safety Committee: To provide appropriate security and safety to the ICT Industry in Andhra Pradesh, the Government has put in place (i) Industrial Security Task Force, headed by IG Police and Director (Communications), Director General of Police Office, and (ii) IT Security & Safety Committee, headed by Commissioner of Police, Cyberabad, comprising of members representing IT industry / IT Infrastructure developers and IT Associations. These mechanisms address the related issues for providing the requisite comfort to IT Industry.

Promotion of IT SEZs: Special Economic Zone (SEZ) policy is promoted by Government of India, Ministry of Commerce, vide SEZ Act, 2005. SEZ is a specifically delineated enclave treated as foreign territory for the purpose of industrial, service and trade operations, with relaxation in customs duties and a more liberal regime in respect of other levies, foreign investments and other transactions. SEZ can be set up in an area of 10 hectares or 25 acres with a minimum built up processing area of 1 lakh square meters and at least 50% of area shall be earmarked for developing processing area. The present status on development of IT SEZs in the State is shown in Table.7.6.
Table 7.6 Details of IT SEZs in the State Particulars Formal Gazette approval Notified Total SEZs in the country 577 363 Total SEZs in AP 109 74 No of IT/ITES SEZs in the 353 228 Country No of IT/ITES SEZs in AP 56 43 Govt. 18 Composition of IT/ITES Major IT SEZs in AP Campuses - 10 Private - 28 Total - 56 Operational IT/ITES SEZs 18 (Hyd-15; Vza-1, in AP Vizag-2) (i) IT companies granted 155 LoP 102 (Hyd 94 (ii) IT companies Vijayawada-2 operational in functional IT Vizag 6) SEZs Investment made in IT/ITES Rs.6277.56 crores SEZs Hyd Employment generated so far in operational IT/ITES SEZs 44200

Major IT companies set up operations/ expanded in functional IT SEZs

New companies DSM,NCR,Free Scale Semiconductors,WN S,etc., Expansions - TCS, Accenture, Infosys, IGate, HCL, Deloitte, Google etc.,

*Source : Vizag Special Economic Zone, GOI

IT&C Department Future Plans To implement the vision of the Government envisaged in ICT Policy 2010-15 to achieve the following targets by 2015: Exports Rs.70,000 crores (US$15 billion ) Projected Annual Growth Rate 17% Generation of new direct IT employment 1.25 lakhs Generation of new indirect IT employment * 5 lakhs The New Initiatives proposed are: 1) Promotion and percolation of IT to Tier-II and Tier-III locations: Hitherto growth of IT is limited to Hyderabad and Visakhapatnam cities only. However, the human talent comes basically from rich hinterland of AP, i.e. rural areas and from the families of farmers. It is estimated that significant percentage of the working population in BPO industry comes from rural areas. Percolation and promotion of the growth of IT to the other regions in the State is therefore essential. As such, other cities in the State like Warangal, Visakhapatnam, Kakinada, Vijayawada, Kadapa, Tirupati, etc, have been identified and are being promoted as IT Hubs in the State. 2)Organising the ICT Promotion event Advantage A.P. 2012 - to project the State as the most preferred most IT destination: In order to project the State of Andhra Pradesh as the ideal place for IT companies to come, set up, sustain and grow their operations in the State, to attract the IT companies that do not have presence in India and in Hyderabad to the State of Andhra Pradesh, it is proposed to hold the ICT Promotion event on 3rd and 4th February, 2012, under the name and style Advantage A.P. 2012 The most preferred IT destination at HICC, Hyderabad. The theme of the Advantage A.P. 2012 The most preferred IT destination has the following objectives: Project AP as the most preferred destination for IT/ITES sectors globally. Create awareness about Trends/Opportunities in IT / ITES sectors for SMBs. 126

Create a platform for interaction between IT/ITES companies and the customers. 3). Information Technology Investment Region (ITIR) ITIR is envisaged as a self contained integrated knowledge Cluster dedicated to establishment and growth of Information Technology (IT), Information Technology Enabled Services (ITES) and Electronic Hardware Manufacturing (EHM) units. ITIR will comprise of industrial areas (processing area) which will be supported by the necessary residential, commercial and social infrastructure (non processing area) so as to reduce the burden on existing urban Infrastructure. ITIRs can be set up in a minimum area of 40 sq kms with 40% as processing and the rest 60% as Non processing and shall be a combination of production units, public utilities, logistic, environmental protection mechanism, residential areas and administrative services. ITIRs may include Special Economic Zones (SEZs), Industrial Parks, Free Trade Zones, warehousing zones, Export Oriented Units, growth centres, existing settlements/industries and estates/services duly notified under the relevant Central or State legislation or Policy. All industrial promotion schemes/Incentives offered by the state government and the central government will be made available to companies establishing their operations in the ITIR region. The ITIR envisages holistic & planned development of identified area, through creation of requisite (i) external infrastructure and (ii) internal infrastructure, in the form of provision of roads, water supply, electricity transmission and generation, sewerage and solid waste management, etc, The ITIR is required to be developed in two phases over a period of 25 years. Basing on the policy resolution of the Government of India, to promote Information Technology Investment Regions(ITIR) in the State of Andhra Pradesh, Government has taken a lead initiative to identify an ITIR in an area of 127

about 202 Sq. Km. area, (50,000 acres) covering agglomerations/areas, such as Cyberabad, Mamidipalli, Maheshwaram, Uppal, Pocharam,, etc., connected through the growth corridor along the Outer Ring Road and encompassing identified industrial/IT clusters in and around Hyderabad & Ranga Reddy Districts. The IT&C department has submitted the detailed project proposal of ITIR along with requisite documentation to the Government of India for their consideration and approval. The ITIR upon full implementation is envisaged to accrue the following projected enhanced benefits to the State over a period of 25 years: Direct Revenues Rs.310,849 crores IT Investment potential Rs.219,440 crores IT Exports Rs.235,000 crores Direct employment nearly 15 lakhs Indirect employment nearly 53 lakhs Increase in tax revenue to State Rs.30,170 crores 4). Promotion of Women participation in the ICT Sector Women employees constitute more than 30% of the total working IT population in the State. A vast majority of them work in call center jobs in ITeS/ BPO operations, which require them to work 24 X 7 X 365 days on shift or staggered timings. Government of Andhra Pradesh in the ICT Policy 2010 15 has identified the increased role of women in ICT as a key thrust area. In effect, the following policies will be impressed upon the industry to meticulously adhere to as part of their HR practices: (i) Introduce an affirmative action initiative to increase the participation of women at various levels in the organization board of directors, vice presidents, executives, senior managers, etc. (ii) Follow fair practices with respect to recruitments, promotions, career opportunities, project allocations, and training opportunities etc. (iii) Provide congenial conditions for smooth working of the women employees.

(iv) Provide requisite safety and security for women employees at their work place during the working hours and night shifts. (v) Provide necessary escort services for women to enable them reach their residences safely after work. (vi) Implement in letter and spirit the statutory provisions pertaining to women employees with regard to their various types of leave entitlement such as medical, maternity, earned leave and privilege leave, etc. (vii) Provide professional counseling arrangements to the needy women employees for handling adverse situations related to gender. (viii) Provide a forum wherein the women employees can represent their issues and mutually interact for bettering their working conditions. (ix) Provide periodic training to the women at all levels. II. Human Resource Development Jawahar Knowledge Centres (JKCs). Jawahar Knowledge Centers (JKC) is a unique Human Resource promotion initiative of the Government. It started in 2004 and is first of its kind in the Country. JKC program is being run by the Institute for Electronic Governance (IEG), a society under IT&C department in close coordination and association with IT Industry and Government. Salient Features of JKCs: JKC aims to improve the quality of education through imparting suitable skills and enable potential gainful employment to the engineering/MCA graduates. Several Engineering / MCA and Degree colleges across the State are registered with JKC to improve the employable skills of their students thus place more number of students from their institutions. Every institution that is registered for JKC should assist IEG in imparting employable skills to the JKC registered students of their institution, provide necessary facilities for organizing the workshops for their faculty members as well as students. In JKCs, the students are trained in various technical skills, soft skills, project management skills and communication skills 128

by JKC faculty members and IEG IT Associates in parallel to their academics for a period of 2- 3 years. JKCs thus provides the best human resource trained in the relevant skills required by the Industry. It bridges the gap between the student curriculum knowledge and Industry desired skills. JKC students who are selected for various companies through campus recruitments would attend four month training in their last semester / after their last semester according to the request of their prospective employers. They gain the practical experience facing real life scenarios like teamwork, time management, effective way of developing software applications, etc. JKC, therefore, provides an opportunity to the students learning beyond the curriculum and the text book theories through the mode of Learning by doing, along with Learning by listening. So far 675 Engineering / MCA colleges and 448 Degree colleges have been registered under JKC since 2004 and more than 2.5 lakh students have been trained since the JKC inception about 50,000 students are registered for the academic year 2011 - 12. Project for Government departments: IEG is developing software applications for various government departments such as Agriculture, AP Dairy Development, Treasuries and Accounts, Director of Works Accounts, AP Civil supplies, Youth services, Information & public relations, RMSA and Commercial tax department etc. The development of applications is completed and it is being implemented in the state. Test of English as a Foreign Language: IEG has established 9 ETS authorized TOEFL test centers at JKC centers, during 2007 - October' 11, IEG has coordinated test for 469 batches with 38- 44 seating capacity per batch in 9 test centers across the state. Software Training program for socially challenged students A special software training program is initiated by IEG to cater the students of socially challenged sections (SC, ST, BC and Minority) to train them and assist them in getting the placements. So far, about 624 students (in 8 batches) were trained through

this training program and 526 of them are placed into various companies. During the year 2010-11, about 113 candidates are trained at Hyderabad and Vizag out of which 51 candidates are placed into various MNCs. III. AP Broad Band Network Government is creating new G-G SWAN connecting the State Capital to all District head quarters (DHQs) with 8 Mbps bandwidth connecting all DHQs upto Mandal Head Quarters (MHQs) with 2 Mbps. The new Network will be completely IP based and provide Voice, Data and Video Communications to all Government Offices. M/s. TCIL has been selected as Consultant for the project. The tender process is completed and M/s. TCS has been identified as service provider and implementation is completed and commissioned and operations from 2010. Video Conference System, DTA, RTA, MA&UD, MROs, APGLI departments are already utilizing the network. IV. APNET/SAPNET Government of Andhra Pradesh as a part of its objective to harness the potential of IT has established a Satellite based communications Network to be utilized in the areas of Education, Tele Medicine, Agriculture Extension, E-Governance, awareness amongst self help groups and Human Resource Development. An earth station is functioning since 2002, utilizing the INSAT-III B Satellite using Ku Band. SAPNET, an autonomous society is running the operations. The earth station has capability of 5 Video Channels and one data channel. A State of art digital studio is functional and utilization of live interactive channel has increased. All MPDOs are equipped with Mana TV, receive only terminals and more than 10,000 remotes are deployed as of now. Presently 4 channels are used for transmission and their details are as below: Channel 1: Shared by School, Collegiate, Technical and Medical Education. Channel 2: For live Interactive teaching of School, Collegiate, Technical and Medical Education. In addition, the channel is used by the Agriculture department, Indira 129

Kranthipatham and Police etc., for their interactive Video Conference. Channel 3: Dedicated to HRD and Social Sector programs. Channel 4: For Schools, Programs. JKCs through IEG. V. State Data Center Government have built a State Data Center (SDC) in nearly 8,900 s.ft. to cater for use by all the departments of the State Government, initially providing rack space, and later to provide dedicated servers and finally a Managed Data Center Services to include the Application Management. The construction of the building for the SDC has been completed at Manikonda in the premises of APIIC Financial district. DIT has allocated the Consultant (M/s Pricewaterhouse Coopers) for this Project. DPR has been submitted to DIT in consultation with the consultant, based on which the allocations (Rs.55.75 crores both for Opex and Capex) have been made to the State, out of which an amount of Rs.4.19 crores has already been transferred by DIT.The contract was signed with M/s. Wipro Ltd. M/s. Wipro has completed commissioning of IT and Non-IT equipment. The composite team for APSDC has been formed. The TPA, M/s KPMG for APSDC has already been chosen. Contract signed between the APTS and M/s KPMG. The Final Acceptance Test (FAT) is completed and Go-Live declared on 16.08.2011. The Honble Chief Minister of Andhra Pradesh inaugurated APSDC on 26.08.2011. Application Migration is under progress. VI. e-Governance/e-Seva. Small and Medium Enterprises (SMEs) are recognized as an important constituent of the National Economies, contributing significantly to employment expansion and innovation. Recognizing the importance of Small and Medium Enterprises, the Central and State Governments have been implementing several schemes and programmes for promotion and development of these enterprises. Andhra Pradesh is the first state to issue orders (in August, 2010) on Involvement of Small and Medium

Enterprises (SMEs) in e- Governance Projects to support SMEs to participate and execute e-Governance projects. 1. Genesis Andhra Pradesh as part of its commitment to administrative reforms is probably, first in the country in recognizing the power of leveraging IT for good governance initiatives. When technological developments are contributing for a major change in day-to-day life, A.P is also first to recognize that the fruits of technology should reach common man. Expert committees, citizenry and Government departments were consulted to know citizen expectations from the Government and Government expectations from citizenry. Result of the above study is the establishment of common service center where citizen services rendered by different departments of Government are available to citizens at a single place with transparency, Accountability, equal access of service to every citizen, service availability at desired hours and days. 2. Salient features of e-Seva Any center, any counter any service availability Works from 8.00AM to 8.00PM on working days and 10.00AM to 2.00PM on Sundays. Measurable and enforceable SLA (15 minutes) Both G2C and B2C services are blended for citizen convenience. Multiple service channels such as e-Seva centers, RSDP centers, Rajiv centers and CSC centers. Services of more than 25 departments and 140 services. Multiple payment modes such as Cash, Cheque, Demand Draft, Credit Card, Debit Card, Net Banking etc. Serves more than 1.30 Lakh citizens a day and collects Rs.18 Rs.20 Crores per day. Service reach to all municipal towns and some villages. 3. Project model Selection of project funding and implementation model PPP is one among the 130

major factors of success. Fast changing technologies, existing age old Government procedures, investment requirements, PPP model was chosen and probably is the first PPP project in the field of public services delivery in the country. Project components allocation between Public and Private and procurement method (BOOT) is also the contributor of success. 4. Service delivery channels and expansion stages. Keeping the expected demand for multiple delivery channels for service, it is designed to accommodate quick addition of new services and new service delivery channels. e-Seva was initially started in 1999 with 2 centers in the State Head Quarter Hyderabad with 3 services. As on today 52 centers are functioning. On success of the concept, it is further extended to all municipal towns in the state (262) in the year 2003. Another service channel such as Rajiv Service Delivery points (RSDP) centers were also started in the year 2005 extend services for semi-urban and rural areas. It is further extended to villages by setting up 5468 service centers in the villages under the project Rajiv Internet Villages. 5. Services rendered and transaction volumes Presently eSeva makes about 1.3 Lakhs transaction per day collecting revenue to the tune of Rs.20 Crores. 6.Modes of payment Payment mode of all transactions in eSeva was initially started with cash only and added all other modes such as Cheque, Demand Draft, Credit Card, Debit Card and Net Banking with 7 Banks. 7. Service additions from last 30 months Issue of Electro Photo Identity Cards (Election cards) for EPIC approved candidates. As of date 3,00,000 citizens are served. To book new gas connection at e-Seva centers is introduced. As of date 45,000 citizens availed the facility. To issue Birth and Death certificates through all e-Seva centers in GHMC

area, as of date 45,000 citizens availed the facility since its introduction on 03.04.2010. To book time slot for Learners license & Driving License and pay required fee. To issue fresh and renewal of trade license certificates of GHMC area. To collect bills of private telephone operators such as TATA DOCOMO. To collect licensing and renewal fee of Legal Metrology department Ration card mutation service. Airtel document collection service. ING Vysya premium payment service. Vodafone bill collection service. Aircel bill collection service. Pan Card service. Beam Telecom Pvt. Ltd. Collection of Internet Post paid pills through eSeva centers in Hyderabad & RR Dist. Hyderabad Revenue Service. Hathway Broadband Internet bills. Collection of payments from customers. AP Housing Board. Installment Collection from Hire purchase allottees 1100 Toll-Free Call Centre Government a Call away Launched as agriculture call centre in July 2003 and subsequently extended to include services of all government departments from February 2004. Operating with a Toll-free number 1100 within AP and functioning on 24 hours 365 days a year. Operating with 30 seats and a capacity to take 10,000 calls a day. Services provided at the call centre include expert advice on agriculture related queries on crop production, soil science, Agriculture chemistry, Genetics and Plant Breeding Crop Production Entomology and Plant Pathology. Horticulture Information on Marketing price, location wise Information on Seeds, Pesticides, Fertilizers availability, by Scientists from Dr. Acharya N.G. Ranga Agricultural University and officers from agriculture department. Service such as registration of grievances related to INDIRAMMA housing scheme and Greater Hyderabad Municipal Corporation (GHMC) are providing on charge basis. Information calls pertaining to verification of name in Electoral rolls, issue 131

of voter ID cads, poll irregularities, election code violation are also received at the call centre and registered in Citizen to Government Interface. Portal (www.ap.gov.in/c2g). these calls are registered and forwarded to the CEO and or District Collectors and SPs as the case may be. Call registration and call status details are provided through SMS and email. New Toll free Number for Drought related calls Based on the request of Revenue (Disaster Management) department, a new Toll free No.1800-425-1110 accessible to subscribers of all telecom service providers, was taken at Parishkaram call centre. This number became operational w.e.f. 31.08.2009 exclusively to attend to grievance calls related to drought. The Citizen-2Government Interface application was modified to register drought related grievance calls also. Total calls received by the Call Centre since inception are more than 43.52 Lakh till September 2011. Of these, 1.18 Lakh calls pertain to citizen grievances related to Agriculture, Municipal, Health, Housing etc. Average calls received in a month are more than 40000. The call center handles 1300 calls per day on an average which may go up to 20000 calls, during announcement of examination results. VII. Citizen Service Centre (CSC) Citizen Service Centre (CSC) scheme is a Government of India initiative under National eGovernance Plan (NeGP) under the aegis of department of Information Technology, GOI. EDS is the Nodal Agency for implementing and monitoring this project in the State. The CSC Scheme involves setting up of 4,687 ICT enable centres in rural areas covering all the districts/mandals of the State. The scheme is being implemented on a Public Private Partnership (PPP) framework. Presently, 2 Services Centre Agencies (SCAs) are setting up of CSCs, primarily based on franchisee model in 15 districts. As of now 930 centres were rolled out in the state as on Sep2011. Recently, State Government has issued RFP for the selection of SCA to Setup, Manage and

Operate 1704 Citizen Service Centers (CSCs) in 8 Districts of AP. CSCs are envisioned as the front-end delivery points for the Government, Private and Social Sector Services to rural citizens of India. The idea is to develop a platform to integrate their Social and Commercial goals for the benefit of rural population in the remotest corners of the country through a combination of IT as well as Non-IT Services with a vision of providing all Government and other value added services to rural citizens in an integrated manner at his doorstep at an affordable cost. VIII. APOnline APOnline is an e-governance gateway for the State Government (GoAP) offering multiple services through a single window to citizens. It is a best-of-breed portal, developed and launched by Government of Andhra Pradesh (GoAP) in partnership with Tata Consultancy Services (TCS), as a Joint Venture. APONLINE is accessible through multiple delivery channels, at home and offices on anytime anywhere basis to deliver citizen services. The convergence of services viz., interactive services, payment services through various Delivery Channels/Kiosks is helping citizens to make multiple utility bill payments at the same counter through credit cards/debit cards, cash, DD and cheques for payment. Since April11 to October11 Rs.445.71 crores of amount collected through 1,02,29,643 transactions apart from the above, information pertaining to 34 departments and 258 HODs, Corporations and agencies of the State Government of Andhra Pradesh, is hosted on AP Online and the information is updated on regular basis. IX. e-Procurement. e- Procurement is one of the core eGovernance initiatives. It automates the procurement and purchase procedures of AP Govt., starting from demand aggregation to procurement and fulfillment of contract. The basic objective of this project is to use the tools of IT to introduce best practices in electronic procurement across Govt. departments. The prime objectives of eProcurement are demand aggregation. Reduced inventory cost, consistent 132

procurement procedures across departments, reduction in cost of procurement, transparency and effective tendering processes. This project has demonstrated substantial savings to government departments by way of attracting competitive bids, maintaining anonymity of bidders, decrease in tender cycle time, besides empowering the contractors to file tenders remotely. In order to strengthen security and authentication, the usage of Digital Certificate is made mandatory from 1st March 2005 for conducting transactions on the platform. Implementation: The platform is extensively used for procurement works by Irrigation department, Roads and Buildings, Tribal Welfare engineering department, Panchayat raj engineering departments, AP Police Housing Corporation, Public Health Engineering department, HMWS&SB. Present Status: So far 27 departments, 41 PSUs & Corporations, 15 Universities and 128 Urban local bodies are using the e-Procurement service and they have successfully transacted 1,63,071 tenders with a value aggregating to Rs. 2,51,219 Crores on the platform since its launch. Achievements: e-Procurement has secured demonstrable and significant benefits by way of cost and time savings to the government, brought transparency and empowered the small and medium suppliers. The path breaking initiative has proved that transparency, fairness and equal opportunity to private entrepreneurs who bid for government contracts, sell products or expertise to government agencies will not only result in healthy competition, significant contribution to the economy, but also makes significant social impact as a citizen assurance on transparent utilization of public funds. As a matter of fact the successful implementation of this initiative by the state Government has motivated the Govt of India and several other state Governments have to embark on e-Procurement initiatives. It is actively sought to be replicated in other states as well.

Some of the important benefits accrued are Significant cost, savings in print media advertisement cost due to abridged tender notices; Elimination of supplier cartels, syndicates due to remote bidding; Empowerment of small & medium bidders as the entire content and bid submission is online; significant reduction in tender process time from 3 to 4 months to 35 days due to automatic work flows; and improved institutional memory due to storage of electronic records etc.,

Awards received to the project include Golden Icon Award from GOI in the Year 2003 for Exemplary e-Governance Initiative; The PC Quest Award for Best IT implementation in India (2005); Finalists for the Prime Ministers Award (2006) for excellence in Public Administration; NASSCOMs Best IT user Award (2006) and United Nations Public Service Award (2007).

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8. SOCIAL INFRASTRUCTURE
8.0 Investments in Physical and Social infrastructure are important for higher growth which favours the poor and which can also improve employment and social development. In fact the accepted notion of what constitutes economic development itself has undergone a paradigm shift in the recent imes. The prime objective of any Welfare State is to improve the social infrastructure for a sustainable and improved standard living of the people. While solid economic infrastructure lays foundation for development resulting in improvement in the living conditions of the people, it is the push necessitated on social sector parameters like education, healthcare, nutrition, water supply, housing, social security etc that would eventally bestow a healthy ambience. The Government continued its focus on social infrastructure towards meeting basic minimum requirements of the people especially towards higher levels of social justice in society in accordance with the goals of the Eleventh Five Year Plan. Once the process of social development is institutionalised, it provides sustenance to the overall process of economic development. Population Andhra Pradesh is the fifth largest state in the Country, in terms of population. As per Census-2011(Provisional), the State accounts for 7.0 per cent of the total population in the country. The population of Andhra Pradesh more than quadrupled in the last century from 19.1 million in 1901 to 84.7 million in 2011. Of this, 42.5 millions are males and 42.2 millions are females. The decadal growth of population which was below 15 per cent until 1961; rose till 1991 and in fact, the growth rate of 24.2 percent during 1981-91 was the highest ever recorded. Later, a significant decline has been observed in the rate of growth of population which was only 14.6 percent during 1991-2001 has further come down to 11.1 percent during 2001-11, lower than the All-Indias growth of 17.6 percent. The following chart depicts the decadal population growth rate in Andhra Pradesh from 1961 to 2011(Provisional).
Percentage Decadal Variation of Population in AP and India

Decada Variation (%)

30 25 20 15 10 5 0
24.80

24.66

23.85 21.54 24.20 17.65 14.59 11.10

20.90

23.10

1961- 1971- 1981- 1991- 200171 81 91 01 11

AP India

Population-wise, The State occupies 5th rank in the country after Uttar Pradesh, Maharashtra, Bihar and West Bengal. Among the districts Ranga Reddy district stands to be the most populous district in eth State surpassing the legacy of East Godavari and Vizianagaram dsitrict has the lowest population. District-wise population from 1961 to 2011 censuses is given in Annexure 8.1. Sex Ratio: Sex ratio defined as the number of females per 1,000 males has shown a declining trend in the State till 1991. The favourable trend in sex ratio registered for the first time in the State in 2001 continued in Census 2011 also. The Sex Ratio in the State up from 978 in 2001 to 992 in 2011 is higher than All Indias 940 in 2011. The sex ratio continues to show a favourable trend in Nizamabad, Vizianagram and Srikakulam districts. The Districts of Adilabad, Karimnagar, Khammam, Visakhapatnam, East Godavari, West Godavari, Guntur and Chittoor have registered a progressive sex ratio moving from less than 1000 category to more than 1000 from 2001 to 2011. Annexure 8.2 gives District-wise population (decadal variation) and sex ratio. Density Density of population defined as the number of

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persons living per Sq. Km is another important demographic indicator. The density of the population for the state is 308 persons per square kilometres., as against 382 persons per square kilometres. at all India level in 2011. Among the districts, the density of population of Hyderabad continues to be the highest at 18,480 while Adilabad and Khammam due to their larger forest area, continue to have the lowest population density. District-wise density of population is given in Annexure 8.3. Urbanization The percentage of urban population to the total population in the state is 33.49 percent in 2011 as compared to 27.3 percent in 2001. Among all the districts, Hyderabad obviously is the only district with 100 percent urban population followed by Rangareddy district with 70.32 percent urban population. The least urbanized district is Mahabubnagar with 15 percent of urban population followed by Srikakulam with 16.16 percent. District-wise urban population to total population is given in Annexure 8.3.
Rural, Urban & Total Population in AP
900 800 Population (lakhs) 700 600 500 400 300 200 100 0 1961 1971 1981 1991 2001 2011
63 84 360 351 297 125 179 208 435 486 411 284 536 554 665 762 847

to 74.04 percent during 2001-2011. The best record in literacy so far at both the national and state levels was during the nineties. The slow growth in literacy rate is identified during the last decade at state and national levels. The decadal improvement at the national level had been not more than 8 percentage points till 1991 and the nineties witnessed an improvement of 13.8 percentage points. Whereas the literacy rate has identified an improvement of more than 9 percentage points during 2001-2011 at national level. Literacy in Andhra Pradesh increased over 24 percentage points from 44.1 percent in 1991 to 67.66 percent in 2011. In spite of this faster rate of growth in the last three decades, the literacy rate in Andhra Pradesh is still lower than the all India average. While the literacy rate of Andhra Pradesh was about three fourths of the all India level in 1961, the State has made substantial progress subsequently, especially in the last four decades. While the overall literacy rate has gone up from 60.47 percent in 2001 to 67.66 percent in 2011, the male literacy rate has increased from 70.32 percent to 75.56 percent. Where as, the female literacy rate has gone up from 50.43 percent in 2001 to 59.74 percent in 2011. Among the districts, Hyderabad is at the top with 80.96 percent and Mahabubnagar district by least with 56.06 percent in 2011. District-wise literacy rate of males, females and total from 1961 to 2011 is given in Annexure 8.4.

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SCHOOL EDUCATION
8.1 Education is a fundamental right, which leads for the road map to achieve the goal of Education for All. Over the years, efforts have been put at state and national level to achieve this goal. As per Article 45 of the constitution of India, Universalisation of Elementary Education is a directive principle of state policy to provide free and compulsory education for the children up to age of 14 years. As per the Article, 21A and 93rd Constitutional Amendments 2009, Education has become a fundamental right. This article clearly spells out the responsibility of the state to the extent of providing free and compulsory

Rural

Urban

Total

Literacy A person aged 7 years and above who can both read and write with understanding in any language is considered as Literate. The literacy rate of the State is 67.66 percent in 2011 as against 60.47 percent in 2001. The literacy rate of the State is lower than of all India literacy rate at 74.04 per unit. The literacy rate in India increased from 64.84

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education to all the children from the age of 6 to 14 years. This article has envisaged about the constitutional position of right to education in our country. To make more effective and meaningful implementation of this obligation, elementary education is brought under Sarva Siksha Abhiyaan (SSA) to universalize elementary education. Similarly secondary education has been brought under the flagship of Rashtriya Madhyamik Siksha Abhiyaan ( RMSA). These two schemes are aimed at the strengthening of school education in terms of access, enrolment, retention and quality. Government is committed to achieve total literacy by 2015 and in this direction several schemes have been initiated for both quantitative and qualitative improvement. The department provides schooling facility to school aged population of 1.33 crore children. Universal access in school education: For achieving universal access in school education, provision of schooling facilities is aimed at Elementary level should be within walkable distance of 1 km of all the habitations. Secondary level should be within the radius of 5kms.

Table 8. 1 Management-wise Schools 2010 11

Hr. Upper High Seco Management Primary Total Primary Schools ndar y

Central Govt. State Govt. MPP/ZPP Municipal Pvt.Aided

Pvt.Unaided

21 5,043 50,487 1,637 2,110 7,536

2 383 8,374 158 420 6,084

41 1,814 8,348 312 830 7,431

49 93 -

113 7,333 67,209 2,107 3,360

33 21082

Total

66,834 15,421 18,776 173 101204

Source: School Education Department

In this regard, our state has achieved 99% access at elementary level and 91.5% at secondary level. Primary schools and secondary schools have started in areas not served earlier. During 2010-11, in the Elementary Education sector there were 66,834 Primary Schools and 15,421 Upper Primary schools. Under Secondary Education there were 18,776 High Schools and 173 Higher Secondary schools. Totaling to 1,01,204 schools in the state. Management wise schools in 2010-11 are shown in Table 8.1.

Enrolment: Steps are being taken up for ensuring 100% access. The strategies implemented for universalization of elementary education involves strengthening of the existing schools, opening new primary schools, establishment of alternative schools and other type of educational facilities in smaller and un-served habitations. The enrolment in the state during 2010-11 was 133.18 lakhs in all types of schools, out of which 54.64 lakhs were in Primary schools; 23.30 lakhs in Upper Primary and 53.97 lakhs were in High schools. In Higher Secondary, there was an enrolment of about 1.27 lakhs. The enrolment of children consists of about 53.49% in Primary stage (I-V), 18.96% children in upper primary (VI-VII) and 24.45% in secondary stage (VIII-X) and the balance 3.10 percent accounted for by the Preprimary and Higher Secondary (CBSE). Drop-outs : For the enrolment of school aged group children into the schools, the problem of retention is observed at different levels. During 2010-11, dropouts figured as 17.43% at I-V classes (Primary Level), 22.34% at I-VII (Upper Primary Level) and 46.21% at I-X (Secondary Level). Necessary measures have been taken to retain the children into the schools. The details of drop outs are given in Annexure 8.5.

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Teachers: Teacher is the vital human resource in the school education system. Teacher acts as a facilitator for learning by the pupils. Teacher is instrumental in developing knowledge, skills, attitudes and values among children at all stages of education. Hence, teachers should be in position in schools as per the optimum teacher-pupil ratio to achieve the goal of universal enrolment, retention and achievement of children. Keeping this in view, sustained efforts are being made by government since beginning to provide teachers in all types of schools to maintain a reasonable teacher-pupil ratio. Rationalization of teachers, deployment of teachers, creation of new posts and massive recruitment of teachers helped in overcoming imbalances in the demand and supply of teachers. During 2010-11, there were 4,76,555 teachers in position in all types of schools in the state. During 2010-11, teachers working in different schools consist of 1,74,069 in primary schools, 93,003 in upper primary schools, 2,05,179 in High schools and 4,304 in higher secondary schools. Details of Teachers in schools are shown in Table 8.2.
Table 8.2 Management-Wise Teachers in 2010-11 Year Central Govt. State Govt. Mandal Parishad Municipal Pvt.Aided Pvt. Unaided Total: Primary Schools 164 9,006 96,977 3,680 6,834 57,408
1,74,069

strengthening education will be to improve existing learning levels by lowering the teacher pupil ratio. The Teacher Pupil Ratio (with Vidya Volunteers) for Primary, Upper primary and High Schools are shown in Table-8.3.
Table 8.3 Teacher Pupil Ratio Year 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 Primary 45 41 37 35 29 28 29 28 27 28 26 Upper Primary 38 39 33 31 25 25 24 23 22 23 21 High School 34 34 29 31 30 30 29 28 29 28 25

Source: School Education Department

Upper Primary Schools 17 1,552 37,632 600 2,532 50,670 93,003

High Schools 898 19,310 99,231 4,122 7,809 73,809 2,05,179

Higher Second ary Schools

1,670 1,192 1,442 4,304

The details of schools, student enrolment and teachers are given in Annexure 8.6. Examination Results: Performance of students at different levels of education has been conventionally considered as an indicator of achievement in assessing the efficiency of educational system. The internal efficiency of education system depends upon the number of pupils who successfully complete a given cycle of education. Completion of a given education cycle depends on the performance and achievement of the students in the examination of the terminal class in that cycle. The number of students appearing and passing the S.S.C. Examination at the end of secondary stage (cycle) play a significant role. The percentage pass of students in S.S.C examinations during 2010-11 is 83.10 which is higher than the previous year pass of 81.63%. Year wise performance in S.S.C Examinations is given in Annexure 8.7. Examination Reforms: OMR Bar Coding implemented in all

Source: School Education Department

Teacher Pupil Ratio: A major element of the approach in

system is being subjects in SSC

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Examinations from March 2010. Xerox copies of valued answer scripts in First Language and Second Language subjects will be supplied to the candidates on payment basis from the SSC Public Examinations March 2010 onwards. Absolute Grading system of evaluation in S.S.C public examinations has been introduced from 2010. Scale of penalty is introduced for errant valuation in S.S.C public examinations from 2010. The following are some of the important initiatives taken: Mid-Day Meal Scheme Midday Meal Scheme is being implemented in the State for I-V classes from January 2003, it has been extended to VI & VIII classes in the year 2007 and it is further extended to the classes IX & X during the year 2008. The Mid day meal scheme is being implemented under Centrally Sponsored Scheme with 75% and 25% share of Central and State Governments for I-VIII classes and the State Government of Andhra Pradesh is funding 100% for Mid day meal scheme for IX & X classes. The main objectives of the programme are to improve the Nutritional Status of children, to motivate the children to attend the school regularly, and to provide Nutritional Support. During 2011-12, 78.04 lakh children are covered under this programme. Out of which, 40.96 lakh are in Primary (I to V), 22.61 in Upper Primary (VI to VIII), 14.22 lakh children in High Schools (IX and X) and 0.25 lakh children of National Child Labour Projects (NCLP). Salient features of the scheme are - The menu is flexible. Mostly Rice and Sambar is being given. Pulihora is also being given. Egg or banana is being given twice a week. DWCRA/Community Development Society /Self Help Groups/School Education Comittees/Other agencies like temple, NGOs of proven track record, charitable trusts/group of parents (in this order of preference) which

are identified by the MROs are the implementing agencies in Rural areas. In Urban areas, the implementing agencies are, Community development societies (CDS)/NGOs/Urban SHGs/ SEC/ DWCUA/Other Agencies like temple, NGOs of proven track record/ charitable trusts/group of parents (in this order of preference) identified by a committee headed by the MRO. All Schools were provided kitchen devices and kitchen-cum-stores. Information and Communication Technology (ICT)-School Computerisation Project: The Computer Education Programme is being implemented under Build Operate and Owner ship Transfer (BOOT) Model by seven agencies in 5000 High schools from 2008-09 for 5 years and in 1300 high schools from 2010-11 for 5 years. The Computer Education Programme is being implemented under Centrally Sponsored Scheme with 75% and 25% share of Central and State Governments with an objective to provide computer knowledge to the students of VI X classes in Government High Schools of Andhra Pradesh. Vocationalization of Secondary Education Vocational Education Scheme was introduced in Andhra Pradesh during the year 1984-85.The objective of the Scheme is to make the pupils learning in the Schools not only eligible for Higher Education and to equip them with skills required for gainful employment if need be. Vocational Education is imparted in 313 High Schools of Government, Zilla Parishad, Municipal and Aided Managements in the State. 28 Mandal Vocational Educational Centers are functioning in the State. Vocational Education is imparted to 34,800 children studying in classes VIII, IX and X in High Schools. Rashtriya Madhyamik Shiksha Abhiyan (RMSA) Rashtriya Madhyamik Shiksha Abhiyan (RMSA) is a Centrally Sponsored Scheme with an objective to achieve a General Enrolment Ratio (GER) of 75% in Classes IX and X within 5 years. 10,368 High Schools (8326 Zilla Parishad, 308 Municipal, 1734 Government) with 21,76,198 Children are being covered under the Scheme. A society was registered under AP Societies Act 2001 called Andhra Pradesh Secondary Education Society in October, 2009 at 138

Hyderabad to implement the RMSA and related Schemes. The activities of the society are- To improve enrolment ratio for IX and X classes from 68.7% to 100%, strengthen existing secondary schools, appointment of additional teachers, construction of additional classrooms. Government of India will bear 75% Project Expenditure as Central Share and 25% will be met by the State Government as State Share during 11th Five Year Plan (2007-08 to 2011-12). Civil Works To improve the quality of Secondary Education, initiatives are taken for improving the existing infrastructure and creating new infrastructure facilities in all High Schools under Govt. sector. Construction of additional infrastructure facilities in 1176 High School Buildings with a cost of Rs. 302.29 crores were taken up under NABARD RIDF-XI. Of these, 997 works are completed and 46 works are in progress. In order to ensure that all children in the state have access to quality education, and to improve the infrastructure facilities in secondary schools in the State, the GOI has sanctioned an amount of Rs.611.89 crores towards civil works under RMSA and released Rs.229.46 crores towards 1st installment for the year 2010-11 and these funds are being spent for developing and improving the infrastructure facilities like construction of classrooms, labs, toilets and providing safe drinking water etc., in about 1656 High Schools.Further an amount of Rs.50 lakhs have been provided for construction of compound walls and Rs.250 lakhs for construction of Restrooms for Girls in High School Buildings in the budget estimates 2011-12. Education for Minorities: Government of Andhra Pradesh is committed to the advancement and upliftment of Minorities in the State. The educational schemes under implementation for the welfare of Muslim Minorities are: 1) Area Intensive Programme for Educationally Backward Minorities:

A 100% Centrally Sponsored scheme of Area Intensive Programme is being implemented in 9 blocks, identified by Government of India as concentrated areas of educationally backward minorities. The identified blocks are Musheerabad (Hyderabad), Zaheerabad (Medak), Bodhan (Nizamabad), Kurnool, Atmakur and Nandyal in Kurnool district, Kadiri (Anantapur), Kadapa and Rayachoty in Kadapa districts. An amount of Rs. 38.78 crores has been provided by the Government to the above Districts and to Andhra Pradesh Residential Educational Institutions Society (APREIS) during 10th plan period. Under this Scheme, infrastructure facilities like construction of additional class rooms, drinking water, toilets, electricity, computers and teaching learning material were provided. 2) Modernisation of Madarasa Education: The scheme of Modernization of Madarasa education is implemented in the State with 100% central assistance with an objective to encourage traditional institutions like Madarasas and Makhtabs to introduce modern subjects of Science, Mathematics, Social Studies and English in their curriculum. Voluntary Organizations/ Societies/Trusts which are registered under Central/State /Government and Act of Wakf Boards and which are in existence for the past three years are eligible for assistance under the scheme. Rs.135.36 lakhs released during 2010-11 under the scheme. 3) Improvement of Urdu Education Appointment of Urdu Teachers: It is a central scheme implemented with the objective to provide financial support to the State Governments for appointing Urdu Teachers/Honorarium to existing teachers for teaching Urdu to the students with a view to promote Urdu. The Scheme is being implemented in 9 identified areas/ blocks. District Institute of Education and Training (DIET): 23 Teacher Training Institutes have been upgraded into District Institutes of Education and Training (DIET). In 13 DIETs, Urdu medium parallel sections are functioning with 50 intakes in each college and 65 lecturer posts have been sanctioned. The Tamil medium parallel section with intake of 50 is functioning at DIET, Chittoor at Karvetinagar and 206 private DIETs 139

are functioning with 50 intakes in each college.

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RAJIV VIDYA MISSION
8.2 Rajiv Vidya Mission, Andhra Pradesh is implementing three schemes viz. Sarva Shiksha Abhiyan (SSA), National Programme for Education of Girls at Elementary Level (NPEGEL) and Kasturba Gandhi Baalika Vidyalayas (KGBVs) in the State for Universalisation of Elementary Education. A. Sarva Shiksha Abhiyan (SSA): Sarva Shiksha Abhiyan has been introduced during 2001-02, with an aim to provide useful and relevant Elementary Education for all children in the 6 to 14 age group. SSA intends to bridge social, regional and gender gaps, with the active participation of the community in the management of schools. East Godavari, West Godavari, Krishna & Hyderabad districts were covered in the year 2001-02 and from 2002-03 onwards all the 23 districts in the state have been covered. Pattern of Funding is 60: 40 GOI and GOAP in 2009-10 and 65: 35 GOI and State for the year 2010-11 and it is fixed at this same proportion for the next five years. Objectives: All children in school, Education Guarantee Centre, Alternative School, Back-to-School camp. All children complete eight years of elementary schooling. Focus on elementary education of satisfactory quality with emphasis on education for life. Bridge all gender and social category gaps at elementary education level Universal retention. Interventions: Opening of Primary Schools Upgradation of Primary schools in to Upper Primary Schools Upgradation of EGS / ALS to Primary Schools

Regular Teachers to New Schools Primary and Upper Primary Schools Additional Teachers to existing Primary & Upper Primary Schools Civil Works Construction of School Buildings, Additional Classrooms, Mandal Resource Centers Buildings, Rooms for School Complexes, provision of Compound wall, Toilets, Electrification and drinking water facilities. Strengthening of Mandal Resource Centres and Teacher Centres Maintenance grant to Schools with own buildings Grants School Grants and Teacher Grants Teaching Learning Equipment to New Primary and Upper Primary Schools Training to Teachers Innovations Girls Education, Early Childhood Education, Education of SC and STs, Minority, Urban deprived Children and Computer Education for U. P Schools. Research, Evaluation, Supervision and Monitoring. Support to Children with Special Needs. Training of Community Leaders Interventions for Out of School Children Providing Special training to Out of School Children Uniforms to the children studying in Government schools upto VIII class. Special Residential Schools for urban deprived children. B. National Programme for Education of Girls at Elementary Level (NPEGEL) Government of India launched the programme called National Programme for Education of Girls at Elementary Level (NPEGEL) in 2003 as an amendment to the scheme of Sarva Siksha Abhiyan for providing additional components for the education of girls at elementary level. Objectives: a) To develop and promote facilities to provide access and to facilitate retention of girls and to ensure greater participation of women and girls in the field of education. b) To improve the quality of education through various interventions and to stress upon the relevance and quality of girls education for their empowerment. 140

Coverage: 661 Educationally Backward mandals in 23 districts where female literacy rate is less than 46.13 of national average and gender gap is more than 21.59 as per 2001 census selected for implementation of the programme. Notified urban slums are also eligible for NPEGEL programme implementation. NPEGEL programme is being implemented on Model Cluster School approach in a decentralized manner. Model Cluster School (MCS): Model Cluster School is a model girl-child friendly High school or UP school at cluster level identified in all the Educationally Backward Mandals. In all, 661 Educationally Backward Mandals, 5765 MCSs were identified. Each cluster is having about 5-10 habitations and on an average each block consists of 8-10 clusters. This girl-child friendly infrastructure is used by all the schools in that cluster on rotation. Major interventions of NPEGEL programme Non Recurring Grant: Girl friendly facilities worth Rs.30,000/were provided to every Model Cluster School for purchasing Library Books, Vocational Equipments and Games and Sports material. Recurring Grant: A maximum amount of Rs. 60,000/- per annum will be available to each cluster to implement additional interventions for promotion of girls education viz., Remedial and supportive material for slow learners, Bridge Camps, Honorarium to part time volunteers, Two Early Childhood Care and Education (ECCE) centres per cluster, Training to teachers on Gender sensitization, Awards to best schools, MCS maintenance grant and Community mobilization. C. Kasturba Gandhi Baalika Vidyalaya (KGBV) Government of India launched the scheme during 2004-05 called Kasturbha Gandhi Balika Vidyalayas (KGBV) with boarding facilities at elementary level for girls belonging predominantly to SC, ST,

BC and Minorities in Educationally Backward Blocks in the state. Objectives: To ensure access and quality education to the girls of disadvantaged groups of society by setting up Residential Schools with boarding facilities at Elementary level. To provide quality education for drop out girls in low female literacy mandals by mainstreaming from Residential Bridge Course Centers. Implementation: 743 KGBVs were sanctioned by GOI out of which 395 KGBVs are being run by different Residential Educational Institutions Societies such as Andhra Pradesh Residential Educational Institutions Society (APREIS), Andhra Pradesh Social Welfare Residential Educational Institutions Society (APSWREIS), Andhra Pradesh Tribal Welfare Residential Educational Institutions Society (APTWREIS) and Disabled Welfare Department and 348 KGBVs are being run by the concerned Project Officers. All the 743 Kasturba Gandhi Balika Vidyalayas which have been sanctioned were operationalized with an enrolment of 80927 girls. Contract Resource Teachers & other staff have been positioned. Achievements: I. Access to school: To provide access to school less habitations, 2,295 Education Guarantee Centers (EGS) were opened during the academic year 2011-12 covering 42,850 children as against the target of 2,688 Centres. Coverage of out of school children (OOSC): As against the target of 244964, out of school children, 156025 children were covered through various strategies. A massive enrolment drive (Education Fortnight) was taken-up in June 2011 during which 145433 out of school children were directly enrolled into regular schools. Further: 616 Residential Special Training Centres are operational covering 21353 children. 257 Non-Residential Special Training Centres are being run covering 5698 children. 1126 Madarsas are being supported covering 95233 children. Under District specific strategies, 193 worksite schools and seasonal hostels are

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being run covering 33741 Out of School children. II. Support to Madarsas 1126 Madarasas were supported covering 95,233 Children, 2,973 Vidya Volunteers were positioned to impart formal curriculum. All the Vidya Volunteers were provided with training in latest Pedagogy. Textbooks were provided to all the Children besides extension of Midday meal on par with the children studying in regular formal schools. Further, 582 computers are being provided to Madarasas to make teaching learning process joyful and interesting. III. Inclusive Education 69 assessment camps were organized in 2010 and identified 13919 children for supply of aids and appliances. This year the assessment camps have been planned to start from October by the medical experts to identify not only the requirement of Assistive devices but other needs also like surgeries, therapeutic need, academic needs, escort allowance. 92 Residential Special Training Centers (RSTCs) are planned in the state this year for Hearing and visually impaired children to cover 4600 Children with Special Needs (CwSN) and 138 Non Residential Special Training Centers (NRSTCs) for mild and moderate MR Children. So far 36 RSTCs for Children with Special Need (CwSN) have been opened with 906 children. During 2010-11, 17250 children have been covered under Home-based education program. It is decided to cover nearly 24900 children under this program. So far, 8771 have been identified and being attended by the Resource Teachers. During 2011-12(upto Sep 2011) 1332 Resource Teachers (Special Educators) have been placed on contract basis. Resource teachers in 288 mandals are yet to be positioned and the process of selection is in progress. 13919 CwSN were identified to provide assistive devices for this year. Orders

have been placed with M/s ALIMCo to supply the assistive devices and so far 4812 Hearing Aids were distributed to the children after schools are reopened. By December, 100% supplies will be completed. During 2011-12 (upto Sep 2011) 10998 children have been covered under physiotherapy. Nearly 6876 children have been identified for escort allowance @ Rs.150 per month. The frequency of physiotherapy camps has been increased from one to four times in a month. During 2011-12 (upto Sep 2011) 21337 schools have been provided with barrier free modifications. Budged has been released to provide barrier free access to 26,632 more schools. Budget has been released for construction of 957 CwSN- friendly toilets in the schools on priority basis. Two KGBVs have been identified in each district to accommodate CwSN (girls). IV. Civil works The Government of India has approved civil works for 2010-11 SSA Programme viz., Block Resource Centre buildings, Cluster Resource Centre buildings, Primary School buildings, Additional Class Rooms, Toilet/Urinals, Drinking Water Facility, barrier free elements and KGBVs etc. Out of 26,882 works sanctioned, 25,418 have been completed and 1,076 works are in progress. During 2011-12, as against 61,152 works sanctioned, 5,839 have been completed and 8,410 works are in progress and remaing works yet to start. V.Teacher Training and Quality Initiatives In-service training was provided to 2,48,873 teachers during 2011. Quality Initiatives 1. Vidya Volunteers: 45,752 Vidya Volunteers have been positioned in all primary and upper primary schools in the vacancies of Teachers to ensure proper Teacher Learning Process. 2.Learning Enhancement Programme (LEP): This programme has been a long term programme in nature and it has been under implementation in the State since 2009-10. Under this programme, Class-wise and subject142

wise competencies have been identified and supporting learning material has been developed on the lines of the competencies defined subject-wise and the same has been implemented in the State with a focus on subject specific essential learning outcomes and 100% utilization of learning time and engagement of children. Providing Childrens Literature (Bilingual), childrens magazine, conducting children talent search activities, providing Maths, Science, and language kits to the schools, SLIM Cards / Resource Cards and Health cards to the children of Primary and Upper Primary are the key activities under this programme. Under the LEP the following activates have been taken up during the current year: a) Snehabala Cards for Class III: Snehabala cards for children of Class III are developed and the same have been procured by the districts as per their requirement. The cards have been developed on the basis of the competencies identified and defined subject-wise to facilitate learning in a more directed way to ensure the acquisition of the competencies by the children. The newly developed textbooks for classes I & II are based on the LEP only. b) Mobile Science Van: To inculcate scientific temper and attitude among the learners and to make best use of the material procured by schools under various intervention, the activity is taken up under the LEP. About 50 mobile science vans have already been made functional and some others are under way. c) Reading Cell and Children Magazine: Material developed by Schools i.e. children and teachers was taken on a selective basis and edited and utilized for the development of Monthly magazines by the DIETs in the State and the same is being supplied to all schools and other institutions concerned.

d) Maths, Science and TLM Kits: Under LEP, a Maths kit has been developed by the members of the State Resource Group (Maths) for use in classroom by teachers up to class VIII with 85 items in all on the basis of the syllabus and the directions given in NCF 2005. 3. Infrastructure in school libraries including books: Guidelines were prepared and communicated to the districts on setting up infrastructure in schools during September 2011 in collaboration with the agency Room-toRead programme. Technical assistance was taken from the agency Room-to-Read in regard to the selection of infrastructure within the permitted budgetary limits in Primary and Upper Primary Schools 4. Distance Education Radio lessons are being broadcast every day from 11.15 am to 12 noon through All India Radio for the benefit of Children and Teachers in Primary and Upper Primary Schools. Capacity Building programmes were organized to Teachers and Field Functionaries through Teleconference in collaboration with Mana TV. 5. Computer Aided Learning (CAL) Programme and MIS : Computers were supplied to 920 Schools to implement CAL Programme to enhance the achievement levels among the Children. CDs were developed on 100 titles on the content related to School subjects and supplied to Schools for implementation of CAL Programme. About 2616 Teachers were provided with a 12-day training on usage of Computers in Classroom teaching. VI. Girls Education 1445 Vocational Volunteers have been trained in different trades like Lak Bangle Making, Paper Bag Making, Handicraft, Jute Bags, Soft Toys, Fashion Designing, and Hand Embroidery in 10 districts under NPEGEL. 874 ECE centres have been started and 17,483 between 3-5 year aged children are enrolled.

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Training of trainers for 300 teachers has been completed under Balika Chetana, the Girls Empowerment Programme.

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INTERMEDIATE EDUCATION
8.3 In 1964 a policy decision was taken to change the structure of the Secondary School system and introduce 10 years duration instead of 11 years, followed by two years Intermediate Education in place of Higher Secondary and Multipurpose system. The Plus two stage Education was introduced in Andhra Pradesh under 10+2+3 pattern from 1969-70. The Directorate of Higher Education has been bifurcated into two Directorates i.e., Director of Intermediate Education and Directorate of Collegiate Education with effect from 1-11-1989. Directorate of Intermediate Education was established during the year 1989 with the objective of administering of Intermediate colleges with particular reference to public funded institutions. There are 806 Government Junior Colleges and 12 Government Vocational Junior colleges under the administrative control of the Director of Intermediate Education. The functioning of 205 Private Aided Junior Colleges with regard to the Grant-in-aid, service conditions and academic matters are being looked after by Director of Intermediate Education. Four Regional Joint Directors of Intermediate Education offices at regional level and 18 District Vocational Education officers at district level started functioning during the year 1999-2000. The offices of Regional Joint Director of Intermediate Education are located at Rajahmundry, Guntur, Kadapa and Warangal. Conventional courses in Science, Arts and Commerce and Vocational Courses are offered at intermediate stage of education. 34 Vocational courses are also offered in 1355 Junior colleges in the field of Engineering & Technology, Agriculture,

Home Science, Para-medical, Business & Commerce and Humanities. District wise and category wise junior colleges functioning are given in Annexure 8.8. The status of Junior colleges functioning under various Managements is shown in Table 8.4.
Table 8.4 Category wise Junior Colleges Sl. No. 1. 2. 3. 4. 5. 6. 7. Category Government Junior Colleges Private Aided Junior Colleges Private Un-Aided Junior Colleges Exclusively Vocational Junior Colleges (Private) Exclusively Vocational Junior Colleges (Government) Incentive Junior Colleges Others (APRJC, GOI, Social Welfare, Tribal Welfare, Disabled welfare, Cooperative, Railways) TOTAL Number 806 275 2850 698 12 175 386 5202

Source: Director of Intermediate Education

In addition to 698 Exclusive Private Vocational Junior Colleges, 12 Exclusive Government Vocational Junior colleges and 753 Junior Colleges (both Government and private) are also offering Vocational courses. Enrollment of students The enrollment of students (as per fee paid to B.I.E.) both in conventional and Vocational Courses are given in Table 8.5.
Table 8.5 Enrollment in Junior Colleges Vocatio Academic Convention nal Total year al Courses Course s 2009-10 7,84,219 68,085 8,52,304 2010-11 8,18,100 73,078 8,91,178 2011-12 7,88,268 82,252 8,70,520 Source: Director of Intermediate Education

Results of Intermediate Public Examination March 2011: a. General Courses : Out of 8,97,953 candidates appeared for 2nd year I.P.E March 2010 for General Courses, 7,08,495 candidates are regular candidates and 1,89,458 144

are Private Candidates. Out of 7,08,495 regular candidates 4,48,281 have passed. Of these 1,90,274 have passed in A Grade, 1,52,364 in B Grade, 77,674 in C Grade and 27,969 have passed in D Grade. The overall pass percentage is 63.27%. Girls performance at 66.39% is better than that of boys at 61%. Out of 1,89,458 Private candidates, 52,723 candidates have passed (27.82%). b. Vocational Courses: 68,777 candidates appeared for 2nd year I.P.E March 2011 for Vocational Courses out of which 56,822 candidates are regular candidates and 11,955 are Private Candidates. Out of 56,822 regular candidates 32,613 have passed. Of these 10,194 have passed in A Grade, 19,898 in B Grade, 2,388 in C Grade and 133 have passed in D Grade. The overall pass percentage is 57.40%. Girls performance at 61% is better than that of boys at 55%. Out of 11,955 Private candidates, 3,445 candidates have passed (28.82%). Redeployment of surplus staff Many Aided Junior Lecturers who are working without sufficient workload in Private Aided Junior Colleges have been identified. The surplus Junior Lecturers in private Aided Junior Colleges are being redeployed to needy Government Junior Colleges to meet the requirement of classroom teaching and to reduce the burden on Government by way of Contract Faculty. Appointment of Contract Faculty About 8,901 Junior Lecturers have been engaged on contract basis in Government Junior Colleges during this academic year 2011-12. Contract faculty are being engaged from the date of reopening to the last working day of the college. Contract Faculty is being engaged in Government Junior Colleges duly following the rule of reservation at Zonal level, from the academic year 200910. Contract lecturers are engaged at the beginning of the academic year in the vacant posts in Government Junior Colleges and the remuneration was enhanced to Rs 18000/per month w.e.f. June, 2011 for both

Urban & Rural areas. The contract faculty engaged will not be renewed automatically in successive years unless they reach the district average or 20%below the district avarege in the relevant subjects. Recruitment of Junior Lecturers 530 vacancies of Junior Lecturers have been identified in Government Junior Colleges during 2007-08. Out of 530 vacancies, 510 vacancies have been filled through the Andhra Pradesh Public Service Commission during 2008-09 and 20 vacancies are unfilled. Further, 20 Un-filled vacancies and 1100 more new vacancies have been indented during 2008-09 and informed to A.P.P.S.C., and the same have been notified in November, 2008. Action is being initiated to fillup 4,415 General J.L. vacancies and 1,735 Vocational J.L. vacancies through A.P.P.S.C. Tele-Lessons (Mana TV) / e Class Room Through Mana TV, live Tele-lessons on important subjects were transmitted for the benefit of students in 540 Government Junior Colleges. The introduction of the Audio Visual instruction has improved the results of IPE. Tele-lessons were also broadcasted through Doordarshan Saptagiri channel. It is also proposed to transmit the lessons through Broad Band Connectivity to all Government Junior Colleges in the state in phased programme in addition to Doordarshan Saptagiri channel. Electronic class rooms were established in 593 Government Junior Colleges with the latest technology. The content C.Ds are provided by Board of Intermediate Education. Academic Guidance & Monitoring Cell (AGMC) Academic Guidance and Monitoring Cells have been created in Intermediate Education at State, Regional, District and College level from the academic year 2005-2006 for effective functioning and monitoring of the academic schedules in Junior Colleges. Training orientation programmes are designed in the academic and administrative matters for the Principals, Officers of the Department and also to the Junior Lecturers of General and Vocational Courses. Supply of Text Books by T.T.D.: The Tirumala Tirupathi Devasthanam, Tirupathi is providing funds for supplying text books to all 145

the girl students (who are below poverty line and not receiving any type of scholarships) studying in all Government Junior Colleges and Aided Junior Colleges in the State under the name of Sri Padmavathi Ammavari Pusthaka Prasadam. The Books which were printed by E.F.L.U. and Telugu Academy and Environmental Education from E.M.E.S.C.O., have been supplied to all the Government Junior Colleges and Private Aided Junior Colleges in the State through the DVEOs concerned. Rural infrastructure Development Fund (RIDF) Under Rural Infrastructure Development Fund, construction of buildings, toilets and drinking water facilities are being provided in Government Junior Colleges in the State. Under RIDF-XI, an amount of Rs. 43.40 Crores was provided for 388 projects, out of which Rs. 37.41 Crores expenditure was incurred upto 2010-11. 362 works were completed, 6 works are expected to be completed by March 2012 and the remaining 26 works are yet to be started. Under NABARD RIDFXIII, administrative sanction was accorded by the Government with an estimated cost of Rs. 58.85 Crores for additional accommodation in Govt.Junior Colleges. Out of this, an amount of Rs.27.34 Crores expenditure was incurred till 2011-12. Out of 272 works, 206 works are in progress. Under NABARD RIDF-XIV, Government have issued administrative sanction for construction of Attached Hostel Buildings in 19 Government Junior Colleges and the works are under progress. Rs.1.13 Crores expenditure incurred up to November 2011. Remote Interior Area Development (RIAD) The Government have accorded administrative sanction for construction of additional accommodation to 35 GJCs under RIAD program. Out of these, 35 works tenders were called for and

finalized for 10 works only. Out of 10 works 5 completed 4 works in progress. Vocationalisation of Education: In the National Policy of Education 1986, Vocationalisation of Education is given high priority. The main objectives of the scheme of Vocationalisation of Education are spelt out in National policy on Education 1986 and accorded priority for diversification of courses of study for enhancing the employability of students and reduction of the Gap between demand and the supply of skilled man power and for reduction of the pressure on universities for admissions. For effective implementation of the programme, Government of India has provided liberal financial assistance to the state during the 8th plan period. In 10th plan period the State Government have released the amount duly converting the plan schemes in to non-plan schemes. 290 New sections have been sanctioned in 10th plan under centrally sponsored scheme and the total cost of this scheme is Rs.16.00 Crores. The classes have commenced from the academic year 2007-08. Vocational Education is to be promoted as part of national policy on Education for acquiring of skills and selfemployment. Vocational pass outs are sponsored for one year Apprenticeship Training with Hospitals / Business firms / Industry. The selected candidates are entitled to a stipend of Rs. 1970/per month during this one-year training period, half of which will be reimbursed to the training agencies by Government of India through Board of Apprentice Training, Chennai during 2011-12. Job Mela, (Under Rajiv Udyoga Sri) and 8 Apprenticeship Melas are conducted and 5359 candidates are placed upto December, 2011.The intake capacity in vocational courses at +2 level is 80,000 and the enrolment during 201112 is 82,252 in 1st year. Short Term Vocational Courses : There are 58 short term Vocational Courses. The State Institute of Vocational Education wing in the Commissionerate of Intermediate Education is authorized to conduct examinations and issue certificates for the short term Vocational Courses to the students from the academic year 2006-07. Nearly 9,000 students are admitted in these 146

courses for 3 Modules during the year 2011-12 The State Institute of Vocational Education is conducting 3 months, 6 months, and 1-year duration certificate courses for the benefit of drop outs and others, like SSC failed / pass, Inter failed/passed through-out the state. It is aimed at improving the employable skills and employment i.e., both wage and selfemployment

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COLLEGIATE EDUCATION
8.4 Various programmes are being implemented for sustaining and promoting the quality of education with the objective to provide a purposeful education to all particularly to the students hailing from marginalized sections of the society. The Department of Collegiate Education monitors the administrative functions and academic quality in 251 Government Degree Colleges and 179 Aided Colleges existing in the state. The department also looks after the development needs of all Government. Colleges. Number of Degree Colleges and their strength is shown in the Table 8.6.
Table 8.6 Degree Colleges and Students, 2011-12 Type Government Colleges Aided Colleges Total Colleges 251 179 430 (Nos) Students 1,94,162 1,90,964 3,85,126

Promotion etc., in Government Colleges in the last few years on partial self financing basis. PG courses, on self financing basis are also sanctioned every year on the basis of demand and facilities available. These courses are accessable to the students belonging to the poor and marginalized sections. During the last three years, 76 Under Graduate Restructured courses were started in 78 degree colleges. Similarly, 60 Restructured Post Graduation courses were started in 59 colleges. Intensive Remedial Coaching (IRC): IRC was introduced for Degree final year dropouts to facilitate them to complete graduation and acquire eligibility for jobs in the market. They are provided intensive coaching in the subjects to be cleared through examination and also provided training in employability skills on JKC platform. The duration of IRC is three months. So far, 19,000 students have taken for intensive remedial coaching. Employabilty Enhancement: Jawahar Knowledge Centres (JKCs): Jawahar Knowledge Center, initiated by the State Government, has evolved into a dynamic and student friendly platform to accommodate the job aspirations of students in degree colleges. JKC has successfully risen to this challenge of training students in skills relevant to the needs of the job industry and is continuously helping them adapt to the competitive global business environment. 329 JKCs were established in Degree colleges and students are trained in Communication skills soft skills and analytical skills and computer skills. Students of commerce stream have the opportunity of undergoing training in financial accounting package. The students trained in JKCs are shown placement opportunities in noted and well placed companies. Students interested in banking sector are also trained through JKC BET (JKC Bank Exam Training) programme and the curriculum followed in this training programme is in tune with the requirements of Banking sector and bank examination pattern. Efforts are underway to strengthen JKC and increase the placement percentage during 2011-12. The achievements are shown in Table 8.7.

Source:Commissionerate of Collegiate Education

Important Programmes / Initiatives: I. Academic: Starting of New Courses: Keeping in view the recent developments in Higher Education, the Department started introducing need based, job oriented new courses like Biotechnology, Industrial Chemistry, Microbiology, Computer Science, Communicative English, Tourism, Advertising and Sales

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Table 8.7 Students Trained in JKC and Jobs Secured (Nos) Trained in Jobs Secured Year JKC 2006-07 619 354 2007-08 20,787 4,193 2008-09 27,161 2,088 2009-10 9,311 1,852 15,967 2010-11 2,293 STP 5,949 2011-12 21,443 534 Source: Commissionerate of Collegiate Education

Accounting Executive Course: Apart from the above programs under JKC, a short-term accounting executive course for Commerce students is introduced with an objective to provide employable and work oriented skills to students for securing employment. The duration of the course is 240 hours spread over a period of four months. Intensive training is given in Tally financial accounting package, Communication skills and Computer skills. A total of 5,986 students in 116 Government and Private Aided Colleges were trained. The trained students are placed through campus recruitment drives/ Job melas. Medical Transcription Course: Medical Transcription Course was introduced in JKC platform on pilot basis at Government City College, Hyderabad. The duration of the course is 3 months and 100 students were trained. 74 students were placed in various medical transcriptions companies immediately on completion of the course. Special Training Programme (STP): STP was undertaken to train students for job opportunities in Government., and Public sector units. Students are given rigorous training for 2 months to help them suceed in competitive examinations. 5949 students were trained so far. II. Infrastructure Development: Establishment of Womens Hostels: To encourage women education, hostel facility is being provided to women

students. University Grants Commission has sanctioned construction of hostel buildings in 52 Government Degree colleges at a cost of Rs.31.74 Crores during XI Plan (2007-12). Construction work is in progress. Development of Model Colleges: The Government of India, have identified the eleven (11) districts in the State viz., Srikakulam,Vizianagaram, East Godavari,West Godavari,Prakasam,Kurnool,Ananthapur, Adilabad,Mahabubnagar,Medak,Nizamabad which have a low Gross Enrolment Ratio in Higher Education, for establishment of one Model College per district duly extending the financial assistance to an extent of 1/3rd of capital cost, subject to a limit of Rs. 2.67 crores per college and the balance requirement of the capital cost (2/3rd ) along with recurring costs should be met by the State Government (i.e. Approx. Rs.5.34 crore per college). 7 Government Degree Colleges (1. Jaggampet of East Godavari District 2. Kamavarapukota of West Godavari District 3. Yerragondapalem of Prakasam District 4. Atmakur of Kurnool District 5. Kalwakurthy of Mahaboobnagar District 6. Narayankhed of Medak District 7. Yellareddy of Nizamabad District) started during 2008-09 & 2009-10 have been identified and selected to promote as Model Colleges and proposals were sent to Government. Identification of Government Degree Colleges in the remaining four Districts viz.,. Adilabad, Anantapur, Srikakulam and Vizianagarm as Model Colleges is under process. English Language Labs: English Language Labs were established in 75 Government Colleges with an expenditure of Rs.16.00 lakhs for each lab. The students are trained online using the most advanced and user friendly audiovisual mode of learning through computers. The software installed in these labs is highly beneficial to the student community and its three packages namely Academic lab, Aptitude lab and Career Lab to help the students speak fluently and improve their analytical and listening skills. III. Capacity Building Accreditation of Colleges by National Assessment and Accreditation Council (NAAC): Measures are taken to motivate the staff and the 148

students of the colleges to obtain the accreditation from National Assessment and Accreditation Council, which is a significant parameter for assessing the performance quality of the college. Out of 130 Govt. colleges accredited, 120 got grades at the level of B and above. Grades obtained by the colleges as on Sept, 2008 are shown in Table 8.8.
Table 8.8 Grades obtained by Govt. and Aided Colleges (Number) Grade Govt. Colleges 4 Aided Colleges 23 Total

A 27 B, B+ 116 66 182 and B++ C,C+ and 10 2 12 C++ 3 stars and 4 0 4 4 stars Total 130 95 225 Source- Commissionerate of Collegiate Education

As on30-11-2011, 33 Govt Degree Colleges have got Reaccreditation from NAAC, Bangalur. In which 7 colleges got A Grade and 15 colleges got B Grade and remaining 11 colleges to be accredited. State Level Quality Assurance Coordination Committee (SLQACC): State Government, at the request of NAAC Bangalur, has established a State Level Quality Assurance Cordination Committee. The Committee shall review the progress towards quality assurance in institutions of higher education in the state and through NAAC assessment and other appropriate measures. State Quality Assurance Cell (SQAC): Government of Andhra Pradesh established State Quality Assurance Cell, the functional unit of SLQACC in the Commissionerate of Collegiate Education with the following objectives. To plan and organize activities and programmes that help expediting the NAAC accreditation of institutions in the State.

To take up quality enhancing activities. To plan and organize post accreditation activities in the institutions. Keeping above objectives in view, SQAC organized number of workshops, conferences, meetings, seminars etc., for creating quality awarness at the O/o CCE and also at different colleges spread across the State. MANA TV: Department of Collegiate Education is facilitating the telecast of curriculum based degree lessons of 12 conventional and 4 restructured subjects through MANA TV, which supports and supplements the normal teaching by providing the latest information. It is a modern and innovative learning resource and the telecast is received by 165 Government. Colleges in the State benefiting large sections of the students belonging to rural areas. Innovative live programmes like Teleconferences, Telecounselling and Panel discussions were organized through MANA TV which generated huge enthusiasm among teachers and students and led to several such discussions in colleges. In addition to the above, Special live training programme for competitive examinations like BSRB, RRB, SSC are arranged. Certificate Courses in Communication skills and Revision for University examinations were arranged for students. District Resource Centres: District Resource Centers (DRC) were established in select Colleges of 23 Districts with an objective of optimum utilization of resources by pooling and sharing among all the Govt. Colleges in the district. This provides additional support to the students of Govt. Degree Colleges situated in semi urban, rural and remote areas. The DRCs have been conducting activities like extension lectures, seminars, academic competitions for students by sharing teacher expertise, labs, library, and other learning resources and sports infrastructural facilities. Over a period of time, the DRC has emerged as a platform for conduct of various activities. Recently, subject wise orientation training programs for lecturers and induction training programs for newly recruited lecturers have been conducted on DRC platform in association with APSCHE and Universities. Extension Programmes: The Commisisonerate of Collegiate Education is working towards promoting certain community 149

development programmes with the help of the colleges under its control. 150 Govt. Degree Colleges have started Consumer Clubs, Eco Clubs, Red Ribbon Clubs and Heritage Clubs to educate the students and society about consumer awareness, AIDS awareness, protecting the environment and ecological balance and preservation of Heritage and cultural monuments. State Teacher Awards: The State Government gives State Teacher Awards to the meritorious University and College teachers every year commemorating the birth centenary day of Dr. Sarvepalli Radhakrishnan, a great scholar, the former President of India. During 2011-12, 46 Awards to University Teachers and 34 awards to affiliated college teachers, (total 80 awards) were presented on 05-09-2011 Training Programmes: The department is conducting a English Language Fellow program focusing on Integrated Language Training with an aim to develop a talent pool of resource persons Content generators. These resource persons will be generating content such as work sheets and work book in student centered teaching methodology. The program is jointly sponsored by US State department and Commissionerate of Collegiate Education. Mr Joseph P. Dwaileebe, a senior English Language Fellow is conducting the training program. The newly promoted and directly recruited lecturers in Govt. Degree Colleges will be trained in the program. The department conducted 6-Day orientation program in association with APSCHE and Universities in five subjects viz., Physics, Chemistry, Economics, Commerce, English for Undergraduate teachers having less than six years of service working in Govt. Aided and Pvt. Unaided Colleges in the state. The subjects were chosen on the basis of the degree of difficulty and poor performance of the students in University examinations. The program was scheduled to be conducted at select

(District Resource Centers) DRCs covering all 23 districts. So far, in the first phase, the program was held at nine (9) DRCs. 864 Undergraduate teacher from Govt., aided and private un aided colleges participated in this training program. The department has conducted 3-Day Induction Training Program for newly promoted lectures from the cadre of Junior Lecturers at 15 select DRCs on various `aspects of higher education, Structure and initiatives of the department. 843 lecturers have been trained in this program. District Collegiate Education Development and Review Committee (DCEDRC): The Committee (DCEDRC) is constituted at the district level under the chairmanship of the district Collector to review and facilitate coordination among concerned departments and other organizations for effective implementation of academic, co-curricular and extra curricular activities in Government and aided degree colleges. The DCEDRC meetings for the academic year 2010-11 were successfully conducted, where in fruitful and useful outcomes emerged under the guidance of the District Collectors. IT initiatives: Some of the IT initiatives taken up are as under: Software Development for College Management Information System is in progress Application Development of Accredited Colleges Management Information system (networking of NAAC Accredited Colleges) under process Software Development for Results Analysis Information System Establishment of English Language Labs Adopted Office Automation Software (KMATOM) and process of training on KMATOM package has been completed to staff. Recruitment of Lecturers in Government Degree Colleges: AP Public Service Commission, issued notification for the recruitment of 1017 lecturers by direct recruitment and furnished a selected list of 679 candidates for the post of lecturers in

150

different subjects. Out of 679 postings issued to 504 candidates as lecturers in Government Degree Colleges. Residentional induction training program also conducted during December 2011 in seven Centers across the State.

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TECHNICAL EDUCATION
8.5 Technical Education department promotes Technical Education in the State with the aim to help in bringing out good engineers and technicians with profound knowledge, skill, positive work culture, improved efficiency and productivity. The ultimate goal is to ensure effective working of our industries and to shape our students to be competitive in global market. The department is responsible for the development of Technical Education both at Degree (Graduate Engineers) as well as Diploma level (Technicians). The Department implements the policies of the State Government and also coordinates with All India Council for Technical Education (AICTE) in processing the applications for the establishment of Engineering Colleges, M.B.A., M.C.A., B.Pharmacy and Polytechnic institutions and enhancement of sanctioned intake, introduction of new courses etc., in them. Governments proactive policy has been implemented by this department with increased intake in Technical Institutions particularly at Degree level. The department encourages qualitative Technical Education at degree and diploma levels through improved standards set by AICTE and National Board of Accreditation (NBA). Encourages up-gradation of equipment through a scheme of Modernization and Removal of Obsolescence (MODROBS) of AICTE. Established SONET (Society for Networking for Excellence in Technical Education) to provide interconnectivity among Engineering Colleges, to adopt innovative Teaching

practices, Digital library, Video conferencing etc. throughout the State, to benefit all Technical Institutions. SONET today is providing latest international technical journals to its member colleges benefiting lakhs of students. Conducts web based admissions for EAMCET, ECET. ICET and CEEP as per the ranks secured by the candidates at 50 and 37 Helpline centers in Andhra Pradesh, viz., Hyderabad, Visakhapatnam, Guntur, Tirupathi, Kadapa and Warangal. This enables the students to attend counselling at any one of the above places in the State as per their convenience and select college and course of their choice. Coordinates with Board of Apprenticeship Training (BOAT), Ministry of Secondary and Higher Education, Govt. of India and various organizations/industries to provide apprenticeship training to thousands of Engineering Graduates and Diploma holders including sandwich courses to improve their skills to fit into the best production centers in the country The department and the State Board of Technical Education and Training arrange transmission of recorded technical lessons and live interaction between students and lecturers through KU Band and teach students via electronic classroom simultaneously around the State. Provides facilities for Career Guidance and counselling for the students of Engineering Degree/Diploma institutions, to enable them to plan in advance for a future, after the completion of their respective courses. Encourages establishment of IndustryInstitution-Interaction Cell with the aid from AICTE. Thus industry can participate in the development of skills of the students and staff in different practical areas. The department and the Board, provide academic improvement at Diploma level for in-service candidates, through Correspondence cum Contact Courses (CCC). Encourages Internal Revenue Generation (IRG) throughout the State in the

151

Polytechnics, to update their skills and find out resources for institutional development. Professional Colleges: The details of professional colleges and intake of students in the state are shown in Table 8.9.
Table 8.9
Professional Colleges and intake of Students

Initiatives to improve Access: Polytechnic Colleges: There are 298 polytechnic institutions in the state with a total intake of 72,010 as follows The number and intake in Polytechnics colleges
during 2011-12 are shown in Table 8.10
Table 8.10 Growth of Intake in Polytechnics 2011-12 Type Number Intake for 2011-12
24355

Course Engineering MCA MBA B. Pharmacy Polytechnics D.Pharmacy

No. of Institutions 705 644 926 290 251 47

Intake
Govt.Polytechnics
115

3,04,200 46,795 86,905 29,520 69,450 2,560

Aided Polytechnic Private Unaided Polytechnics Engineering Colleges D.Pharmacy Grand Total

1135

64

29800

Source: Technical Education Department

68

14160

Grant in-aid Institutions is provided to the following institutions: a. Degree level: 1. Jawaharlal Nehru Technological University, Hyderabad, Ananthapur, Kakinada 2. JNTU- Fine Arts and Architecture. 3. Oil Technology Research Institute (OTRI), Ananthapur 4. Kakatiya University, School of Mines Kothagudem. 5. Jawaharlal Nehru Technological University New Engineering Colleges at Pulivendula, Karimnagar, Vizianagaram. 6. 21 st Century Gurukulams of AP state Council for Higher Education, Hyderabad. 7. Rajiv Gandhi University of Knowledge & Technology (RGUKT) for APIIITs. b. Diploma level: 1. Kamala Nehru Polytechnic for Woman, Hyderabad (80% aid) 2. Central Institute of Commerce, Secunderabad (50% aid) 3. Sri Padmavathi Womens Polytechnic, Tirupati (50% aid) 4. S.M.V.M. Polytechnic, Tanuku (65% aid) 5. Food Crafts Institute Visakhapatnam (100% aid).

47

2560

298

72010

Initiatives to quality improvement: To improve the Quality in Technical Education various measures are being taken. They include: A. To enable in easy understanding of the subject by student and improve Pass Percentage and 432-class rooms have been provided with one LCD projector and a computer. 30,000 elessons are prepared by Polytechnic teachers pertaining to all subjects taught in Polytechnics to ensure minimum standards in teaching of e.Lessons projects was taken up.. B. State Board of Technical Education Reforms: i. Syllabus revision to make Diploma courses on sandwich pattern It is decided to make all Diploma Courses as Sandwich courses to benefit the students to know the needs of the industry and will provide hands on experience in five semesters, all the students have to study theory subjects out of six Semesters. During the Vth or VIth semester of the course, every student has to undergo compulsory Practical training of six Months duration in any one of the industry. New English text Book prepared for improving communication and employability skills.

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ii. Action is taken on enhancing English & Employability skills: From 1st year to all the 3 years. Text based to practice oriented and Teacher centered to student centered systems. Focus is on to provide communication skills with added employability skills. English Communication Laboratories are established. iii. Biometric attendance: To examine the attendance pattern of the students to identify the barriers and to come out with required remedial measures biometric attendance system is introduced in 4 colleges as pilot. iv. Chronic teacher shortage colleges, Interactive video teaching is followed through Planning Department (APSDMS) Network (at Paderu since 01-11-2009). Eight more colleges added to this system. Electronic Boards are being used. C.Technical Education Quality Improvement Programme (TEQIPII)(CSS): Technical Education Quality Improvement ProgrammeII (TEQIP-II) is being launched to upscale and support ongoing efforts in improving quality of Technical Education consequent upon the closure of the phase-I. TEQIP-II is a Centrally Sponsored Scheme (CSS) with Government of India and States share in the ratio of 75:25. The State Project Facilitation Unit (SPFU) in the office of Commissioner of Technical Education will be setup for implementation of TEQIP-II and it will be funded under the project. The Government have accorded administrative sanction for an outlay of Rs.263 crores for TEQIP-II project for a period of 4 years starting from 2010-11 & granted permission for: i. The University Engineering Colleges / Government Institutions to receive TEQIP-II funds as total grants under subcomponents 1.1 & 1.2. & 1.2.1 as per PIP. ii. The private unaided engineering colleges to participate in TEQIP-II (a.) On 20% cost sharing basis i.e. 60% by Government of India 20% by State

Government & 20% by participating private engineering colleges under sub-component 1.1 as per PIP. (b.) Receiving TEQIP-II funds as total grants on par with University Engineering Colleges / Government Institutions under sub-component 1.2 and 1.2.1 as per PIP. The identification of institutions are completed. The project MOU is signed between the institutions and with State Government. The Project will start as soon as the GOI releases its Share to State Government. Schemes: 1. Pratibha Scholarships: For promoting quality and excellence in education Merit certificate and Scholarship to meritorious students are being awarded under Pratibha scholarship. Rs 17,500 for the courses EAMCET(Eng), ECET, ICET(MBA,MCA), Rs.20,000 for the courcesEAMCET(Medical) National level Institutions like IITs and IIMs etc.,and Rs.10,000 for Diploma courses(CEEP). 2. Remote and Interior Area Development (RIAD) Scheme: The department for the first time is implementing the scheme of RIAD in four Government Polytechnics located in Remote areas i.e., Bhadrachalam, Kothagudem, Srisailam and Paderu for the infrastructure Development since 2008-09.The budget allotted during the year 2011-12 is Rs. 1.00 crores for the infrastructure Development. Additional Hostel Block is sanctioned for GMR Polytechnic, Srisailam worth Rs. 2.27 Crores under RIDF-XIV and construction is in Progress. 3. Apprenticeship Training: Technical Education Department coordinates with Board of Apprenticeship Training (BOAT) an autonomous body under Government of India, through its Southern Regional Office at Chennai and various organizations/industries for providing apprenticeship training to graduates and diploma holders including sandwich courses to improve their skills to fit into the best production centres in the country. An amount of Rs. 0.05 crores has been provided in the Budget for 2011-12. The dearth of diploma holders for apprenticeship is due to the fact that they opt for higher

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education and the engineering graduates are in search of greener pastures, particularly in IT Sector. 5. The Rajiv Gandhi University of Knowledge Technologies (RGUKT): Government of Andhra Pradesh has established Rajiv Gandhi University of Knowledge Technologies (RGUKT) in the year 2008 through Act 18 of 2008 to cater to the educational needs of the rural youth. Three fully residential IIITs have been established under the RGUKT at Basar in Adilabad District, Nuzvid in Krishna District and R.K. Valley in Kadapa District. These institutes are meant to specialize in teaching and research in Information Technology and emerging areas of Engineering and Science. Around 2000 students are admitted in each IIIT in the academic year 2008-09. The Under Graduate programme at these IIITs leading to a B.Tech Degree is six years duration. Admissions are made after the SSC level (Class X) on the basis of marks obtained in the board examination. The first two years of education by and large correspond to intermediate syllabus and the subsequent four years are meant for engineering education. The pedagogy followed at RGUKT is based on learning to learn and life long learning philosophy. Education is imparted through the use of Information and Communication Technology. Each student is given a lap top. Buildings for new Government Polytechnics: Government sanctioned 52 new government polytechnics from 2008-11. Government allotted Rs. 39.00 Crores under RIDF XVI during 2011-12. NABARD Sanctioned a loan amount of Rs. 35.70 crores towards its share for construction of 21 new government polytechnic Buildings worth Rs. 42.00 Crores @ Rs. 2.00 Crores per Building. The execution of the constructionwork of the 21 new Government politechnic buildings is taken up by APHMIDC/APEWIDC with NABARD loan computed of Rs 42.00 crores. State

Government alloted Rs39.00 crores under RIDFXVI. During 2011-12 two buildings are constructed with PADA funds. 7 buildings work is in progress. Land is identified. The Land is identified for 9 Polytechnics Buildings and land is to be identified and allotted. 6. Rajiv Yuva Kiranalu And Skill Development Centers: The department of Technical Education endeavors to provide its students comprehensive, unbiased and effective training in job oriented skills in addition to academic qualifications. It is proposed to introduce Skill Development Centers (SDCs) in all 23 districts duly selecting atleast one Government Polytechnic/Aided Polytechnics in each district, to enable students maximize their potential and gain an edge in the competitive job market.Government accorded administrative sanction for Rs. 660.00 Lakhs for establishing 25 Skill Development Centers in 23 districts. The Department is identified under Sub-Mission (3) of Rajiv Yuvakiaranalu and fixed the target as 3400 during current year and overall Placement Target of 17000 till Dec2015 to provide placement of Polytechnic and Professional college students of the state. Important Decisions Taken To improve quality of Diploma education, in notified 486 Posts for Recruitment and interviews will be conducted by APPSC in Feb/March2012. Govt. also accorded permission to notify to APPSC Additional 139 Posts of Lecturers vacant Posts. Government sanctioned 563 Promotional Teaching and Non Teaching Posts recently Permitted for engaging 1818 contract lecturers for 52 new Government Polytechnics. Enhanced the remuneration of Contract lecturers from Rs. 10,000 to Rs 19,000 per month and Contract Workshop Staff from Rs. 4,100 to Rs. 7,700

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CRAFTSMEN TRAINING
Under Employment and training programme Craftsmen training is being imparted in 134 Government Industrial Training Institutes and 611 Private ITCs. During 2011-12, total intake capacity of Government ITIs is 31,555 and Private ITCs is 1,00,030 students
Year

Table 8.11 Performance in Certain Health Parameters

IMR MMR Crude Birth Rate Crude Death Rate
Expected Life at birth

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

66 62 59 59 57 56 54 52 49 46

195 (200103) 154 (200406) 134 (200709)

20.8 20.7 20.4 19.0 19.1 18.9 18.7 18.4 18.3 17.9

8.1 8.1 8.0 7.0 7.3 7.3 7.4 7.5 7.6 7.6

M-64.1 F-65.4*

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FAMILY WELFARE
8.6 Family Welfare Department is providing maternal health care, child health care and family welfare services to the people through 12,522 Sub-Centres, 1,624 Primary Health Centres, 281 Community Health Centres, 58 Area Hospitals, 17 District Hospitals, 11 Mother and Child Care hospitals and 14 Teaching hospitals. There are 116 Urban Family Welfare Centres, 12 Urban Health Posts in Hyderabad and 267 Urban Health Centres in Urban Areas Centres in Urban Areas of the State. With the thrust and concerted efforts put in implementation of several Medical and Health programmes, improved literacy standards, raised awareness levels among the families, continuous monitoring and care taken for the mother and child before and after deliveries; improvement in health parameters is realised over the years continuously. The estimated Birth rate, Death rate and Infant Mortality Rates for the year, 2010 in the state are 17.9, 7.6 and 46 respectively while it is 22.1, 7.2 and 47 for All India (as per Sample Registration System, Bulletin Dec.2011). Expected life at Birth, (2011-15) for Male and Female in the State are 66.9 and 70.9 respectively as against 67.3 and 69.6 for All India. Maternal Mortality Ratio (MMR) is defined as the proportion of maternal deaths per 1,00,000 live births reported, which is 134 in the state as against 212 in All India as per the Sample Registration System, 2007-09. Details of health parameters are shown in Table 8.11.

M-65.4 F- 69.4 $

M-66.9 F-70.9 @

IMR= No. of Infant deaths during the year per thousand Live Births. MMR= Maternal Mortallity Ratio is proportion of maternal daths during the year per 1,00,000 live births reported. Crude Birth Rate =No. of Live Births during the year per 1000 population. Crude Death Rate=No. of Deaths during the year per 1000 population. * Projections for 2001-2006 $ Projections for 2006-2010 @ Projections for 2011-2015

Source:SRS Bulletins, Registar General,India

A. Maternal Health Care Services: Maternal Health Care Services are being provided to the pregnant woman by implementing the following schemes/ interventions: A.1 Accredited Social Health Activitist (ASHA): ASHAs act as the health resource person of first resort to provide all Maternal & Child Health services to the community in rural areas. Started in 2005-06, a total of 70,700 ASHAs were selected and positioned in 23 districts. They were given training for 30 days and 55,400 of them are placed in rural areas, 5,300 in urban 10,000 tribal areas. ASHA day meetings are conducted on first tuesday of every month. They are sensitized on health issues and are facilitated to meet with personnel from convergent departments like Panchayat Raj, Women Development & Child Welfare, Indira Kranthi Patham, Self Help Groups and NGOs.

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A.2 Comprehensive Emergency Obstetric and Neonatal Care (CEMONC) services : 156 CEMONC Centres were established at select 4 to 9 First Referral Units in each district of the State to promote institutional deliveries, attend emergency pregnancy, delivery and child birth cases being reported from within a range of 35 to 40 kms. Obstetrician and anesthetist specialist services and emergency blood transfusion services are made available roundtheclock. A.3 Blood Bank and Blood Storage Centres: 19 Blood Banks and 81 Blood Storage Centres were established at various stages and functioning since 2005-06. Indian Red Cross Society has been appointed by the Government of Andhra Pradesh (GOAP) as State level nodal agency for providing of blood transfusion services. A.4. 24-hours MCH Centre: 800 PHCs are notified as 24 hour round the clock Mother and Child Health Care centers in 1997-98 to promote institutional deliveries as 50% of the maternal deaths occur during or immediately after child birth and also to reduce infant and neonatal mortalities. During 2010-11, 80,241 deliveries and 37,033 deliveries conducted during 2011-12 (upto September, 2011). A.5 Janani Suraksha Yojana (JSY): Under the scheme a cash incentive of Rs.700/- is being given to pregnant woman to promote deliveries in public institutions in rural areas. It was launched by Government of India (GOI) in April, 2005. GOAP started implementation from 1st November, 2005. GOAP has also introduced Sukhibhava scheme to provide Rs.300/- to the rural pregnant woman coming under below poverty line (BPL) and who deliver in government institutions along with Rs.700/- under JSY. The scheme was extended to provide Rs. 600/to urban pregnant woman coming under BPL and who deliver in government institutions. Rs. 25.50 crore in 2010-11 and Rs. 20.80 crore in 2011-12 were made available to districts to make payments to

the eligible beneficiaries. The number of JSY beneficiaries were 2,54,890 during 201011 and 55,449 during 2011-12 (upto September, 2011). A.6 Village Health and Nutrition Day (VHND) Centres VHNDs are regularly conducted in 20,144 villages in the state to increase community awareness on age at marriage, registration of all pregnant women at 12 weeks, 3 times check up by MPHA (F), one time by Medical Officer, birth planning at 7th month of pregnancy, promotion of institutional deliveries, post-natal care services to be delivered women and new born child, breast feeding practices, immunization services, promotion of spacing methods, sterilizations, vasectomies and treatment of minor ailments. A.7 Janani Sishu Suraksha Karyakram (JSSK) The GOI scheme was aimed at providing free cashless deliveries and care to sick new born till 30 days after birth at all public health institutions. GOAP started its implementation in October 2011 in the State. The free cashless deliveries include delivery services, caesarian sections, diagnostic services during antenatal period, free drugs and consumables during antenatal, and post natal period, free diet for 3 days at PHCs, for 5 days in government health institutions in ITDA areas and for 7 days for caesarian sections. The free services also include blood transfusion and transport. The free cashless care to sick new born include treatment, drugs and consumables, diagnostics, blood transfusion and transport. A.8 Maternal Death Review (MDR) MDRs are proposed at facility and community levels. In the first instance MDR is proposed at District Hospital and Medical Colleges and subsequently at block level and accredited private sector facilities should also be brought within the scope of these reviews. MDRs are to be shared with the Chief Medical Officer for further action. For the community based MDR, line listing of maternal deaths should be done through the ANMs/ ASHAs/ other community resources and the audit of such deaths should be done at the block/district level. MDR tools being finalized by GOI are expected to be used during the audit. MDR is initially proposed at 2-3 districts as a pilot and the economic benefits will 156

be analyzed before scaling up. A District Level Quality Assurance Committee to review the maternal and infant deaths has been formed in each district with the District Collector as the Chairperson. The District Committee sends a detailed report every month to Commissioner of Health and Family Welfare and the Government about the corrective measures taken to minimize the Maternal and Infant Deaths. A.9. Other Initiatives Mother and Child Health Cards are developed for every registered pregnant women & children at all government and private health facilities. In first spell 10.00 lakhs MCH-R cards distributed and in second spell 14.50 lakhs MCH-R cards distributed to cover 15.00 lakhs pregnant women and 9.50 lakhs children. Web portal for tracking mothers and children developed and more than 1.5 lakh mothers and 2000 children are registered till the end of September 2011. B. Child Health Care Services: Child Health Care Services are being mainly provided through implementation of Universal Immunization Program aimed infants and children at immunizing against childhood diseases and Jawahar Bala Aarogya Raksha (JBAR) program targeting to improve the health of school going children studying classes one to 10th standard in government and government aided schools. B.1 Child Immunization All infants under one year are vaccinated against VPDs such as whooping cough, diphtheria, tetanus, polio, TB, measles, and hepatitis-B under immunization schedule through B.C.G, D.P.T, O.P.V., measles and hepatitis-B vaccines. They will be administered DPT, OPV and measles as booster doses when they attain the age of 16 to 24 months. Subsequently they are subjected to DPT at 5 years TT at 10 and 16 years as booster doses.To implement the program an Immunization Officer (DIO) is posted in each district and he is supported by para medical staff and provided with cold chain to store vaccines. Special attention is being given to SC/ ST,

weaker section, outreach, tribal and slum areas by organizing periodic campaigns and publicizing through IEC activities to bring awareness on immunization, Acute Flaccid Paralysis and measles surveillance. Apart from these, routine immunization including vitamin-A and intensified pulse polio immunization are undertaken twice a year. B.2. Jawahar Bala Aarogya Raksha: A revitalized school health program as Jawahar Bala Arogya Raksha (JBAR) was launched by GOAP on 14th November 2010. The program is aimed at prevention of illness as well as promotion of health and well being of the school children, through early detection and care, development of healthy attitude and behavior, ensuring healthy environment at school, prevention of communicable diseases and increased learning capabilities. The children will be screened for health problems under the program and are provided booster immunisation, vitamin-A supplementation, biannual deworming and referral services to higher medical institutions for better treatment. Under the scheme, 59.58 lakh students (78%) in 66,230 schools (87%) were screened and 75,687 students were referred to the higher health centres benefited from the program. C. Family Welfare Services: Family welfare services are provided by implementing the following schemes and interventions. These are guided by the States Population Policy formulated in 1997 with an objective to improve the quality of services under family welfare programme. World Population Day is celebrated on 11th July of every year, an incentive of Rs.10,000/- is paid to 69 sterilization acceptors @ 3 per district selected on lucky dip basis and 3 awards at state level to couples accepted sterilization with 1 child, with 2 girl children and vasectomy with 2 children. C.1. Sterilization Methods This scheme was started in 1952 with an objective to control the population growth. Sterilization services are provided to eligible couples who want to adopt permanent or spacing methods to attain small family norm on voluntary basis. While vasectomies and tubectomies are performed to males and females under permanent methods, oral pills and nirodh condoms are distributed under spacing methods to the eligible 157

couples. IUD is another important spacing method administered to willing females who want to postpone pregnancy for longer duration. Government is providing family planning incentives as compensation towards wage loss to BPL, SC and ST. Rs.300/- is given to female sterilizations, Rs.1100/to male sterilization and Rs.350/- for all people. C.2 Medical Termination of Pregnancy Services (MTP): The objective of the scheme is to provide the MTP services to the eligible couples for termination of unwanted pregnancy. The services are being provided at all the Government hospitals in the state. During 2010-11, 5,129 patients and 2011-12 (up toSeptember 2011) 2,852 patients were benefited under this scheme. C.3 Family Planning Insurance Scheme: This scheme was started in 2005 with an objective to provide insurance to sterilization acceptors through authorized insurance agency. Under the scheme, Rs.2.00 lakhs is given death of an acceptor due to sterilization operation within 7 days from the date of discharge from the hospital, Rs.50,000 for such occurrence between 8 to 30 days, Rs.30,000 for sterilization failure and a maximum of Rs.25,000 as expenses for treatment of medical complication due to sterilization operation. During 2010, 97 people are sterilised and 2011 ( Jan to Sep) 54 people were benefited under the scheme. D. Urban Slum Health Services: This scheme was started in the year 2000 with an objective to provide preventive, promotive and curative services to the people living in urban slum areas. 192 Urban Health centres are functioning in the state through NGOs with state government funds. Each urban health centre covers 15,000 to 20,000 population in slum area. 80 UHCs were established in a phased manner from 2005 under NRHM. During 2010-11, 14.75 lakh out-patients, 3.46 lakh Ante-Natal given TT and 1.47 lakhs children were fully immunized

under the scheme. During 2011-12(up to Sep 2011), 8.44 lakh outpatients, 3.92 lakh Ante-Natal given TT and 0.73 lakhs children were fully immunized D. Tribal Health Services: GOAP as a part of improving delivery of effective, accessible and quality health services to the tribal citizens living in the agency areas initiated number of initiatives and interventions. Adolescent friendly health clinics are established at the AHs, CHCs and PHCs in tribal districts. Specialist camps are conducted twice a month in 30 CHCs at all tribal areas. Srisailam project hospital was proposed to be and developed as a multi specialty hospital. D.1. Staff recruitment and posting in ITDA areas: The critical staff required for delivery of health services are being ensured by maintaining low staff vacancy ratios. While there is full contingent of 487 Medical Officers, 332 Staff Nurses, 280 Lab Technicians and 280 Pharmacists, 349 out of 1084 MPHA(M) could not be filled up due to pending SLP before Honble Supreme Court of India. D.2. Birth Waiting Homes Government sanctioned and constructed 37 birth waiting homes in tribal areas of 11 to increase institutional deliveries and to reduce MMR and IMR. A policy was evolved to provide complete nutrition and provide wage loss compensation to the pregnant women who use birth waiting home and their attendants. E. Preconception and Prenatal Diagnostic Techniques (PC&PNDT): The PC&PNDT (Prohibition of Sex Selection) Act 1994 and Rules 1996 are implemented in Andhra Pradesh to prevent the female feticide and to improve the female sex ratio. F. Community Involvement: Community was engaged to improve the health services in the periphery through the following schemes and interventions. F.1. Untied Funds Every sub-centre was provided with Rs.10,000/every year which is deposited in a joint account operated by the Village Sarpanch and the ANM. The funds are intended for maintenance of sanitation and public health at village level and to improve the facilities at the sub-centre.

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treat infant, child and chronic ailments. Each Similarly each PHC was provided with mobile health vehicle is equipped with medical Rs.25,000 as annual maintenance grant and basic laboratory equipment to perform basic and Rs. 50,000 for Hospital Development lab tests, a cold chain unit to store vaccines and Societies (HDS) and each CHC Rs. 50,000 blood samples.During 2010-11, 18.37 lakh and Rs. One lakh every year as united patients were benifited under this service. funds for maintenance of PHCs/CHCs. The funds are intended for minor repairs, G.3.Health Information Helpline (104 facility sanitation, bio-medical waste Service): People get information on various health and disposal and referral transportation in health referral services at government hospitals exceptional situations. through 104 toll free telephone number. They F.2. Village Health and Sanitation can also lodge complaints on functioning of Committee (VHSC) health institutions which will be referred to 21916 VHSCs are formed with panchayat concerned head of the departments for redressing sarpanches as chairpersons, ward and further action. Information on epidemic out members, AWWs, ANMs, and WHVs as breaks can also be passed on to through 104. members and MPHAs (M) & (F) as During 2010-11, 1.88 Crores of calls were made member conveners. An amount of under the service. Rs.10,000/- is being given to each VHSC The expected level of achievements of Family every year, towards ensuring optimal use Welfare Programme and Immunization are of health service in the village, furnished in Annexure 8.9. maintaining quality health services and to prevent occurrence of epidemics in the villages. Rajiv Aarogyasri G. Special Initiatives: Health Insurance Scheme GOAP is implementing emergency transportation to aid the patients in case of 8.7 Rajiv Aarogyasri Health Scheme is being health urgency, fixed day health services implemented through Aarogyasri Health Care to converge services in each rural Trust in the state to assist 200 lakh poor families habitation for identification, diagnosis, from catastrophic health expenditure. The treatment, record keeping and referral of scheme is implemented in two streams: high risk cases and health information help Insurance scheme: Under this scheme, 8.75 line to provide health advice and health lakh surgeries costing Rs.2554.99 Cr. were counseling to the public. done up to September,2011 . Aarogyasri Trust Scheme: Under this scheme G.1. Emergency Health Transportation directly run by Trust, 3.38 lakh surgeries Scheme: costing Rs.817.41 Cr. were done up to 752 ambulances with trained technical September,2011 . staff all 24 hours and 365 days through Both the schemes provide end-to-end cashless 108 - toll-free telephone number were services for identified diseases through a network made operational to cover entire state of of hospitals from Government and private sector. Andhra Pradesh. Under the scheme during Under the scheme each BPL family is provided 2010, 11.33 lakh patients were transported health coverage to the extent of Rs.2.00 lakhs. and 5.06 lakh patients were transported The scheme introduced on 01.04.2007 on pilot during January to September 2011. basis was subsequently extended to the entire G.2. Fixed Day Health Services(FDHS) state in phased manner to cover total eligible 475 mobile health vehicles placed in all population across 23 districts of the state. districts except Hyderabad, provide onceThe insurance scheme started with coverage to a-month fixed day service at the rural 163 identified diseases in 6 systems. The Trust habitations located 3 km beyond a PHC or scheme started with 670 procedures in 31 CHC according to predetermined calendar systems. To optimize the benefit of the surgery / to conduct provide pregnancy monitoring,

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therapy taken under the treatment both the schemes are providing packages for one year cashless follow-up services (consultation, testing and treatment) to the beneficiary in 125 identified procedures. The schemes are implemented online through an efficient IT portal. All Primary Health Centres (PHCs), which are the first point of contact, are provided with Aarogyamithra (Health Worker) to help illiterate patients. Trust provides facilitation services such as Aarogyamithra services, Health camp referral, round the clock call centre facility etc., well organized empanelment and disciplinary system of hospitals, auditing through patient feedback, elaborate field level verification, in-house vigilance etc., to ensure quality treatment. Performance of the scheme Since inception of the scheme (01.04.2007) till 30th September 201129,021 Medical camps were held by the network hospitals in rural areas and 48.89 lakh patients were screened in these health camps. So far, 31.75 lakh patients were treated as out- patients and 13.48 lakh patients treated as in-patients in 346 network hospitals under the scheme. Innovations This is an innovative non-conventional health insurance scheme in PPP mode and has the following features which make it a unique scheme to itself: 1. First of its kind in PPP mode The PPP model adopted wherein the professional risk management of Insurance Company is supplemented with the administrative capabilities and the services of both private and corporate hospitals are amalgamated into a unique PPP model first of its kind in health insurance and in the country. 2. The scheme is based on process of financial inclusions rather than exclusion (which is a cardinal feature of conventional insurance) as all the pre-existing diseases in the identified procedures are covered from day one.

3.

4.

5.

6.

7.

8.

9.

Universal coverage of all BPL families in the state irrespective of age, sex, social status and family size. No enrollment process The sole criteria to be covered under the scheme is to hold BPL ration card with photo and name. There is no separate enrollment. All the BPL families come under coverage from the date of insurance based on data without any separate enrollment process as the entire premium is borne by the Government. End-to-end cashless services through fixed packages The packages designed by experts group covers the entire treatment process of the beneficiaries starting right from the reporting to the hospital till his discharge and 10 days medication after discharge making the services truly cashless to the beneficiary. Aarogyamithra (Health Facilitator) services are provided at each point of contact of the patients viz., PHC, CHC, Area Hospital, District Hospital and network hospital to register, refer, counsel and facilitate the services in these hospitals and provided with CUG for better communication. IT based online processing starting from registration of patient from health camp, referral, registration at the network hospital, pre-authorization, patient clinical details including diagnostic tests, claim monitoring, processing and payment. Project office concept and day to day reporting and monitoring of the scheme The concept of exclusive project office with a responsible officer who can take independent administrative and financial decisions with sufficient staff and infrastructure nearer to the Trust office is helping in greater accountability, quick decision making and day to day monitoring of the scheme. 24x7 Call center with Toll free Number The concept of toll free call centre round the clock is helping the beneficiaries and other stake holders to obtain information on the scheme, to regulate patient referrals to the hospitals to avoid delay in hospital services, prompt attention to the grievances and patient complaints, guiding and counseling

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10.

11.

12.

13.

14.

15.

16.

17.

of the patients and facilitate coordination between various stake holders. Coordinators in hospitals (RAMCO) for accountability and single point facilitation of Hospital Services The innovative concept of identifying a responsible officer (Doctor) in the network hospital is providing single point solutions to the patient services, accountability and better coordination between the Insurance/Trust. Camp(AAMCO) Coordinators for conducting the health camps as per Health Camp Policy-Since the Health Camps are one of the key features of the Scheme, insistence of a Camp Coordinator at Network Hospital yielded desired results and improved the quality of health camps. Elaborate empanelment procedure through Empanelment and Disciplinary Committee (EDC) to ensure standard and quality of Hospitals as per scheme guidelines and requirements. Clear and well defined guidelines and procedures to ensure clarity and transparency for proper selection of the cases and facilitation of timely pre-authorization. Work Shops, Awareness Campaigns and regular Training Sessions for stake holders to create awareness not only of the scheme but also the constant changes that are made to the scheme from time to time. Social Auditing through postage paid feedback from beneficiary in a kind of its own the scheme envisages. Dedicated Medical Audit department for continuous monitoring of quality of hospital services. Government hospitals treating Aarogyasri patients are entitled to receive same payment as the private and corporate hospitals. 65 % of the revenue goes to hospital development society and remaining 35% to the team of treating doctors and para medics as incentive. Government

decided to retain 20% of earnings by the Government Hospitals to create revolving fund to regularly assist these hospitals to improve their infrastructure. This system is motivating more and more government hospitals to participate in the scheme and utilize the revenue earned to improve facilities to provide quality medical care and thus bring reforms in tertiary medical care. 97 Govt. hospitals, 25 Tertiary care and speciality hospitals under the control of Director of Medical Education and 69 APVVP Hospitals (District Hospitals, Area Hospitals and CHCs) are empanelled under the scheme and 2,58,282 patients were treated in these hospitals at pre-authorized amount of Rs. 662.71 crores from 01.04.2007 to 30.09.2011. During the F.Y. 2010-11 i.e., from 01.04.2010 to 31.03.2011, 95,510 patients were treated in these hospitals at pre-auhtorised amount of Rs. 235.89 Crores Recent Initiatives: 1.Stabilization of the scheme: Trust initiated following steps to stabilize the scheme during the last four years of implementation. Strengthen the pre-authorisation process by updating guidelines from time to time. Strengthening of empanelment process. Disciplinary actions against service deficiency and fraud. Field level verifications, in-house vigilance and grievance redressal. Orientation and training to the different stakeholders. 2.Changes in implementation: Trust held discussions with various specialist groups, insurance companies and other service providers during renewal of the scheme in PhaseIV and Phase-V districts for the policy period 17.07.2011 to 17.07.2012. Trust took the following steps for long term sustainability and financial viability of the scheme after the deliberations. Identified 192 tertiary care procedures to be implemented through insurance scheme. 746 procedures implemented through Trust scheme. Field staff appointed by the Trust.

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Strengthened other supporting departments through an identified service agency. 3.Strengthening Government Hospitals: In order to strengthen and enhance the participation of government hospitals, Trust and government took the following steps. Trust reserved 133 identified procedures for Government Hospitals from August 1st, 2011 in 10 districts of Adilabad, Hyderabad, Kurnool, Vizianagaram, Visakhapatnam, Nizamabad, Khammam, Warangal, Guntur and Krishna to improve the performance of Aarogyasri scheme for better utilization in all Govt. Institutions both under the control of DME and Commissioner, APVVP. Improved the infrastructure utilising Aarogyasri funds through revolving fund. The services of specialists made available in District Hospitals. Targeted approach based on the available infrastructure in Government Network Hospitals. 4. Call centre integration: In order to provide comprehensive information to the people on health aspects, initiatives and health education, Government initiated steps to integrate the Aarogyasri Health Scheme and 104 Call Centre services. Aarogyasri Trust was entrusted with the task and the integrated call centre providing information on Aarogyasri scheme and health information through 104 call centre from 1st Oct, 2011. However, the Aarogyasri toll free number 1800-425-7788 will continue to operate and provide information as part of the services under the existing insurance scheme.

present there are 233 hospitals under the control of APVVP in the State. Details of the hospitals are shown in Table 8.12.
Table 8.12 Hospitals and Beds Type of Hospitals Hospitals (No.) District Hospitals Area hospitals Community Health Centers Speciality Hospitals Dispensaries 17 60 120 10 26 Beds (No.) 4550 6000 4740 824 16114

Total 233 Source:- AP Vaidya Vidhana Parishad

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ANDHRA PRADESH VAIDYA VIDHANA PARISHAD
8.8 Andhra Pradesh Vaidya Vidhana Parishad (APVVP) has been st established on November 1 1986 to manage secondary level hospitals. At

Hospital Activities: APVVP hospitals provide the outpatient services, inpatient services (including emergency & surgical), diagnostic services and laboratory services. Along with the Primary Health Centers and Teaching hospitals (Tertiary Hospitals) these hospitals act as a platform for implementation of various national health programs like Malaria, Tuberculosis, Family welfare, AIDS, etc. The District Hospitals (DH) provide service with a bed strength that ranges from 200-350 and ten clinical specialities like Obstetrics & Gynecology, Pediatrics, General Medicine, General Surgery, Orthopedics, Ophthalmology, ENT, Dental & others. The Area Hospitals (AH) provides service with 100 beds and four clinical specialties like Obstetrics & Gynecology, Pediatrics, General Medicine and General Surgery. The Community Health Centers (CHC) with 3050 beds and one clinical specialty. These hospitals are provided with professional Staff (Doctors, Nurses, and paramedics) and medical equipment depending upon their service levels and bed strength. The drugs are provided to all the hospitals by the central drug stores under APHMHIDC as per the requirements specified by APVVP. Human Resources:There are 2534 Medical, 4733 Nursing and 3893 Paramedical, 2743 Support and Administration cadres working for the health cause of the people. APVVP has recruited 580 Civil Assistant Surgeons in the month of Nov2010 and 383 Civil Asst. Surgeons in the month of June, 2011 and 18 Civil Asst Surgeons in month of October 162

2011. 910 Staff Nurses were also recruited during the year 2011.The Vacancies are being filled up to provide better medical care to needy patients. Sanitation and cleaning services are contracted out to third party agencies and other non-clinical services like security are provided mostly through third party or on contract basis. Hospital Performance The comparative performance of hospital activities under nine key indicators are shown in Table.8.13.
Table 8.13 Performance Indicators of Hospital Activities (Nos in lakhs) 2011-12 Indicator 2009-10 2010-11 (up to Aug-11) Out patients Inpatients Major Surgeries Sterilizations Deliveries Ultra Sono Graphy X- Rays E.C.G 269.25 23.41 1.06 1.18 1.92 1.50 4.44 1.13 276.81 26.06 1.02 1.09 1.74 1.66 5.03 1.29 111.36 10.29 0.45 0.44 0.76 0.72 2.10 0.51 35.76

Government have taken up establishment of trauma care centres in 8 APVVP Hospitals located on two National Highways( 5&7) to provide immediate emergency Medical care to accident victims which are in progress.

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HEALTH
National Iodine Deficiency Disorders Control Program 8.9 National Iodine Deficiency Disorders Control programme is implemented as 100% sponsored scheme of Government of India since 1962. Iodine is a micro nutrient required at 100 150 gms for normal body growth and mental development. Iodine Deficiency is the single most common cause of preventable mental retardation and brain damage. Iodine Deficiency in Pregnant women may cause miscarriages, still birth and birth defects. Children with Iodine Deficiency grow up stunted, less active and may retarded with impaired movement or hearing.
Objectives To promote awareness on Goiter and Iodine Deficiency Disorders and their prevention among people living in endemic areas. To educate the masses to use Iodized salt. To educate surveys to assess the magnitude of Iodine Deficiency Disorders. Prevention: Daily consumption of Iodized salt prevents the spectrum of disorders that causes due to Iodine Deficiency. The daily requirement of Iodine for adults is 150gms, Pregnant woman is 200 gms, 1-5 years children 90 gms 6-12 years children 120 gms Iodization of salt is of low cost. Action Plan 2011-12 The State IDD Monitoring cell and Laboratory was established in Directorate of Public Health and Family Welfare A.P., Hyderabad to assess the estimation of Iodine in salt and Urine.

Lab Tests (Lakh Nos.) 76.73 82.92 Source:- AP Vaidya Vidhana Parishad

Performance of National Rural Health Mission(NRHM): Under NRHM APVVP has received an amount of Rs.6.00 Crores towards strengthening of District level and subdistrict level hospitals. Certain works are taken up as follows. Equipping the CEMONC Centres. Establishment of NICUs. Provision of Ultra Sound Scanners. Provision and Equipping of Ambulances. During 2010-11, there are 233 APVVP hospitals and 98 CEMONC centres under NRHM. performing 86010 Normal Deliveries, 16736 Assisted Deliveries, 33733 Caesarian Deliveries and 79634 Sterilisations done in these institutions under NRHM during the period. Trauma care centres:

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The State IDD cell team has conducted survey in Nizamabad, Nalgonda, Warangal and Khammam districts. Conducting surveys in the District and assess the magnitude of IDD. Conducting awareness campaign in the District to create awareness about IDD and using of Iodized salt. Coordinating with the civil supplies department to ensure apply of Iodized salt through PDS. Achievements 5,69,323 Samples were tested from the month of April 2011 to December 2011 70405 samples were found to be with Nil Iodine. 177360 samples were found to be with 15 PPM of less Iodine 321558 samples were found to be 15 PPM or more. Tobacco related Diseases and Control Usage of Tobacco and Tobacco products causes a wide range of major diseases i.e., several types of Cancer, Heart diseases and Lung diseases. It requires considerable public support for prevention and control of Tobacco use. Government of Andhra Pradesh has issued notifications on Prohibition of smoking and Health protection Act with the following objectives. Objectives: To measure the impact of tobacco control efforts through implementation of different provisions of COTPA 2003 and its regulations. Systematically monitor adult tobacco (smoke & smokeless) use and track tobacco control indicators. To obtain estimates of prevalence of tobacco use. Exposure to second hand smoke. Cessation services. Economics of tobacco. Exposure to media message on tobacco use. Knowledge attitudes and preparations towards tobacco use.

Action Plan: Immediate inter-sectoral coordination is a need in Tobacco control program, (Various Ministries and departments). Enforcement of COTPA 2003 smoke free public places and Tobacco free School policies. Development of IEC Material Bringing the tobacco control issue at Policy level Governor, Chief Minister, Health Minister, Speaker, Chief Secretary, other Political Leaders Establishment of both State Tobacco Control Cell, Hyderabad and District tobacco Control Cells at Hyderabad, Guntur Training sessions for NGOs, Doctors, ANMs and School Teachers Regular Enforcement visits by Both STCC and DTCC Installation of Stall in various Health & other exhibitions Total 600 prisoners have participated in Advocacy workshop on Tobacco cessation Cherlapalli Central Jail, Hyderabad Inauguration of Tobacco free Initiatives in the state. 7701 cases booked and Rs. 10.97 lakhs Penalty collected upto December 2011, 131 Schools and 25765 school children were covered under School Advocacy Programme National Programme for Prevention and Control of Diabetic, Cancer, Cardiovascular Diseases and Stroke (NPCDCS) States have already initiated some of the activities for prevention and control of non communicable diseases (NCDs) especially cancer, diabetes, Cardio Vascular Disese (CVD) and stroke. Central Government. proposes to supplement their efforts by providing technical and financial support through National Program for prevention and Control of Cancer, Diabetes, CVD and Stroke(NPCDCS). The program has two components viz. (i) Cancer and (ii) Diabetes, CVDs& Stroke. These two components have been integrated at different levels as far as possible for optimal utilization of the resources. The activities at state, districts, CHC and sub centre level have been planned under the

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programme and will be closely monitored through NCD cell at different levels Objectives prevent and control common NCDs through behavior and life style changes, provide early diagnosis and management of common NCDs, build capacity at various levels of health care for prevention, diagnosis and treatment of common NCDs, train human resource within the public health setup viz doctors, paramedics and nursing staff to cope with the increasing burden of NCDs establish and develop capacity for palliative and rehabilitative care. Prevention: The main preventable risk factors for NCDs are tobacco consumption are Poor dietary habits, Sedentary life style, Stress etc. Monitoring and Evaluation of NPCDCS Screening for diabetic has already been initiated in Nellore and Vizianagaram districts for the people who are above the age of 30 years.
Initiation No of persons sereened No of Diabetic cases detected No of Hypertention cases Details of Logistics Glucometers Lancets Gluco-Strips Nellore 10529 6966 3563 Vizianagaram 10043 3173 6870

2011 to 13-10-2011 in Nellore District. Survey conducted in two Government Schools in Nellore head quarters i.e., Urban Area and four schools in Rural Area in Nellore District. Physical assessment and Blood Glucose test has been conducted to about 750 school children of 8th to 10th standard.

National Vector Borne Diseases Control Program (NVBDCP)

Malaria has been a major scourge in India contributing 17 million cases and 0.8 million deaths every year, prior to the launching of National Malaria Control Programme in 1953. The National Malaria Eradication Program was launched in 1958 with encouraging plan of operation stabilized malaria incidence around 2 million cases annually, since 1977. Enhanced Malaria Control Project was introduced in 1997, aided by World Bank, covering the tribal areas of 10 districts in the State. The problem is mostly concentrated in 105 Primary Health Centers in Tribal areas of the State and the project is extended to 128 PHCs including tribal and nontribal areas. The program has been changed to NVBDCP in the year 2004. NVBDCP deals with Malaria, Japanese Encephalities, Suspected Viral Encephalitis, Dengue, Chikungunya, Filaria and Kala Azar under an umbrella program. Objectives: 1. Prevention of deaths due to vector borne diseases. 2. Reduction of morbidity Strategies adopted: Surveillance activities for detection of cases and treatment Enhanced diagnostic and treatment facilities Integrated vector control measures: Source reduction Regular Anti Larval Operations. Pyrethrum space spray for all +ve cases and surroundings Indoor Residual Spray Fogging operations Biological control by introducing Larvivorous fish in water bodies.

Distribution of Logistics
Nellore 160 210000 140000 Vizianagaram 230 240000 170000

A two days orientation cum training programme conducted in Vizianagaram and Nellore districts during Aug 2011 for all the Medical Officers and about 500 ANMs in each District about the operation of Glucometers for measuring Blood Glucose and also awareness on Body Mass Index (BMI). NCD Rick Factors Surveillance among school children of 8th to 10th standard was conducted during the period from 11-10-

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 Administering single dose Japanese

Encephalitis vaccination with SA 14 14-2 in High risk and prone areas as a preventive measure. Mass Drug Administration with D.E.C. and Albendazole tablets for Elimination of Lymphatic Filariasis in 16 Filaria endemic districts. Provision of insecticide Impregnated Bed nets in high risk remote areas as a personal protection. Awareness creation through Print, Electronic Media, Kalajathas and through self help groups and local bodies for prevention and control of vector borne diseases. Details on Vector borne diseases are shown in Table 8.14.
Table 8.14 Vector Borne Diseases Diseases Cases Malaria Dengue
Chikungunya

ceases to be a major pubic health problem. It aims to control TB by detecting and curing sputum smear-positive patients thereby interrupting the chain of transmission. Objectives of RNTCP: 1. To achieve and maintain a cure rate of 85% among new sputum positive TB cases registered; and to achieve 90% sputum conversion rate. 2. To detect 70% (52 cases per one lakh population) of the estimated new sputumpositive cases after achieving objective 1. Performance of RNTCP is shown in Table 8.15.
Table 8.15 Performance of RNTCP New smear Total case +ve detection detection achieved achieved 44669 44097 44867 49085 49759 49935 50107 37973

Year

Cure rate expected (85%) 84% 84% 84% 85% 86% 87% 87% 87%

2010 Deaths 20 3 0 0 0

Upto Dec 2011 Cases 31,450 1209 47 4 242 Deaths 5 6 0 1 0

31,972 776 41 7 330

JE Filaria (Mf+ves)

2004 105835 2005 108679 2006 107051 2007 111292 2008 114624 2009 114061 2010 114414 2011(up 84492 to 3q11) Source: Directorate of Health

Source: Directorate of Health

TB Control Programme The Revised National TB Control Programme (RNTCP) was launched in the year 1995 with DFID aid. GFATM is aiding the programme from November, 2005. The first two districts to start RNTCP in the state are Hyderabad and Medak in the year 1995-96. RNTCP coverage of AP has been completed in a phased manner by February 2004. There are 178 TB Units and 918 DMCs (Designated Microscopy Center) and 80,000 DOT (Directly Observed Treatment) centers in the State under the programme.
Goal: The goal of RNTCP is to decrease mortality and morbidity due to TB and cut the transmission of infection until TB

National Program for Control of Blindness (NPCB): National program for control of blindness was started in 1976 aiming to reduce the prevalence of Blindness from 1.4% to 0.3% by 2020. Present rate is 1% as per survey of Government of India during 2006-07. Disease Control 1. Free Cataract surgeries, both in Government and NGO sector. 2. Refractive errors detection School Eye screening distribution of free spectacles. 3. Establishing three new eye banks under Govt.sector at Viziawada, Kurnool and Warangal. 4. Early detection of Glaucoma and Diabetic Retinopathy 5. Tele-Ophthalmology by REHVisakhapatnam to Paderu and Yelamanchili

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Objectives To provide high quality of eye care to the affected population To expand coverage of eye care services to the under served areas Cataract operations: 5,74,784 cataract operations were conducted during 2010-11 and 4,12,629 cataract operations were conducted during 2011-12(upto Nov11). School Children Eye Screening shown in Table 8.16.
Table 8.16 School Children Eye Screening Item 2010-11 Teachers Trained 13339 School Children Screened 18.03 (in lakhs) School Children detected 82508 with Reff. Errors Distribution Free Glass 45698 Eye Ball Collection 4521 Source: Directorate of Health (Nos.) Upto Nov.2011 9414 11.61 45003 12435 4209

The Integrated Disease Surveillance system is operational all over the country and will help the health services to improve the alertness of the health services to potential outbreaks. The main components in this surveillance system would be: 1) surveillance of diseases; capacity building of health staff at various levels; strengthening of laboratories; provision of computers at the District Surveillance Unit to enable rapid transmission of surveillance data; and partnership with private health sector. Diseases under surveillance: Malaria, Measles,Chicken Pox,Dengue / DHF / DSS, Chikungunya, Meningitis, Acute Encephalitis Syndrome, Enteric Fever,Fever of Unknown Origin (PUO), Diphtheria, Pertussis, Acute Respiratory Infection (ARI) / Influenza Like Illness (ILI), Pneumonia,Acute Diarrhoeal Disease (including acute gastroenteritis), Bacillary Dysentery, Viral Hepatitis, Leptospirosis, Acute Flaccid Paralysis < 15 Years of Age, dog bite, snake bite. Types of surveillance under IDSP: Syndromic (Form S): Diagnosis made on the basis of history and clinical pattern by paramedical personnel and/or members of the community. Presumptive (Form P): Diagnosis made on typical history and clinical examination by medical officers. Confirmed (Form L): Clinical diagnosis confirmed by an appropriate laboratory test. Average reporting % in IDSP portal for S, P, L forms for 50 weeks (3 Jan 18 Dec 2011) are 61.4%, 56.9% and 44% respectively. National Programme for te Health Care of Elderly Objectives: To provide an easy access to promotional, preventive, curative and rehabilitative services to the elderly through community based primary health care approach To identify health problems in the elderly and provide appropriate health interventions in the community with a strong referral backup support

NPCB in Tribal Area shown in Table 8.17.

Table 8.17 Control of Blindness in Tribal Areas (Nos.) Item 2010-11 Upto Nov.2011 Cataract Operations 10831 5266 Teachers Training 934 527 School Children Screened 168549 106737 School Children detected 10513 5520 with Reff. Errors Distribution of Free 3763 1430 Glasses Eye Ball Collection 24 35 Source: Directorate of Health

Integrated Disease Surveillance Project (IDSP) Introduction & Objectives: Integrated Disease Surveillance Project (IDSP) is a decentralized, district based surveillance programme in the country. It is intended to detect early warning signals of impending outbreaks and help initiate an effective response in a timely manner. It is also expected to provide essential data to monitor progress of on-going disease control programmes and help allocate health resources more efficiently.

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 To build capacity of the medical and paramedical professionals as well as the care-takers Within the family for providing health care to the elderly. To provide referral services to the elderly patients through district hospitals, regional medical institutions. Implementation: Community based primary health care approach including domiciliary visits by trained health care workers. Dedicated services at PHC/CHC level including provision of machinery, equipment, training, additional human resources (CHC), IEC, etc. Dedicated facilities at District Hospital with 10 bedded wards, additional human resources, machinery & equipment, consumables & drugs, training and IEC. Strengthening of 8 Regional Medical Institutes to provide dedicated tertiary level medical facilities for the Elderly, introducing PG courses in Geriatric Medicine, and in-service training of health personnel at all levels. Information, Education & Communication (IEC) using mass media, folk media and other Communication channels to reach out to the target community. Continuous monitoring and independent evaluation of the Programme and research in Geriatrics and implementation of NPHCE Oct 1st is observed as International Day for Older persons (IDOP) Theme of the IDOP -2011 is Health Care for Senior Citizens. All the institutions like District Hospitals Area Hospitals CHCs which are identified for NPHCE Programme conducted free Health Camps for all Senior Citizens. National Programme for Prevention and control of Fluorosis Fluorosis is a crippling and painful disease caused by intake of fluoride.

Fluoride can enter the body through drinking water, food, toothpaste, mouth rinses and other dental products; drugs, and fluoride dust and fumes from industries using fluoride containing salt and or hydrofluoric acid. Fluorosis can occur as: 1) Water-borne Fluorosis (Hydro fuorosis) 2) Food-borne Fluorosis 3) Drug and Cosmetic induced Fluorosis Fluorosis may be of 1) Dental Fluorosis, 2) Skeletal Fluorosis and 3) Non-skeletal Fluorosis Objectives To collect, assess and use the baseline survey data of Fluorosis for starting the project Assessment of the extent of problem in the state. Identification and quantification of different exposure channels of fluoride. Developing promoting and scaling up integrated approach of fluorosis management. Creating awareness and capacity building of stake holders about Fluorosis and its management. Creating of a comprehensive knowledge and database. Implementation During the year 2009-10 Govt of India sanctioned National Programme for Prevention and Control of Fluorosis in Nellore District in 2009-10 and Nalgonda in 2010-11 and Prakasam and Karimnagar Districts in 201112. Conducting surveys in the district to assess the magnitude of Fluorosis. Conducting awareness campaign in the District to create awareness about Fluorosis. To Organize a State level Stake holders workshop. IEC and campaigns. School awareness programmers and to include in school curriculum at the level of primary an higher education. For this purpose CBSE, NCERT, State Boards and UGC may be requested to be include the Fluorosis Syllabi for various levels of education including Medical Education.

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AIDS CONTROL
8.9 The HIV epidemic has been one of the most challenging modern public health problems for the country. Provisional estimates place the number of people living with HIV in India in 2008 at 22.7 lakhs and the third phase of National AIDS Control Programme (NACP) is being implemented across the country by the National AIDS Control Organization (NACO) in a response to the epidemic. HIV still remains a matter of concern among people having high-risk behaviour. In order to augment the effort to prevent the further spread of HIV/AIDS, Government have initiated several measures, focusing not only prevention, but also providing services for testing treatment, care and support to the people infected with HIV/AIDS. NACP, launched in 1992, is being implemented as a comprehensive programme for prevention and control of HIV/AIDS in the state by Andhra Pradesh State AIDS Control Society (APSACS). Out of all the infections, 94% was through sexual transmission, 4% parent to Child, 0.6% through Injecting Drug Use, and 0.4% through Blood and blood products. The reasons for such high prevalence of HIV were high non regular sexual partners, high prevalence of sexually transmitted illnesses, low condoms use with non-regular sexual partners, large migrant population, large network of national highways, trafficking of girls and most importantly awareness not resulting in behavioural change A.P. State AIDS Control Society was registered in September, 1998. Andhra Pradesh is one of the high prevalent States in the country in terms of HIV prevalence among the adult population with 0.9 %. The estimated adult population living with HIV/AIDS is 4.24 5.96 lakhs. The trend of HIV prevalence among various groups involved in the sentinel surveillance is shown in Table 8.18.
Risk group Antenatal woman STD Patients Female Sex workers (FSWs) Men Sex men(MSM) Intravenous Drug Users Table 8.18 HIV Prevalence 2006 2007 1.26 1.00 24.4 7.32 10.25 17.2 9.74 17.04 2008 1.00 NA 11.4 23.36 6.94 2010 0.50 NA ** ** **

** Under process NA: Not Applicable Source: APState Aids Control Society

Policy Initiatives: The Nations AIDS Control ProgrammePhase III (2007-12) has commenced on 6th July 2007, to take forward the initiatives on HIV/AIDS control programme in the country. In accordance with the goal of NACP-III, the State of Andhra Pradesh aims to reverse the epidemic by aiming to reduce new infections as estimated in the first year of the program, by sixty percent in the State by 2012. This is aimed to be achieved by introducing focused prevention interventions by implementing community-led structural interventions for key population groups, by motivating and enabling community ownership of the HIV/AIDS Programme and translating awareness and knowledge into behaviour change with adoption of safe practices at the individual level. Strategy for High-Risk Population: The primary focus of prevention activities is to prevent the transmission of HIV virus among High Risk groups like female sex workers (FSW), male sex with male (MSM) Intravenous drug users (IDUs), Truckers and Migrants. For this 169 Targeted Interventions are in operation in the state covering about 3 lakh HRGs and Bridge Populations. The coverage for the targeted population has been streamlined with upscale and realignment of interventions based on a revised mapping of the HRG in the state. The HRGs are covered by NGOs supported by APSACS as well as the state Lead partners which are in turn funded by International Donor Agencies like BMGF. The Package of services provided to the targeted population for prevention of HIV are correct and consistent use of condom, STI management through NGO run, Private practitioners and 169

Govt. Hospitals run STI clinics, enabling environment through advocacy, extension of HIV testing services at ICTC. To strengthen the program other need based support for social entitlements, community organizations and capacity building support is also extended. Link workers scheme focused on covering scattered HRGs in rural areas is being implemented in all the 22 districts of the state through two funders, viz., NACO and UNICEF. SHUBHAM Campaign: Referral to ICTCs and testing of HRGs for HIV is key component under Targeted Interventions to prevent the spread of infection. SHUBHAM was a unique and pioneering initiative of APSACSs aiming to improve HIV testing and hence converting them from Unknown to Known HIV status. It was carried out in two rounds across the all TIs but impact was beyond the active rounds. It had not only tested a substantial number of HRGs but also probably developed an inclination towards regular testing at some of the TI sites as data suggested HRGs with negative result in Round I came for testing in Round II. Integrated Counselling and Testing centre's (ICTCs): ICTCs are established t o encourage voluntary counseling and testing to know their status. So that services to stop further infecting can be stepped up, 411 Stand alone ICTCs, 25 mobile ICTCs, 1005 (including 266 NPs) Facility Integrated ICTC in 24 hour PHCs, 222 Private sector health facilities under PPP which offer ICTC and PPTCT services have been established. Mobile ICTCs are supported with counselors, lab technicians, test kits and consumables etc., Facility Integrated ICTC located in PHCs and CHC level are managed by Nurse Practitioners who provide counseling, and testing, remaining ICTCs are manned by counselors and LTs. Nearly 12.5 lakh general clients and 9.5 lakh pregnant women were tested in 2010-11 and 75 thousand positives (71,840 general and 3930 anc) were identified. Mother baby

pair coverage prophylaxis dose of Nevirapine has been as high as 85% in 2010-11 and in the financial year 2011-12 (up to November,2011) nearly 1.3 lakh general clients are tested and 1.2 lakh pregnant women are tested and 45 Thousand positivies (42,988 general clients and 2559) were identified. Blood Safety: To prevent the HIV infection through infected Blood and blood products, blood safety programme has been taken up. There are 232 licensed and active Blood banks of which 96 are NACO supported, 19 Blood Component separation units, 2 Model Blood banks (IPM and SVRR) have also been started. In 2010-11, about 6.4 lakh units of blood have been collected, and in 2011-12 (up to November, 2011) 4.8 lakh units are collected. Early STI (Sexually Transmitted Infection) detection and treatment: Strong STI/RTI prevention, testing, and treatment component is vital in comprehensive program to prevent sexual transmission of HIV and 100 Designate STI/RTI Clinics (DSRCs) were operational in state to provide these services. As evident from data, there has been tremendous uptake in utilization of DSRCs in state. Almost 2.82 lakhs visits were made to DSRCs which is almost eight times higher than the visits made in 2008-09 and almost 75% higher than the visits made in 2009-10. Almost 2.07 lakhs episodes of STI/RTI syndromes were treated at DSRCs during 2010-11 (75% of the annual target). Infrastructure strengthening, appointment of counsellors at DSRCs followed by quality training and extensive supportive supervision has been foundation for improvement in service uptake from DSRCs. Branding of DSRCs, specific communication strategy for demand generation as well as NRHM collaboration has also played its role in improving uptake of services from DSRCs. Care, Support and Treatment ART Centres: With the introduction of Anti retroviral Theraphy treatment, life span of the PLHAs has been increased. As per NACO Guidelines, all HIV +ve people are registered for Pre-ART and their Blood samples are tested for CD4 cell count. Depending on the clinical conditions and CD4 cell count, the PLHAs are provided with ART medicines. At present there are 43 ART centres 170

(including 2 in Private sector) with more than More than 3.15 lakh people on PreART and about 1 lakh on ART treatment (up to November, 2011). In addition there are 73 link ART centres started to dispense the drugs. Community Care Centres (CCCs): People living with HIV-Aids (PLHAs) require a care continuum and support for treatment for opportunistic infections and short stay. To provide these services, there are 34 Community Care Centres supported by NACO, 34 centres supported by state Govt, including 6 Temporary Hospitalization Wards. More than 1.56 lakh PLHAs utilized the services of the CCCs during the Year 2010-11. District Level Networks (DLNs): Under Greater involvement of People Living with HIV /AIDS a new wave has been created in the state to involve more PLHAs to participate in all HIV/AIDS initiatives especially to promote positive prevention. So far around 96000 PLHAs have been motivated to become members of these networks across the state and measures are taken to build the capacities of these networks for accessing and availing various Government schemes. Women Support Groups with Positive Women are also formed and are marching towards empowerment, self sustainability. One of the major objectives of these net works is to reduce stigma and discrimination at community level. Mainstreaming: Mainstreaming HIV had taken a prime place among the Primary Prevention interventions in the current year. Partnerships with different departments like Youth, Tribal Welfare, School and Collegiate Education continues to address the HIV related issues among the target population. As part of Mainstreaming, sensitization of newly recruited Police Trainees also was taken up in partnership with the State Police Department. Capacity building of ANMs and ASHA workers on some of the key issues related to HIV/AIDS is being done in collaboration with NRHM. A special programme for Children Affected By

AIDS(CABA) is implemented in 2 districts to address the care, support and Treatment aspects and Hundreds of CABA are linked to services like Education, Health and Nutrition provided by the concerned depts. Measures were also taken to address the HIV issues in the work places /some of the major industries in the state. District Project Management: Under a new initiative District AIDS prevention Control Units (DAPCUS) were established in the entire district for convergence with NRHM and decentralizing the programme implementation and all the posts in DAPCUs were filled as sanctioned by the Governmentt. Identity cards and Pensions to people living with HIV/AIDS: SAHARA identity cards for the patients receiving the Anti Retroviral Therapy (ART) medicines are provided, which would help them to access the benefits provided by the Government like concessions for travel, priority in housing schemes and pensions etc., without any stigma of discrimination. More than 38,000 persons receiving the ART medicines are issued with SAHARA identity cards so far. It is envisioned that by the end of the year 2010, there will be increased access to voluntary HIV testing, STD treatment condom usage treatment for opportunistic infections and availability of ART medicines besides reduction of stigma and discrimination.

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WOMEN DEVELOPMENT AND CHILD WELFARE
8.11. The Constitution of India guarantees to all women and no discrimination and provides equality of opportunity, equal pay for equal work etc. In addition, it allows special provisions to be made by the State in favour of women and children, renounces practices derogatory to the dignity of women and also allows for provisions to be made by the State for securing just and humane conditions of work. The principle of gender equality is enshrined in the Indian Constitution. Most of the previous Five Year Plans and programmes have aimed at womens advancement in different spheres. From the Fifth

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Five Year Plan (1974-78) onwards there is a shift in the approach to womens issues from welfare to development. Access of women particularly those belonging to weaker sections, in the rural areas and in the informal, unorganized sector to education, health and productive resources is being taken care. All these efforts have resulted in increased participation by women in various social and cultural activities, science and technology etc. Women now participate in all activities such as education, politics, media, art and culture, service sectors, science and technology, etc All out efforts are being made for the development and welfare of children whose overall development is recognized as the ideal way of fostering the national human resources. The National Charter for Children notified in the year 2004 reveals the commitment to childrens rights to survival, health and nutrition, standard of living, play and leisure, early childhood care, education, protection of the girl child, empowering adolescents etc. The Government is running the following institutions for Women and Children to cater to their needs in difficult circumstances. Institutions: 1. Service Homes: Five Service Homes are functioning in the state at Kannapuram (West Godavari District), Nellore, Anantapur, Warangal and Hyderabad. At present, there are 423 inmates as against the sanctioned strength of 805. These Homes are meant for rehabilitation of socially and economically deprived categories of Women in the age group of 18-35 years. The inmates are provided necessary training for skill upgradation in various trades and condensed courses for appearing in 7th and 10th class. Food, shelter, clothing and medical care is provided in the Home. 2. State Homes: Four State Homes are functioning in the state at Srikakulam, Rajahmundry, Mahabubnagar and Hyderabad with 140 inmates as against the sanctioned strength

of 300. These Homes are meant for women discharged from correctional institutions and women who are unable to protect themselves. Food, shelter and clothing are provided besides imparting training in various trades for selfemployment, wage employment/ job employment. 3. Rescue Home: One Rescue Home is functioning in Hyderabad with 21 inmates as against the sanctioned strength of 30. Women who are rescued by the Police and are facing trial in the court are given shelter during the trial period. They are provided with shelter, food, clothing, medical and training in skill development. 4. Homes for Aged: There are two Homes functioning in the State i.e., at Hyderabad and Chittoor with 50 inmates at present, against the sanctioned strength of 60 (30 each). These Homes provide peaceful and comfortable living for the old destitute, women of above 60 years of age with Food, Shelter and clothing. 5. Homes for Collegiate Girls: There are 6 Homes functioning in the State at Vizianagaram, Tanuku, Guntur, Tirupati, Warangal and Hyderabad with 242 inmates at present, as against the sanctioned strength of 250. Inmates of Children Homes who passed 10th Class and in 15-25 years age group are admitted in these Homes to pursue higher studies and they are allowed to stay for a maximum period of 5 years. 6. Working Women's Hostels: 16 Hostels are functioning in the State with 932 inmates at present, as against the sanctioned strength of 890. These hostels provide food, shelter and security to the Middle Class working Women. Those who earn monthly income of less than Rs.5,000/- are eligible for admission in class A cities and Rs.4,500/- are eligible for admission in other cities and towns. The inmates contribute mess charges and other administrative expenditure i.e., Water and Electricity charges. Ujjawala Scheme: The Ministry of women and child development, New Delhi has formulated Ujjawala a new comprehensive scheme for Prevention of trafficking, rescue, rehabilitation and re172

integration of victims of trafficking and commercial sexual exploitation. This scheme provides food, shelter, clothing, counseling, legal aid to the inmates in rehabilitation. 8 Ujjawala rehabilitation homes are sanctioned for the State. During 2011-12(upto Sep,2011) 400 beneficiries are benefited under this scheme. Swadhar Shelter Homes: The scheme for women in difficult circumstances aims at covering primary needs of shelter, food, clothing, care besides emotional support, counseling and a package for rehabilitation and reintegration specifically for the women and girls rescued from trafficking. The Home strength ranges from 50 - 200 beneficiaries. 32 Swadhar shelter homes are sanctioned, of which, 31 homes are run by NGOS and 1 home is under the control of Women Development and Child Welfare department. During 2011-12, (upto Sep, 2011) 1300 persons are benefited under this scheme. Children Institutions: Children Homes: The Children homes are meant for girl orphans, semi-orphans, Children of disabled parents and ex-servicemen. Children in the age group of 6-10 yrs and in special cases upto 12 years are admitted. Children are provided boarding, shelter, clothing and medical care till 10th class or 18 years of age whichever is earlier. There are 81 Children homes functioning in the State. The sanctioned strength of each home is 60. As against the total sanctioned strength of 5,330, there are 5,004 children admitted. For overall improvement of Childrens knowledge, certain innovative schemes were introduced in children homes viz., Computer Training / Sports, Yoga / Special Coaching for 6th to 10th classes / Bul Buls and guides, training in creative arts etc. Sishuvihar and Sisugruhas: In the Sishuvihars and Sisugruhas, abandoned infants and orphans below six

years of age are admitted. The children of sishuvihar are being given for legal adoption to Childless couples. There are two Sishuvihars in the State. One at Hyderabad and the other at Chittoor. The sanctioned strength of each Sishuvihar is 30. The Sishuvihar, Hyderabad is accommodating more than 200 Children at a time irrespective of sanctioned strength. The present strength in Sisuvihar Chittoor is 18. There are 23 Sisugruhas in the state. During 2011 (upto Dec.11), 255 children (247 in-country + 8 intercountry) were given for adoption to Childless couple. Domestic Violence Act 2005 and Rules 2006 (Central Act No. 43 of 2005): The protection of women from dDomestic violence, Act-2005 and Rules 2006 has come into effect from 25th, October, 2006. As per the orders of the Registrar (Vigilance), High Court of Andhra Pradesh, Hyderabad all the Principal district and sessions Judges in the state and Metropolitan sessions Judge, Hyderabad have to fix a day in a week or fortnight to each court to take up the cases filed under PW DV Act-2005. In fifteen districts, the day has been fixed. Initiatives under Anti-Trafficking: 32 Swadhar Homes are sanctioned by GOI to ensure rehabilitation of VOCSETs (Victims of Commercial Sexual Exploitation and Trafficking) 842 VOCSETs are provided vocational trainings in various trades along with job placements, 799 VOCSETs are reunited with their families and 84 VOCSETs are remarried and mainstreamed to society. 32,012 Balika mandals have been formed to create awareness on anti-trafficking issues and 31,465 Community vigilant groups have been formed to prevent trafficking of women and children at village level Integrated Child Development Services (ICDS) ICDS Scheme is a centrally sponsored scheme and is the single largest integrated programme of Child Development. It was started in 1975-76 in 2 erstwhile blocks of the State on a pilot basis and spread in to all mandals in the state. The universalization of ICDS with quality and the revised norms from April, 2007 increased the spread of ICDS. There are 387 projects (300 in 173

Rural areas, 29 in tribal areas and 58 in urban areas) with 91,307 anganwadi centers. The details of ICDS projects and anganwadi centres are shown in Table 8.19. Table 8.19 ICDS Projects and Anganwadi Centres Year Total Anganwadi centres ICDS Main Mini Total Projects 2005 363 56539 4211 60750 2008 385 73944 7620 81564 2010 387 80481 10826 91307 2011 387 80481 10826 91307 Source:Women Development & Child Welfare Department Services Provided by ICDS Scheme o Supplementary nutrition to 6 months to 6 years aged children, pregnant and lactating mothers. o Immunization to children and women. o Health check-ups to children and women. o Referral services to children and women. o Nutrition and health education to mothers and adolescent girls. o Non-formal pre-school education to 36 years children. Supplementary Nutrition Programme (SNP): Supplementary Nutrition Programme is being implemented in 387 ICDS Projects covering 80,481 main Anganwadi Centers and 10,826 mini AWCs. At present the coverage of beneficiaries under SNP component is 76 (average by saturation) for 1,000 population. 54.65 lakh beneficiaries are covered under SNP during 2011-12 (upto Dec,11). The following food models are implemented under SNP. Modified Therapeutic Food: A.P Foods (Govt. undertaking) prepares and distributes the food in 220 ICDS Projects. The Modified Therapeutic Food is being supplied to the age group of 6 months to 3 years children. Modified Therapeutic food contains roasted wheat flour, sugar, full fat

soya flour, vanaspathi and fortified with vitamins and minerals. 110 grams of food is being given to children as Take Home Ration and it contains 490 K.Cal and 14 grams of protein and double ration is being provided to malnourished children. Hot Cooked Food: Instant Hot Food Mixes i.e., halwa mix, kichidi mix and sweet poridge is being provided to the ICDS beneficiaries to the age group of 3 to 6 years children and pregnant and lactating mothers. Snack Food: Extruded Snack Food is being given @ 25 grams for four days in a week to children and mothers and boiled eggs are being provided for two days in a week. Local Food Model: Local Food Model implemented in 159 ICDS Projects with a view to enhance the community ownership of the SNP and also to improve the quality and acceptability of SNP by the beneficiaries. Hot pongal, broken wheat kichidi and snack food and boiled eggs with required calories of protein are provided. SNP by M/S. Nandi Foundation: M/s Naandi Foundation, Hyderabad and M/S. Akshyapatra Foundation (ISCON) are supplying nutritious meal to the beneficiaries. Community Managed SNP (CMSNP): The Community Managed SNP has been started to enhance the targeted community ownership of the SNP component of ICDS in collaboration with CARE A.P in 4 ICDS Projects in 2002 i.e., Siricilla, Vemulawada, Kunavaram and Tirupati. At present the CMSNP is being implemented in two ICDS Projects i.e., Sircilla and Vemulawada of Karimnagar District. Mothers committees prepare food and supply to the A.W. Centers. They are supplying jowar mix containing jowar, groundnuts, roasted chenna and sugar. Nutrition Progamme for Adolescent Girls (NPAG) The scheme has been revised as Rajiv Gandhi Scheme for empowerment of adolescent girls 174

(RESEAG) SABALA. During 2011-12 (upto Dec,2011) 13.77 lakh beneficiaries are benefitted under the scheme. Under this scheme, supplementary nutrition will be provided to the age group of 11-14 years - for out-of-school adolescent girls and are covered under the Mid-Day Meal (MDM) Scheme. All girls of 15-18 Years - regardless of whether they are out-of-school or school-going, would be given supplementary nutrition since this age-group is not covered under the MDM Scheme. The scheme is implemented in the pattern of 50:50 State and Central Government. The scheme is implemented in seven districts i.e., Mahabubnagar, Chittoor, Adilabad, Visakhapatnam, West Godavari, Ananthapur and Hyderabad. Early Childhood Care and Education (ECCE): The main objective of this programme is to cater to the needs of the development of children in the age group of 3-6 years. Preschool education aims at ensuring holistic development of the children and to provide learning environment to children which is conducive for promotion of social, emotional, cognitive and aesthetic development of the child. The pre-school activities strengthen the child to get ready for primary school education with required skills to perform as a better candidate for school entry and also better performance for regular attendance in school. It aims at improving school enrollment and school retention in rural areas, relieve the older sibling mostly girls from the burden of child care and enable her to attend school and to prepare the children to adjust to formal school going. The pre-school material like story cards, charts, indoor and outdoor play material, color concept, puzzles, school readiness kit, activity kits etc., are supplied to all the anganwadi centers every year at a cost of Rs.1000/- per main AWC and Rs.500/- for Mini AWC as per Government of India norms.

To make pre-school more effective, orientation training programmes are conducted and trained all 2,200 supervisors, 400 CDPOs, 23 PDs and 6 RDDs on implementation of curriculum at AWCs. Arranged demo classes and involved 60 AWTCs and 4 MLTCs Instructors to make the orientation session more effective. 20.10 lakh children are attending Pre-school education activities in anganwadi Centres. Girl Child Protection Scheme:The scheme which came into force in April, 2005 aims to: Promote enrollment and retention of the girl child in school and to ensure her education at-least up-to Intermediate level; Encourage girls to get married only after the age of 18 years; Encourage parents to adopt family planning norms with two girl children; Protect the rights of the girl child and provide social and financial empowerment to girl child; Eliminate negative cultural attitudes and practices against girls; Strengthen the role of the family in improving the status of the girl-child. Extend for a special dispensation to orphans /destitutes and differently abled girls. The department of women development and child welfare is the nodal department for planning, implementation, monitoring and evaluation of the scheme. Eligibility Conditions: Only those, who fulfill the following conditions, will be eligible for enrollment under the New Girl Child Protection Scheme: Families with only single girl child or only two girls shall be eligible; Either of the parents should have undergone family planning operation on or after 01-042005, The total annual income of the family of girl child shall be below Rs.20,000/- per annum for rural areas and Rs24, 000/- for urban areas, Families having single girl of 0-3 years of age, will be given first priority; Second priority will be for families having two girl children of whom the age of the

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second girl child should not be more than 3 years as on 01-04-2005, The age of the child on the date of application shall be the criteria for determining the eligibility of the child for the benefit under the scheme, Consequent to enrollment, those who fulfill conditions as prescribed shall be eligible to receive the benefits under the scheme, Girl-Child born after August, 2009 should get registered under Registration of Birth and Death Act and produce birth certificate from the competent authority i.e., Village Secretary/Municipality authorities concerned. Conditions to be fulfilled by girl child/ girls consequent to enrolment to receive the benefits: Girl children born after July 2009 should get immunized completely as per schedule and produce immunization certificate by Anganwadi worker/auxilary nurse midwives; The girl child who has been enrolled in the scheme should be admitted into the school at the age of 5 years to get the benefit of the scheme. No girl is entitled to receive maturity value, if she has not completed schooling; The head of the institution, where the child is pursuing studies has to give annual certificate every year from 8th to 12th class or equivalent to the CDPO, certifying that the child is continuing education during the academic year, to enable the girl to claim the scholarship every year, No girl will get final payment of incentive, if she marries before 18 years of age, She has to study intermediate (i.e) 12th standard or equivalent to receive the final payment. Even if the girl fails in the 12th standard, or equivalent exam, she will be eligible for final payment after completion of 20 years.

Facility of premature payment will not be entertained at any cost. However, certain relaxations to the orphans, destitutes and disabled girls are given in respect of their age,formal education and income are also given. The details of Girl Child Protection Scheme are shown in Table 8.20
Table 8.20 Girl Child Protection Scheme No. of Beneficiaries Year Single Two Girl Total Girl 2005-06 2006-07 4914 7269 33980 76801 38894 84070

2007-08 6682 86211 92893 2008-09 4684 62693 67377 2009-10 5648 64654 70302 2010-11 6076 85716 91792 Total 35273 410055 445328 Source: Directorate of Women Development & Child Welfare

Construction of AWC Buildings: 17321 AWC Buildings are constructed during the last 10 years with World bank assistance and 15% general funds of Zilla Parishad. 11943 buildings are sanctioned under BRGF from 2007-08 to 2010-11 and work is under progress and 1384 AWC buildings are sanctioned under RIDF. 81 Model AWC Buildings are taken up by the department during the year 2009-10. Work is under progress. Achievements Under ICDS 8,40,950 Girls and 8,46,766 Boys were covered under Pre-school Education by August, 2011. Introduced Pre-school Certificate since 2009 with date of birth for children leaving AWC and getting admissions into primary schools. A.P. State is the only State who have developed and launched an activity based Pre-school curriculum since 2009-10 to promote holistic development in children uniformly throughout the State Indira Darsini Monthly Magazine: Indira Darsini monthly magazine is being published from July, 2011 to create awareness 176

among people about different services rendered by the department.

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JUVENILE WELFARE, CORRECTIONAL SERVICES AND WELFARE OF STREET CHILDREN Juvenile Welfare: 8.12 The Juvenile Welfare department endeavours to undertake necessary steps for all round development and rehabilitation of Children in need of Care and protection (Orphans, Destitute, Neglected, Street Children, Victims etc.) Juveniles in conflict with law (children who are alleged to have committed offense) upto the age of 18 years by providing shelter, care, protection, treatment, education, vocational skills etc. through 21homes run by department across the state as per the provisions of Juvenile Justice (care and protection of children) Act 2000 r/w Amendment Act, 2006. The main objective of the homes is to provide proper care, protection and treatment by catering to the developmental needs by adopting a child friendly approach in the best interest of the children for their ultimate rehabilitation. The homes shall be a comprehensive child care centre with emphasis on educational and training programmes for the prospective development. The children shall be provided facilities for specialized education in community besides a diversified program of vocational training with special reference to the employment / placement opportunities in the mainstream society for their rehabilitation. In addition, the institutions shall have adequate facilities for physical exercise and recreation Homes functioning under the Act: Observation Homes : In all 9 Observation Homes are functioning at Hyderabad, Warangal, Nizamabad, Vijayawada, Rajahmundry, Visakapatnam, Kurnool Tirupathi and Ananthapur for juveniles in conflict with

law during pendency of cases against them before juvenile justice boards Special Homes for Boys: 3 Special Homes at Hyderabad, Visakapatnam, & Tirupathi are functioning for juveniles who were sentenced by the Juvenile Justice Boards Children Home & Observation Home for Girls: 3 homes are located at Hyderabad, Visakapatnam, & Tirupathi for girl Juveniles during pendency of cases against them before Juvenile Justice Boards and also for taking care of the girl children in need of Care & Protection as per orders of the child welfare committees Children Home for Boys: 6 Homes are located at Hyderabad, Warangal, Tirupathi, Kadapa, Visakapatnam, and Eluru for taking care of the Children in need of care & protection as per orders of the child welfare committees. After Care Home: - One After Care Home functioning at Hyderabad is meant for taking care & giving guidance for the rehabilitation of juveniles/children after they leave special/ children home for enabling them to lead a honest industrious and useful life. Non-Institutional Services: YUVA Adolescent Counselling & Guidance Clinic was set up to provide Psychological and Health related awareness, Counseling and Guidance Services to the children and Adolescents at Niloufer Hospital, Hyderabad. Achievements and Special mentions: Modernisation of Institutions: Life skill development programme is taken up by pooling Rs.1.76 crores to strengthen the existing training facilities and induction of need based cum career oriented trades such as computer, xerox, fax and other job oriented trainings. Mainstreaming of children: 361 children were admitted in outside schools, colleges and Technical Training Institutions. Counseling services for the children The children under difficult situations/ circumstances are housed in these Homes. The services of counselors through professional qualified personnel are provided in the Homes with the financial support of United Nations Office on Drugs & Crime (UNODC), New Delhi in 21 Homes of the State. Vocational training:- 16 vocational instructors were appointed on contract basis for providing 177

need based cum career oriented trades such as operating computers, xerox, fax, public address system, house wiring, carpentry, plumbing, beautician, paper bag making and other job oriented trainings to the children. As part of Rajiv Udyogasri, training programmes for children were taken up through the training agencies and entrepreneurs. Childrens Day and CRC week Celebrations: Childrens day and CRC week celebrations were held from 14th to 20th Nov 2010 in all the homes. On this occasion, sports and cultural programmes were organized in the Homes. Participation of children in the 16th National Jamboree meet: The children of our State have won medals and certificates for their talent display, team/ individual activities etc. in the event. In addition to the above, the Children were encouraged in participation in various other activities such as Acting & Magic workshop, Training in Cabinet Designing, Livelihood projects, Corporate Social Responsibility project etc. Academic achivements and placements: The inmates of various Homes have shown academic brilliance and came out with flying colours. Some of the boys and girls got decent placements in various reputed firms/institutions.

persons with Disabilities Act, 1995 and National Trust Act, 1999 and ensures multi-sectoral coordination with various Government departments for prevention, early identification and detection, education, employment, rehabilitation, mainstreaming, networking and monitoring of Government of India grant-in-aid projects of NGOs. There are 5 Residential Schools for visually Impaired, 6 Residential Schools for Hearing Impaired, One Residential Junior College for Hearing Impaired at Bapatla and one Residential Junior College for Visually Impaired at Mahaboobnagar headed by the Principal of respective School / College. 40 Hostels and 3 Homes are functioning under the control of department. Achievements Government. have launched special recruitment drive for filling up of the backlog vacancies reserved for the disabled. The period of recruitment has been extended from time to time upto 31.3.2011. A total of 86 posts (20 DSC and 66 other than DSC) are filled up during April to December 2010. Working stone was laid for Vikalang Bhavan consisting of training centre for disabled and hostels for disabled girls. A park, specially designed for the disabled was also inaugurated in January,2011. Government have extended the benefits of exemption from payment of examination fee and reduction of pass marks in all degree courses by 10% in favour of the disabled students in September,2010. Orders were issued sanctioning additional sections for hearing and speech impaired students in the existing Junior Colleges at Kadapa, Eluru, Miryalguda during the academic year 2010-11. The Government have issued orders for posting of State Government employees who have mentally retarded children to a place where medical facilities available for them. 2701 PwDs have been recruited in Government department during the period 2002-2009. 425 PwDs have been recruited during the year 2009-10 86 PwDs have been recruited under notified backlog vacancies

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DISABLED WELFARE
8.13 An Act for Persons with Disabilities enacted and enforced in February, 1996 deals with both prevention and promotional aspects of the rehabilitation such as education, employment and vocational training, creation of barrier-free environment, provision of rehabilitation service for persons with disabilities, is in force both at the Central and State levels. To look after the welfare of disabled, an independent Corporation in 1981 and a separate department in the year 1983 were established in the state. The department is working towards implementation of

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and during the year 2010-2011 (upto Dec. 2010) Around 400 disabled children have participated in the state level sports meet in 18 events for boys and girls under 18 years of age.

Programmes Implemented Education: Maintenance of 40 hostels and 3 homes with a sanctioned strength of 4,215. 11 Residential schools (6 for Hearing Impaired and 5 for Visually Impaired) with a sanctioned strength of 1740. 2 Residential Junior Colleges, one for hearing impaired and another for visually impaired with a sanctioned strength of 60 each. 6 KGBV schools for disabled girls. A training centre to train the teachers of visually impaired persons is functioning in Hyderabad. Tuition fee reimbursement to the students studying post matric courses. Sanction of pre and postmatric scholarships to the students studying 1st to P.G. and professional courses Sanction of scholarships to mentally retarded. students. Social Security Sanction of subsidy of Rs.3000/- to the disabled persons under economic rehabilitation scheme 2,665 benefitted during 2010-11. Enhancement of Incentive awards for marriages between disabled and normal persons from Rs.10,000/- to Rs.50,000. 1,440 persons were awarded during 2010-11. Sanction of petrol subsidy to the disabled persons who are having motorized own vehicles for self transportation.

in their rehabilitations: 1. Supply of prosthetic aids and mobility aids. 2. Supply of educational aids individuals and institutions. 3. Facilities to impart training in various technical and non-technical trades. 4. Organizing employment generation production units with assured market for proucts. 5. Creating awareness among parents for early detection and stipulation and treatment of various disabilities. i) Rehabilitation and supply of prosthetic aids to Physically Handicapped: Under this scheme, the A.P Vikalangula CoOperative Corporation is supplying aids and appliances ie., tricycles, wheel chairs, crutches, walking sticks, try pods (hand sticks), calipers, artificial limbs and hearing aids etc., to the PwDs. ii) Sound Library: Under this scheme, the A.P.Vikalangula Cooperative Corporation is supplying tape recorders and cassettes with lessons recorded for intermediate and above classes. Braille Press: Under this scheme, the corporation prints and supplies the braille books to school going visually disabled students. iii) Investments in APVCC : There are 12 T.C.P.Cs in the state functioning to impart vocational training to the disabled persons for skill development. New training programmes like offset printing, DTP, motor winding, journalism, cell phone servicing, computer training etc., have been continued through ITI and non-ITI trades. iv) Managerial Subsidy : Managerial subsidy is provided for rehabilitation and supply of prosthetic aids, educational aids such as Lap tops, CD players, tape recorder and Investments (training programme) such as offset printing , DTP motor winding , journalism, cell phone servicing, computer training etc.

A.P.Vikalangula Cooperative Corporation The corporation has taken up the following programmes to help the disabled

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BACKWARD CLASSES WELFARE

8.14 Population belonging to Backward Classes and pursuing traditional activities such as cattle and sheep rearing, toddy tapping, earth works, fishing, weaving, goldsmith, blacksmith, brass smith, carpentry, stone carving, laundry, pottery, oil pressing, basketry, hair dressing, tailoring and dyeing fall under 135 communities. Government is implementing several welfare, educational and economic development programmes for the welfare of the Backward classes people. The details of the programmes are Hostels: Hostels are providing free boarding and lodging to students belonging to Backward Classes and enabling them to pursue their Pre-Matric studies. At present, there are 1,422 Government. B.C. hostels, (1,102 hostels for boys and 320 hostels for girls) including 14 hostels for de-notified and Nomadic tribes. A total strength of 1,70,511 boarders were admitted in the B.C. hostels during 2010-11 and 1,68,538 have been admitted during 2011-12. All these hostels have a combination of 76% Backward Classes, 10% Scheduled Castes, 5% Scheduled Tribes, 3% Minorities and 6% other castes for the purpose of Social Integration. Of the total 1,422 hostels, 816 hostels are located in Government buildings. Out of the remaining hostels, 127 buildings are under construction under matching grant programme and under Centrally sponsored scheme to provide a clean and healthy ambience to the boarders of hostels. Still 479 buildings are to be constructed. The boarders are provided with diet charges @ Rs.475/- per month per boarder for III to VII class, and Rs.535/- per month per boarder for VIII to X class, besides cosmetics at the rate of Rs.50/- per month for boys and Rs.55/- per month for girls up to class VII and Rs.75/- per month for girls from class VIII to X class. Boarders are also supplied note books and four pairs

of dresses every year. Results of X class students in B.C. Welfare hostels is shown in the Table 8.21
Table 8.21 Results of X Class Students in B.C. Welfare Hostels Year Results in Hostels State Average (%) (%) 2005 77.67 72.41 2006 77.75 73.16 2007 78.36 71.65 2008 83.32 75.47 2009 85.46 78.83 2010 88.09 81.63 2011 89.53 83.10 Source: Backward Classes Welfare Department

Residential Schools: There are 45 B.C. Residential Schools (29 for boys and 16 for girls) with a total strength of 16,668 students functioning in the State. Admitted strength during 2010-11 and 2011-12 is 15,763 and 14,841 respectively. Results of X class students in B.C.residential schools are shown in the Table 8.22.
Table 8.22 Results of X Class Students in B.C. Welfare Residential Schools Year Results in Res. State Average Schools (%) (%) 2005 98.93 72.41 2006 99.60 73.16 2007 99.54 71.65 2008 99.24 75.47 2009 99.60 78.83 2010 99.84 81.63 2011 99.60 83.10 Source:Backward Classes Welfare Department

Post-Matric Scholarships and Reimbursement of Tuition fee to BC students: Post Matric Scholarships and reimbursement of tuition fee and Spl. fee to all eligible BC students are sanctioned on par with Social Welfare Dept., for category A students from the year 2008-09. The income limit of parents / guardians of BC students for getting scholarships and other educational benefits has been revised. The present ceiling of Rs.33,500/- per annum for getting scholarships in non professional courses and the ceiling of Rs.44,500/- per annum for obtaining scholarships in professional courses has been enhanced to Rs.1,00,000/- per annum for both professional and non professional

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courses. Further, the scholarship rates have been enhanced on par with Social Welfare and Tribal Welfare departments. 4,98,000 BC students were sanctioned Post Matric scholarships and 10,80,000 BC students have been sanctioned. Reimbursement of tuition fee during the year 2010-11 and 13,91,133 left over students of 2010-11, 12,84,086 BC students of 2009-10 and 1,038 BC students of 2008-09 were sanctioned Post Matric Scholarships and reimbursement of tuition fee during 2011-12 also upto September, 2011 Post-Matric Scholarships and Reimbursement of Tuition Fee to EBC students. The scheme EBC Post-Matric Scholarships including reimbursement of tuition fees has been transferred from Higher Education department to Backward Classes Welfare department. All eligible EBC students within the income ceiling of Rs. 1.00 lakh per annum are sanctioned Post Matric Scholarship and fee reimbursement. 2,29,000 EBC students were sanctioned reimbursement of tuition fee during the year 2010-11. Similarly, 2,87,213 leftover EBC students of 201011 were sanctioned reimbursement of tuition fee during 2011-12 and also 2,36,542 students of 2009-10 also sanctioned upto September, 2011. College Girls Hostels To encourage the BC Girls to pursue higher education, 300 new BC College girls hostels have been sanctioned @ one in each Assembly constituency in the State with a sanctioned strength of 100 boarders per hostel during the year 2008-09. Out of 323 hostels (23 BC girls hostels were permitted to be converted as college girls hostels during the year 2005-06, but only 15 college girls hostels were converted and 300 newly college girls hostels were sanctioned during 2008-09). 280 hostels have been started upto September 2011 with an admitted strength of 13,327.

AP Study Circles for BCs There are 15 BC study circles functioning in the State to provide free coaching facilities to eligible BC unemployed graduates and Post graduates, who are appearing for various competitive examinations like Civil Services, State Group-I, Group-II and other examinations. From the year 2007-08, new courses in the BPO sector have been started in the AP Study Circles. Training in medical transcription and computer animation skills have been started in Hyderabad, Visakhapatnam and Anantapur study circles for 60 students in each course and also industrial automation course was started for B.E., B.Tech and Diploma holders at Hyderabad. 3119 students have been benefited during the year 2010-11 and 1642 students were benefited during the year 2011-12 upto September 2011. The welfare schemes for providing self employment to poor families belonging to B.C. community are being implemented through the following institutions which function under the control of the Department. 1. A.P.Backward Classes Cooperative Finance Corporation Ltd., Hyderabad 2. A.P.Washermen Cooperative Societies Federation Ltd., Hyderabad 3. A.P. Nayee Brahmins Cooperative Societies Federation Ltd., Hyderabad 4. A.P.Vaddera Cooperative Societies Federation Ltd., Hyderabad 5. A.P. Sagara (Uppara) Cooperative Societies Federation Ltd., Hyderabad 6. A.P.Valmiki/Boya Cooperative Societies Federation Ltd., Hyderabad, 7. A.P. Krishna Balija, Poosala Cooperative Societies Federation Ltd., Hyderabad 8. A.P.Bhatraju Cooperative Societies Federation Ltd., Hyderabad A.P.Backward Classes Cooperative Finance Corporation Ltd., Hyderabad The A.P.Backward Classes Cooperative Finance Corporation Ltd., Hyderabad was established in the year 1974 for the economic upliftment of the Backward Classes in the state. The corporation is implementing the schemes of i) Margin Money and ii) Rajiv Abhyudaya Yojana. i) Margin Money (2011-12): Margin Money scheme is aimed at providing financial assistance to the B.C. beneficiaries in 181

the Activities under Agriculture and Allied Sectors, Small Business and Industry, Service and Transport Sectors. The scheme was implemented upto the year 2007-08 with 20% Margin Money from Corporation, 70% Bank Loan and 10% Beneficiary Contribution. From the year 2008-09 onwards, the scheme is being implemented on the following pattern as per the policy decision taken by the Government to dispense with the system of providing loan by the Corporations and to implement the schemes by providing subsidy with link up of loans from banks. Subsidy of 50% unit cost not exceeding Rs.30,000/- per beneficiary. 10% of the unit cost as beneficiary contribution. 40% or balance unit cost as Bank Loan. Wherever the unit cost is more than Rs.60,000/-, subsidy is Rs.30,000/beneficiary contribution is 10% and the balance is loan from the Bank The benefit of the scheme of Pavala Vaddi as applicable to the Women Self Help Groups shall be extended to the bank loan component of the units grounded under this scheme. Action plan for the year 2011-12 (upto December, 2011), to benefit 2500 families is under implementation under Margin Money scheme with a total value of Rs.500.00 lakhs, out of which Rs. 250.00 lakhs is the subsidy provided by the corporation, Rs.200.00 lakhs loan from the banks and Rs.50.00 lakhs beneficiary contribution. ii) Rajiv Abhyudaya Yojana (2011-12): Rajiv Abhyudaya Yojana scheme was launched during the year 2005-06 with the aim to provide financial assistance to the B.C.Artisans/ B.C.Occupational Groups in urban areas. The scheme is being implemented for a period from 2005-06 to 2011-12. The scheme was implemented upto 200708 with the funding pattern of 20% as Term Loan by the Corporation, 70% by

the Commercial Banks and 10% as Beneficiary Contribution. From the year 2008-09 onwards, the scheme is being implemented on the following pattern as per the policy decision taken by the Government to dispense with the system of providing loan by the Corporations and to implement the schemes by providing subsidy with link up of loans from banks. Subsidy of 50% unit cost not exceeding Rs.30,000/- per beneficiary. 10% of the unit cost as beneficiary contribution. 40% or balance unit cost as bank loan. Wherever the unit cost is more than Rs.60,000/-, subsidy is Rs.30,000/beneficiary contribution is 10% and the balance is loan from the bank. The benefit of the scheme of Pavala Vaddi as applicable to the Women Self Help Groups shall be extendd to the bank loan component of the units grounded under this scheme. Action plan for the year 2011-12 (upto December,2011), to benefit 2500 families is under implementation under Rajiv Abhyudaya Yojana scheme with a total value of Rs.1000.00 lakhs, out of which Rs. 500.00 lakhs is the subsidy provided by the corporation, Rs.400.00 lakhs loan from the banks and Rs.100.00 lakhs as beneficiary contribution. Schemes implemented through the Seven Federations: A) Schemes for the benefit of individuals families The only one scheme being implemented for the welfare of the individual families of different communities covered by seven federations is a common one and it is financial assistance scheme. The pattern of the scheme is as follows: It is implemented taking one society affiliated to the concerned Federation and comprising 15 members as one unit. The unit cost is Rs.1,50,000/-. 1. Subsidy of 50% unit cost (Rs.75,000). 2. 10% of the unit cost Rs.15,000/- as beneficiary contribution. 3. 40% as bank loan- Rs.60,000.

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4. The benefit of the scheme of Pavala Vaddi as applicable to the Women Self Help Groups shall be extended to the bank loan component of the units grounded under this scheme. B) Schemes for the benefit of community: Construction of Dhobighats is implemented through A.P.Washermen Cooperative Societies Federation with a unit cost of Rs.2.00 lakhs comprising of Rs.1,80,000/- Subsidy and Rs.20,000/beneficiary contribution. Action plan for the year 2011-12, to benefit 700 families is under implementation with a total cost of Rs.28.00 lakhs, out of which Rs.25.00 lakhs subsidy and Rs.3.00 lakhs is beneficiary contribution for providing the Dhobighats .

for the development of SCs, under a separate head of account 789. A Nodal agency under the Chairmanship of Honble Minister (SW) and an Apex Committee under the Chairmanship of Honble Chief Minister review and maintain the allocations and expenditure under SCSP. An amount of Rs.7233.35 Crores is provided as SCSP outlay for 2011-12, out of Rs.42915.36 total plan outlay constituting 16.85 percent. Educational Programs: Hostels: There are 2,358 hostels (Boys 1,640 and Girls 718) in the State in 2010-11, with a sanctioned strength of 2.27 lakh students. Government have enhanced the mess charges in Govt. hostels from Rs.338/- per month to Rs.475/- p.m. for boarders up to 7th class and from Rs.412/- p.m. to Rs.535/- p.m. for boarders from 8th to 10th class from the academic year, 2008-09. The cosmetic charges given to hostel boarders are also increased from Rs.22/- to Rs.50/- for boys and from Rs.40/- to Rs.75/- for girls. The stitching charges are increased from Rs.20/- per pair to Rs. 40/- to Rs. 75/- for girls. Hair cut charges are increased from Rs.5/- to Rs.12/-. The number of dresses supplied is increased from 2 to 4 dresses per annum per boarder from the year 2008-09. Government has also taken up construction of Integrated Welfare Hostel Complexes (IWHC) to provide better amenities including spacious rooms, kitchen gardens etc. 120 IWHCs were taken up in I Phase. It is proposed to take up 454 such IWHCs in phased manner in future so as to accommodate SC, ST, BC hostel boarders presently staying in private Hostel buildings in IWHCs. Samkshema Bata: An innovative exercise was taken up with Honble Ministers and MLAs of the State personally visiting Social Welfare Hostels to list out the repairs to be taken up in the hostels. For repairs of Government hostel buildings and to provide infrastructure facilities an amount of Rs.50 crores was provided, i.e, Rs. 35 crores for repairs and Rs.15 crores for construction of new toilets and bathrooms for hostel boarders @ 1:10 boarders. 1735 works have been taken up, out of which 1687 works have been completed and the remaining works are in progress. 183

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SOCIAL WELFARE
8.15 The Scheduled Caste Population in Andhra Pradesh has increased from 105.92 1akhs in 1991 to123.39 lakhs in 2001. As per the Census 2001, the Scheduled Castes population forms 16.19 per percent of the total population of Andhra Pradesh. More than 82% of the Scheduled Caste people are living in rural areas. Sex Ratio among the Scheduled Castes is 981, which is higher than the State average of 978. The percentage of SC population in rural areas has declined from 88.9 percent in 1961 to 82.8 per cent in 2001. The literacy rate among SCs was 53.52 in 2001, lower than the all India percent of 54.69 for SCs. The principal objectives of Social Welfare department are to look after the educational advancement, socio-economic develop-ment, Welfare and Protection of Scheduled Castes. Scheduled Castes Sub-Plan (SCSP): Under Scheduled Castes Sub-Plan, it has been made imperative for all the Government departments to earmark 16.2 % of their Plan outlay i.e. in proportion to the SC population in the State, exclusively

Ananda Nilayams: At present, there are 79 Ananda Nilayams functioning in the State. 50 percent of the seats in Ananda nilayams are filled up with orphan students and the remaining 50 percent with the children whose parents are engaged in unclean occupations. The inmates in these Ananda Nilayams are provided all facilities on par with the boarders in Social Welfare hostels. The details of Ananda nilayams are shown in Table 8.23.
Table 8.23 Ananda Nilayams Year 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 Institut ions 79 79 79 79 79 79 79 Boys 4061 3475 3709 4100 3962 3782 2895 (Numbers) Girls Total 3189 3180 3236 3263 3275 3183 2497 7250 6655 6945 7363 7237 6965 5392

hostels with an admitted strength of 24,724 during 2010-11. Government is providing electricity charges, house rent, water charges and scholarships. The students themselves maintain the mess through committees. Post-Matric Scholarships: Residential and Non-Residential scholarships are being awarded to all eligible Post-Matric students belonging to the Scheduled Castes. This scholarship amount includes maintenance charges for the students and non-refundable fee payable to the institution. The existing income ceiling for the award of Post-Matric Scholarships is Rs.2.00 lakh per annum from the year 2011-12. During 2010-11, an amount of Rs.763.13 Crores was incurred to benefit 5,76,943 SC students. From the year 2008-09, applications for scholarships and sanction of scholarships were made online to ensure quick delivery through eZ pay cards, to eliminate corruption and also to ensure transparency by keeping all the information in the public domain. During 2011-12 an amount of Rs.876.62 Crores is provided to 6 lakh students (anticipated). Distribution of House Sites: The income ceiling for allotment of house sites to weaker section families, free of cost, is Rs.20,000/- (Rural) and Rs. 28,000/- (Urban) per annum. Each family is eligible for allotment to an extent of 3 cents of wetland or 5 cents of dry land or 60 sq. yards per family in urban areas towards house sites. In the acquisition programme, land is also allotted for common purposes like internal roads, schools, community halls etc. The allocation of house-sites among various sections of population is as follows: Scheduled Castes - 40% Scheduled Tribes - 10% Backward Classes - 30% Minorities - 10% Other economically poor - 10% During 2010-11, an amount of Rs.60.00 Crores was provided in Budget. Under INDlRAMMA programme, 4,13,764 house sites were provided under phaseI, 4,64,313 house sites were distributed under phase II upto March, 2011 and 2,44,214 house sites have been distributed up to Nov 2011 under Indiramma Programme 3rd Phase. 184

Source: Social Welfare Department

Results: There has been considerable improvement in the results of 10th class in Social Welfare Hostels. During March 2011, 24,296 students appeared for SSC Examinations and 19,813 students passed in the State. The overall pass percentage is 81.60 as against the State average of 83.10. SSC results of students in Social Welfare hostels are shown in Table 8.24.
Table 8.24 SSC Results of Students in SW Hostels
Year Appear ed Passed % of hostel results % of State Aver age 72.41 73.16 71.36 75.47 78.83 81.63 83.10

2005 19299 14478 75.02 2006 23742 18101 76.24 2007 22250 17286 77.69 2008 22072 17728 80.31 2009 24482 20518 83.81 2010 26272 22430 85.37 2011 24296 19813 81.60 Source: Social Welfare Department

Colleges Hostels:

There are 552 college

Andhra Pradesh Scheduled Castes Coop.Finance Corp. Ltd: A.P. Scheduled Castes Cooperative Finance Corporation Ltd. was established in the year 1974 with the following main objectives: To plan, promote and take up Economic assistance programs in the fields of Agriculture, Animal Husbandry, Marketing, Processing, Supply and Storage of Agriculture Products, Small Scale Industry, Cottage Industry, Trade, Business or any other activity which enables the members of Scheduled Castes to earn a better living and helps them to improve their standard of living. To undertake programs of employment oriented Cottage and Small Scale Industries etc., by providing technical know-how, managerial assistance and financial assistance, which may be required to achieve the above objectives. SC Action Plans are prepared keeping in view of the resources, to assist maximum number of poor SC beneficiaries under various Economic Developmental schemes as a part of poverty amelioration. Planning is also done to implement different schemes in coordination with all line departments under convergence, to deliver maximum benefit to the poor SC beneficiaries. During 2010-11, an amount of Rs 1010.52 crores was provided towards financial assistance for the benefit of 6,03,151 SC beneficiaries. During 2011-12, an amount of Rs. 283.93 crores was incurred as expenditure towards financial assistance for the benefit of 2,02,896 SC beneficiaries upto November,2011. Investments: The Corporation since inception (1974 to 2010-11), implemented several economic support programmes for the benefit of 55,66,286 Scheduled Caste families with an outlay of Rs. 5136.21 Crores. The Corporation has adopted model schemes to serve as incentives to the prospective

Scheduled Caste beneficiaries and the District Societies have been allowed to take up any new scheme which is viable and feasible. During the year 2011-12, an amount of Rs.13.00 crores is allocated by Government of India and Rs.5.00 crores is allocated by Government of Andhra Pradesh towards Share Capital. Government of Andhra Pradesh announced loan waiver with interest upto Rs. 1.00 Lakh per beneficiary and all Welfare Corporations shall act as facilitators to obtain institutional finance duly providing Rs. 30,000/- or 50% of the scheme cost whichever is less as subsidy. Special Central Assistance (SCA): Government of India is providing funds under Special Central Assistance to the State Government for taking up schemes for the benefit of Scheduled Castes. The funds made available under Special Central Assistance are being utilized for providing subsidy and for nonrecurring items, like making the schemes really bankable and effective and to provide infrastructure to meet backward and forward linkages at district level. During the year 201112, an amount of Rs. 60.00 Crores is allocated under Special Central Assistance to Special Component Plan. Economic Support Program: Many of the SC families have been assigned agriculture lands but the income derived from such land is very meagre. It is therefore, essential to provide irrigation facilities to these lands to enable the assignees to reap maximum benefit. An emphasis is made to cover these lands by providing irrigation facilities, land development, horticulture and minor Irrigation, energisation etc. in the Action Plan for 2011-12. Initiatives:
Loan Waiver:

Government have issued orders in 2009 waiving margin money, NSFDC and NSKFDC loans with interest of less than Rs.1.00 lakh for Scheduled Castes loanees, who availed these loans and outstanding as on 29-02-2008. An amount of Rs.1176.82 crores of loans of 17,80,842 Scheduled Caste beneficiaries has been waived and made them free from Corporation loans. Enhancement of Subsidy: Subsidy to Scheduled Caste beneficiaries has 185

been enhanced from Rs.10,000/- to Rs.30,000/-. Pavala Vaddi Pavala Vaddi scheme is extended to the beneficiaries of all welfare corporations to promote prompt repayment of bank loans. Per Capita Investment The per capita investment which was Rs. 730/- during 1974-75, has been gradually increased to Rs. 30,300/- in 2010-11 and expected to reach upto Rs. 50,000/- in the current Action Plan of 2011-12 with a view to attain sustainable income to poor SC beneficiaries.

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TRIBAL WELFARE
8.16 Tribal Welfare department was established in 1962 with an objective to assist the tribal population in the field of education, economic development and other programs. The tribal population of Andhra Pradesh according to 2001 Census is 50.24 lakhs constituting about 6.59% of the total population of the State. The Scheduled areas extend over 31,485.34 sq.kms which is about 11% of total area of the State with 5,948 villages distributed in Srikakulam, Adilabad, Vizianagaram, Visakhapatnam, East Godavari, West Godavari, Khammam, Warangal and Mahabubnagar districts. There are 35 ST communities living in the State. Of the 50.24 lakhs tribal population, 30.47 lakhs are found in the above mentioned 9 districts. The remaining tribal population of 19.77 lakhs is distributed in other districts. The General Literacy rate is 60.5 as per 2001 Census, while the ST literacy is 37.04. Government accorded high priority for the accelerated development of tribals by implementing socio economic development programs. Major focus is on Education, Health and Land based schemes.

Achievements during 2011-12

Ashram Schools and Hostels Tribal Welfare Department is maintaining 599 Ashram schools with strength of

1,41,099 ST students. 442 Hostels with a strength of 69,274 and 3,060 Government Primary Schools with a strength of 90,289 and 143 Post-matric hostels with a boarder strength of 22,861 ST students. 81% of students passed SSC exams held in March, 2011. Gurukulam 274 institutions are being run by Gurukulam (APTWREIS) with student strength of 74,434. 90.19% of students in TW Residential Schools passed in SSC public examinations held in March, 2011. Pre Matric Scholarships 5,480 ST students studying in 112 reputed schools under Best Available Schools Scheme are receiving Pre-Matric Scholarships ranging from Rs.8,800/- to Rs.20,000/- per annum per boarder. ST students are sponsored for admission into Hyderabad Public Schools (HPS) to get quality education during this year also. 265 ST students are studying in Hyderabad Public Schools and receiving quality education during this year. Post Matric Scholarships During 2011-12, scholarships sanctioned to ST students incurring an expenditure of Rs. 53.33 cr. upto September, 2011. Economic Support Schemes During the year 2011-12, TRICOR has prepared an action plan with an out lay of Rs.95.33 cr. to benefit 1,29,616 ST beneficiaries under economic support schemes including training and employment generation programs. An amount of Rs.15.86 cr. was spent covering 34,870 ST beneficiaries. Subsidy: Subsidy increased from Rs.10,000/- to Rs.30,000/- from 2009-10 onwards. It will be limited to 50% of the total unit cost or Rs.30,000/- whichever is less. Units costing more than Rs.10.00 lakhs will be assisted by specialized agencies under Industries and Commerce department. Coffee Project: Coffee plantation including pepper was taken up in 7,500 acres and Silver Oak in 13,500 acres in ITDA, Paderu. Tribal Welfare NREGS convergence Special projects sanctioned under MG-NREGS convergence for infrastructure development (Roads, Minor Irrigation structures and Buildings) as well as livelihood strengthening

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(RoFR land development and horticulture) with a total outlay of Rs. 998.93 cr. A special Food Security Project started in Chenchu PTG area in convergence with MGNREGS. 1 lakh acres of Coffee Plantation project and 30,000 ac. of Rubber Plantation projects being implemented exclusively for ST farmers. Recognition of Forest Rights Act, 2006 (RoFR) A total of 3,30,479 claims were received covering 19,66,658 acres, and 1,67,797 certificates of titles were issued covering 14,51,223 acres upto Sep,2011. Girijan Co-operative Corporation The activity wise performance upto September, 2011 is shown in Table 8.25.
Table 8.25 Performance of GCC during 2011-12 (Rs. Lakhs) Achievement Annual Activity Target MFP & AP 2609.67 855.23 procurement Sales of ECs & 19614.50 8833.67 other DRs Credit 274.50 246.22 Disbursement Credit 427.00 83.73 Recovery RMD Sales 424.13 103.59 Total 23,349.80 10,122.44 Source: Tribal Welfare Department

Integrated Action Plan being implemented for infrastructure development in Adilabad and Khammam districts. So far Rs. 27.32 cr. expenditure incurred, 75 works completed and 149 are in progress. Rs.200.00 crs allocation under 13th Finance Commission for safe drinking water supply in inaccessible tribal areas. Land Transfer Regulations: 77,590 cases were detected, 75,204 cases were disposed and 39,840 cases were decided in favour of STs upto Sep, 2011. Panchayat Raj Extension to Scheduled Area Act (PESA) PESA Rules were issued on 24-03-2011. Dr. Y.S.Rajashekar Reddy Study Circle: Study Circle cum PreExamination-training centre was sanctioned by Government in September, 2009 is functioning to cater to the training needs of the educated tribal youth in the State with a sanctioned strength of 100 seats. Tribal Sub Plan (TSP) During the year 2011-12, an amount of Rs.2973.13 crore was allocated towards TSP which is 6.91% in the state plan allocation. In order to implement TSP effectively, Nodal Agency for TSP has identified 26 Key departments for detailed review and monitoring.

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MINORITIES WELFARE
8.17 India is a vast nation with many religious and ways of life. As a secular country, Governments endeavor has always been to ensure carrying its entire population, including the Minorities, on the path of progress. The schemes and policies have been put in place to ensure the upliftment of Minorities under the aegis of the Minorities Finance Corporation. The advancement of Minorities requires attention from several angles. As per 2001 Census, the population of Minorities in our state is around 82.00 lakhs, which constitutes over 11 % of the total population of the State. The population of Minorities is generally urban-based. A large segment of Minority population is living below poverty line. The share of Minorities in different economic

Mini Hydel Projects 3 Mini Hydel Power Projects have been taken up at Vetamamidi, Pinjarikonda and Mitlapalem in ITDA R.C.Varam and East Godavari Districts. The Vetamamidi project has been commissioned and other two projects are at various levels of progress. Infrastructure Out of 77 road works sanctioned under RIDFXIV (NABARD), so far 71 works are completed and remaining are under progress. Special project for strengthening Ashram School infrastructure sanctioned for Khammam district with an outlay of Rs.206.77 crs. In order to curb left wing extremism.

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support schemes has also been very low. The Minorities in general and their women counterparts in particular, have been highly backward, both educationally and economically. The main problems of Minorities and the Governmental intervention are attempted in the following areas: Economic Development; Women Development; Educational Development; Protection and Development of Wakf Properties; Protection and Development of Urdu Language; Social & Cultural Development; and Removing the sense of discrimination. Initiatives: Andhra Pradesh State Minorities Commission: The A.P. State Minorities Commission was constituted in 1979. Subsequently, it was enacted as the A.P. State Minorities Commission Act, 1998. The Minorities Commission is looking into specific issues being faced by Minority Community in the area of social equity and addressing complaints of discrimination. Andhra Pradesh Urdu Academy: The Urdu Academy of Andhra Pradesh was established in the year 1975 for promotion of Urdu Language. The Urdu Academy was provided Grant-in-Aid for the following initiatives during the financial year 2011-12: Preserving/Promotion of Urdu Language; Pre-Matric & Post-Matric Scholarships to Urdu Medium Students. Fees Reimbursement of Urdu Medium Students. Vocational training in Urdu Computer Education by Urdu Academy Generating Awareness about Plan Schemes of Minorities Welfare Department and other Institutions among minorities.

Andhra Pradesh State Minorities Finance Corporation Ltd and A.P. State Christian (Minorities) Finance Corporation Ltd. The Andhra Pradesh State Minorities Finance Corporation Limited was incorporated under the Companies Act, 1956 in the year 1985, to assist the weaker sections of Minorities viz., Muslims, Sikhs, Buddhists and Parsis etc., for their socio economic development through banks for which the corporation provides subsidy component for the schemes viz. i) Economic Assistance for setting up Businesses, Industrial, Service, Agriculture and allied viable activities and Grantin-Aid for welfare Schemes. A separate Corporation viz., Andhra Pradesh State Christian (Minorities) Finance Corporation has been established in 2009 for welfare of weaker sections of Christians. Activities during 2010-11(upto 31-03-2011): Under the Economic Assistance (Bankable) State Government assistable Scheme during the year 2010-11, 1750 beneficiaries were assisted with Subsidy of Rs.262.50 lakhs. During the year 2011-12, an amount of Rs.402.50 lakhs was released towards subsidy to 2684 beneficieries under the bankable scheme. For the Pre and Post Matric scholarships and fee reimbursement 2,62,557 students were provided scholarships of Rs.1891 lakhs during the year 2011-11. Out of which an amount of Rs.99.10 lakhs was utilized to cover the spill over cases of 2009-10, an amount of Rs.12340.00 lakhs was provided for scholarships and fee reimbursement for the spill over cases of 2010-11 from the budget 2011-12. For maintenance of Pre and Post Matric hostels for Minorities, improvement and development of residential schools, the Corporation provided Rs.300 lakhs. An amount of Rs.175.00 lakhs released towards maintenance for the year 2011-12 (upto 3009-2011) For Training and Employment Programme, during the year 2010-11, 364 candidates have been provided training with an expenditure of Rs.30.00 lakhs. An amount of Rs.15.00 lakhs released for providing training to 110 candidates upto 30-09-2011.

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For construction of buildings for hostels and residential schools, the Corporation envisaged to invest Rs.500.00 lakhs for the year 2011-12 with the assistance of Government of India. An amount of Rs.2828.17 lakhs was provided towards Pre-Matric Scholarships to 120138 students under the Post Matric scholarships schemes 13452 students were provided scholarships for Rs.978.11 lakhs. An amount of Rs.338.96 lakhs was released to 1314 students under Meritcum-means based scholarships. The Corporation envisaged to provide Rs.4500.00 lakhs under Pre & Post Matric scholarships and Merit-CumMeans Based scholarships for the year 2011-12.

Andhra Pradesh State Christian (Minorities) Finance Corporation: The Corporation started functioning from 1st March, 2009, at Hyderabad. The main objective of the Corporation is to pay focused attention to the overall development of Christian Community in the State. The following activities have been implemented with the assistance of the Government of Andhra Pradesh: Pre-Matric scholarships Post-Matric scholarships Tuition fee reimbursement Training, Employment and placement Free Coaching for Competitive Examinations Subsidy for bank linked income generation Schemes Christian mass marriages Christian Pilgrimage to Holyland of Jerusalem Financial assistance for construction/ renovation/repairs to churches Financial assistance to Christian hospitals, school buildings, Orphanages, Old age Homes, Community halls-cumyouth and Resource centers and Promotion of Christian culture.

Andhra Pradesh State Wakf Board: Government have sanctioned Rs.74.47 Crores for the Wakf board from 1995-96 to 2010-11, for various schemes like Repairs & Maintenance of Wakf institution, Revolving Funds for Construction of shopping complexes, Grant-in-aid towards payment of legal expenses and repayment of loans, construction and maintenance of Haj House, conduct of marriages of poor Muslim girls, Maintenance assistance to Muslim divorced Families etc. During the year 2011-12, an amount of Rs.150.00 lakhs has been provided to Wakf Board for implementation of the schemes. Centre for Educational Development of Minorities (C.E.D.M.) Centre for Educational Development of Minorities has been implementing an integrated project on Improving the Classroom Performance of school children belonging to Minorities. Under the scheme, the centre provides: Free special coaching to X class Urdu/ Telugu medium minority students at 110 free coaching centres established in 16 districts of Andhra Pradesh and also provides free workbooks, question banks and test papers to Urdu medium coaching and non-coaching students in all districts. Free special coaching is offered to Inter Urdu medium students in city and districts. Counselling and guidance, prepares books, workbooks and question banks for X class Urdu medium coaching centers at Karimnagar, Kadiri and Kosgi. For improving the Minorities candidates in Competitive Examinations, CEDM has been conducting free coaching facility to the Minority candidates in services like SGT, UPT, TTC, CEEP, EAMCET & EDCET. Foundation Course for various competitive examinations, free coaching to job seeking competitive examinations. An amount of Rs.50.00 lakhs has been provided for implementation of the above schemes during 2011-12. Dairatul Maarif-il -Osmania Dairatul Maarif-il-Osmania is one of the leading institutions of India, which carries out research on Arabic works written during the classical and mediaeval era. Each and every work selected goes through the process of careful transcription

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and diligent collation of different manuscripts available by a team of renowned scholars before it goes for printing and publication. The Institution has so far published about 175 works of seminal importance all being welcomed warmly by the world of learning. It has published 7 Books during the year 201011 and 6 Books during 2011-12so far. This Institution has had the privilege of having translated Bhagwad Gita into Arabic language. A.P.State Haj Committee: To perform religious duties, thousands of Muslims of the State proceed to the Kingdom of Saudi Arabia in order to perform Haj. The Haj Committee has been providing all the required facilities to Hajis. An amount of Rs. 80.00 lakhs was provided as Grant-in-Aid to the State Haj Committee during the year 2011-12. Construction of New Haj House: The Government have sanctioned Rs.12.00 Crores for construction of New Haj House near Shamshabad Airport. The A.P. State Wakf Board has been directed to allot 10 acres of land to the Haj Committee for construction of the New Haj House.

youth to make them employable in association with the Industry. Skill Development Training Programmes: The department of Youth Services is organizing skill development training programme in construction related trades through National Academy of Construction under Rajiv Udyoga Sree Programme during 2010-11. Rajiv Udyoga Sree Society released an amount of Rs.1.00 crore for imparting training in the following construction related activities. Masonry Plumbing & Sanitation Electrical & House wiring Painting & Decoration Bar Bending Welding Carpentry General work supervisor Land Surveyor Store Keeper Curtain Making & Tailoring etc. The duration of the training ranges from 2 to 3 months and candidates with minimum educational qualification are identified for the training. The training programme is residential and free food and accommodation is provided to the trainees during the training period. National Academy of Construction is providing uniform and toolkit to the trainees at free of cost and also providing placements after successful completion of the training. The curtain making and tailoring training is designed for women candidates and after completion of the training the candidates were provided sewing machines by National Academy of Construction. The training programme was organized for 2366 candidates in construction related trades and 315 candidates in curtain making and tailoring trade. So far, placement was provided to 1392 candidates. Orientation Classes for the Unemployed Youth: Career orientation classes are conducted all over the State in district Head Quarters/ Revenue Divisional Head Quarters to the unemployed

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YOUTH SERVICES
8.18 Making optimum use of the demographic dividend through Skill Development for the youth is identified as the core agenda for the 12th Plan. Youth Welfare schemes are implemented in accordance with the aspirations and needs of the youth. The schemes are categorized as a) providing self employment to the unemployed youth, b) training to provide employment and c) other participatory programmes. Rajiv Yuvasakthi Programme is implemented to provide financial assistance, to create self employment opportunities to the eligible unemployed youth to establish Self Employment units in Industry, Service and Business Sectors. Suitable Training programes are designed and implemented as per the market demand and needs of the

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class/ Inter youth who posses 10th /Degree/ P.G. qualifications so as to give them counseling for personality development and to build confidence to face interview either in public or corporate sectors. Rajiv Yuvashakthi Programme: Rajiv Yuvashakthi, an employment generation programme was taken up by the State Government of for the benefit of unemployed youth. During the year 2011-12, the programme is taken up to assist 7667 beneficiaries with an outlay of Rs.53.66 crores, out of which Rs.23 crores is subsidy and Rs.30.66 crores are bank loan.. The assistance is in the form of subsidy @50% of the unit cost subject to a maximum of Rs.30,000 per unit and rest is the bank loan. Sanctions have been accorded to 5911 units with a subsidy of Rs.16.02 crores, Bank loan of Rs.36.60 crores and project cost is of Rs.52.62 crores. 1130 units are grounded upto December,2011 with a subsidy of Rs.3.23 crores and Bank loan of Rs.7.22 crores and project cost of Rs.10.45 crores. Achievements under Rajiv Yuvashakthi Programme are given in Annexure 8.10

services to ensure clean and comfortable cities and towns. The pioneering effort of the State Housing Corporation Limited (APSHCL) in motivating and educating beneficiaries and introducing the concept of Self-Help and Mutual-Help has succeeded not only in creating awareness among the beneficiaries to drive away from exploitation by middlemen and in reducing the cost of construction by adoption of cost-effective and eco-friendly technologies, but also helped in capacity building and utilization of human resources among rural and urban poor. The introduction of beneficiaries melas and preconstruction orientation programs helped immensely in increasing the willing participation of the beneficiaries. To meet the demand of building materials and also to minimize the cost of construction, APSHCL is encouraging the production and usage of cost effective and eco friendly materials by the beneficiaries. 89 Nirmithi Kendras/ Sub Nirmithi Kendras were established all over the State for spreading the use of such materials and technologies. So far, about Rs.400.52 crores worth of building components such as sand cement blocks, fal-G Blocks, pre-cast door & window frames, cement Jallies, RCC rafters etc., have been produced and utilized for the housing program taken up by the corporation. Weaker Section Housing Program Under Weaker Section Housing Program, since inception till the end of 31st March 2011, 1,00,57,318 houses have been completed comprising of 92,42,451 in rural areas and 8,14,867 in urban areas. During the year 201112 (upto September, 2011), 2,21,972 houses have been completed, of which 2,06,492 are in rural areas and 15,480 are in urban areas. Year wise achievements are given in Annexure 8.11. Rajiv Swagruha Government launched a housing programme viz, Rajiv Swagruha in 2007 for providing affordable housing to the moderate income group for implementation in all the municipalities and municipal corporations in the State. The main object of Rajiv Swagruha programme is to make available the houses / flats to the moderate income group at cost 25% less than the 191

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HOUSING
8.19 Andhra Pradesh has been the pioneer in implementing Housing for all duly aiming at the objectives of National housing policy of Shelter for all and committed to making Housing for all a reality. Key principles followed in implementing the housing program are: Providing affordable housing with adequate amenities and healthy environment for economically weaker sections. Facilitating access to affordable housing for the lower income groups both in rural and urban areas. Complementing construction of housing with provision of basic

prevailing market rate with best quality of construction and other infrastructure facilities. Salient features of the Scheme: Demand driven Self-financed Scheme No Subsidy No budgetary support by the Government. Demand survey conducted in March April 2007 got a total of 1.76 lakhs applications. The net demand arrived at 1,74,748. It was targeted to ground these houses / flats. Government established a special purpose vehicle namely A.P. Rajiv Swagruha Corporation Limited for implementing the scheme. Type of Houses / Flats Multi-storied constructions are taken up in the municipal corporations and independent houses in other municipalities while developing Integrated Townships. Pattern of constructions are G+5 to G+20 and Independent. Townships grounded / progress: The construction of townships at 24 project sites in the State is under progress covering 46,833 units with project cost of Rs.8,351 Crores. It is programmed to take up these houses in phases. In the first phase, construction of 16,684 units with a project cost of Rs.2,858 Crores has been taken up. Out of 24 projects, the construction of Aarambh Township at Chandanagar, RR district with total 1140 Flats (900-double bed room, 240-single bed room) has been completed. Allottees started living in the township. Out of 3500 Flats in Sahabhavana Township at Bandlaguda, Ranga Reddy District, in the 1st phase, 1000 Flats; and in Sadbhavana Township at Pocharam, Ranga Reddy District, out of 2607 Flats, 534 Flats were completed.

Delivery of adequate, safe and potable drinking water to all rural people. Safe water to fluoride, brackish and other polluted habitations. Upgradation of all habitations to fully covered status. Special focus on sustainability of sources/ schemes Proper sanitation facilities to all habitations. The funds for implementing schemes/works meant for providing drinking water facilities and sanitation facilities to the habitations are allocated under various programmes of State and Central Government such as NRDWP, DDP, TFC, Rajiv Pallebata and other external agencies as well. Funds are being tapped in the form of loans from NABARD, HUDCO & World Bank also. Achievements During the year 2010-11, 6971 habitations are covered by spending an amount of Rs. 790.03 Crore. RWS Infrastructure created There are 3,35,895 Hand pumps, 53,215 PWS Schemes and 521 CPWS Schemes (including SSP Schemes) existing as on 01.04.2011. RWS ongoing programme 2011-12 During the year 2011-12, 6440 (6090+350) works are taken up with a cost of Rs. 2874.22 crore to cover 16,347 habitations. Upto November, 2011, Rs. 514.72 Crore was spent covering 1414 habitations. The balance works are in progress. World Bank Assistance Programme It is proposed to provide drinking water facilities in quality affected, not covered and partially covered habitations with World Bank Assistance. Under batch-I, it is proposed to cover 712 habitations in Visakhapatnam, Prakasam, Kadapa, Mahabubnagar, Karimnagar and Adilabad districts during 2011-12 and an amount of Rs. 200.00 crore is allocated for 2011-12. Total Sanitation Campaign (TSC) The TSC Projects are sanctioned in 22 districts in the State in a phased manner from 1999-2000 to 2006 by Government of India with matching share from State Government beneficiaries and panchayats. The Programme is sanctioned with a target of 66,36,229 Individual Sanitary Latrines 192

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RURAL WATER SUPPLY(RWS)
8.20 The Government is determined to solve the drinking water problem in rural areas with the following objectives:

People Managed Environmental Sanitation (PMES)

A community led Sanitation approach Programme has been taken up in about 2200 Gram Panchayats (about 100 habitations in each district) across 22 districts with the involvement of communities. Trained VLFs (Village Level Facilitators) formed into teams organized triggering activity and other related activity to prepare PMES plans (sanitation plans). This exercise has generated a huge interest in sanitation in rural areas. Sarpanches, selected ward members and selected stake holders from these villages are being involved in an unique exercise called Village Immersion Exercise for a period of one week to make them convergent with the complexes of the problems and find out solutions to such problems on their own. Assembly Constituency is taken as a unit and the focus is on the village. In this strategy a four pronged approach i.e., replication process convergence of line departments institutionalization in Panchayat Raj Institutions and Social Marketing for behavioral change through IEC and capacity building is adopted. Mandal Resource Coordinators will be placed to provide continuous support to GPs/VWSCs/local communities. Availability of materials i.e., ISLs Kit at door steps of the beneficiaries through Rural Sanitary Marts (RSMs) by re-establishing Rural Sanitary Marts duly identifying appropriate SHGs for running RSMs and procuring the materials is ensured. A programme called Swachachatha Utsav has been carried out at GP level in the state as per the directions of GOI for a period of 45 days duly involving all stakeholders and officials of line departments. UNICEF has extended helping hand by allocating NGOs to 16 districts to coordinate the programme.

have taken up massive programme by providing matching share for the amounts released by the Government of India. During 2011-12 (upto Dec,11), 2,29,312 Individual Sanitary Latrines, 3252 School toilets and 683 Anganwadi toilets have been constructed as against the targeted 9,28,026 Individual Sanitary Latrines, 15,138 school toilets and 3,265 Anganwadi toilets.

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PUBLIC HEALTH AND MUNICIPAL ENGINEERING
8.21 An independent department of Public Health and Municipal Engineering and a separate service called Public Health and Municipal Engineering Service were constituted in June 1960. Urban Water Supply and Sanitation The Department is incharge of Investigation, Design, preparation of estimates and plans and execution of Water Supply and Sewerage Schemes in all the 108 Municipalities and 13 Municipal Corporations (excluding Greater Hyderabad Municipal Corporation Vijayawada Municipal Corporation and Greater Visakhapatnam Municipal corporation). Water Supply Improvements Schemes are being taken up in Urban Local bodies from time to time to improve per capita water supply on par with National Standards. In addition to the above, the technical control over all Engineering Works in the Municipalities and 12 Municipal Corporations is done by Engineer-in-Chief (PH). The operation and maintenance of Water Supply & Sewerage Schemes is being attended by the respective Municipalities and Municipal Corporations. Status of Water Supply: As per the standards stipulated in Central Public Health Engineering Environmental Organization (CPHEEO) manual, the rate of drinking water supply to be maintained is as follows: Town with Under Ground Drainage - 135 lpcd Town without Under Ground Drainage 70 lpcd The State Government is giving top priority to provide protected drinking water to all urban local bodies by strengthening the existing infrastructure and service levels. During the 193

(ISLs) to be constructed in rural areas for BPL families, 1,15,908 School toilets and 14,990 Anganwadi toilets; against which, 41,77,994 ISLs, 99,065 School toilets, and 5,553 Anganwadi toilets have been constructed up to March, 2010. During the year 2010-11, 6,56,048 ISLs(BPL), 3,961 School toilets, and 816 Anganwadi toilets have been constructed. TSC Ongoing Programme during 201112: Total Sanitation Campaign (TSC) emphasizes more on Information, Education and Communication (IEC), human resources development, and capacity development activities to increase awareness and demand generation for sanitation facilities. State Government

period 2007 to 2011, 43 water supply schemes with an estimated cost of Rs.919.63 Crores were completed adding 370.44 MLD of water, raising the installed capacity from 1,229.24 MLD to 1599.68 MLD and thereby the average water supply was raised from 63 LPCD to 85 LPCD. By the end of terminal year of 11th Five year plan, 56 water supply schemes are programmed for completion and commissioning under Plan, UIDSSMT and HUDCO grants, duly adding 610.87 MLD of water at a cost of Rs.1953.72, Crores. 30 projects costing Rs.387.87 Crores under Integrated Housing Slum Development Project are aimed to complete to develop urban slums, 14 projects costing Rs.404.55 Crores are aimed to complete under Storm Water Drainage Sector. After completing and commissioning of the above Water Supply Schemes by the end of 11th Five Year Plan, the Water Supply position will be raised to 100 LPCD. The normal daily water supplies in various Urban Local Bodies are varying from 65 LPCD to 100 LPCD and water supply is regulated as detailed below. Daily 85 Alternate Days 30 Once in three days 06 Out of the existing 44,522 bore wells (Power and Hand bores) in 121 urban local bodies, 42,811 bore wells are functioning. At Present, 465 tankers are making 3,485 trips per day to un-served areas in 121 Urban Local Bodies.

Development Scheme for Small and Medium Towns) is a component of JNNURM Programme launched with an aim to provide Urban Infrastructure in the Sector of Water Supply, Under Ground Drainage, Storm Water Drains, Solid Waste Management and Transportation in Non-mission Urban local bodies (ULBs) in a planned manner. The scheme applies to all ULBs in A.P. excluding mission Cities i.e., Hyderabad, Vijayawada and Visakhapatnam. The funding pattern is in the ratio of 80:10:10 between Government of India, Government of Andhra Pradesh and ULB. Schemes under Implementation: 1. UIDSSMT (Urban Infrastructure Development Scheme for Small and Medium Towns). 2. IHSDP Integrated Housing and Slum Development Programme. UIDSSMT GRANT: Upto Sep.2011, 103 projects costing Rs.3702.67 Crore were cleared in various SLSCs covering 80 ULBs. The Funding Pattern is 80 % and 10 % grant by Central Government and State Government respectively and the balance 10% and inadmissible component could be raised by the ULB/ nodal/ implementing agencies from the financial institutions. In our state, the ULB share is being borne by the State Government. Out of the 103 projects sanctioned, 71 are under water sector costing Rs.2396.46 Crores, 13 are under sewerage sector costing Rs.770.79 Crores, 14 are under storm water costing Rs.404.55 Crores, 4 are under roads costing Rs.127.00 Crores and 1 under Solid Waste costing Rs.3.87 Crores. Out of 103 projects, GOI has released funds in respect of only 84 Projects. Out of these103 projects, 29 Projects of water supply and 4 Projects of Storm Water Drinage and 2 projects of road are completed and the remaining projects are in progress. IHSDP Grant: 30 projects costing Rs.409.86 Crores have been sanctioned covering 30 ULBs The funding pattern is 80:10:10 between Central Government, State Government and ULB. An amount of Rs.267.27 Crores have been 194

Jawaharlal Nehru National Urban Renewal Mission (JNNURM): Government of India has launched the JNNURM in the year 2005-06 with a budgetary provision of Rs.50,000 Crore for a period of seven years. The mission will initially cover about 60 cities and provide grant assistance to them for specified activities. UIDSSMT (Urban Infrastructure

released towards Central and State share. All the projects are under progress which are targeted to be completed by March, 2012. HUDCO Grant: 15 schemes are under progress with HUDCO loan (14 WS & 1 UGD) at a cost of Rs.567.63 Crores. Out of these, 3 water supply schemes and 1 UGD are completed and remaining schemes are in progress. Plan Grant: 19 Projects are taken up with Plan grants (16 Water supply, 1 Under ground drainage, 1 Storm water drainage, 1 Traffic and Transportation) at a cost of Rs.288.54 Crores with an MLD of 56.05. Out of these, 8 water supply schemes are completed and the remaining schemes are in progress. By March 2012, 36 water supply schemes costing Rs.1444.92 crores under UIDSSMT, 11 water supply schemes costing Rs.437.63 crores under HUDCO and 8 water supply schemes costing Rs.62.98 crores are targeted to be completed, duly adding 601.87 MLD. By completing all the above said schemes, the installed capacity will be raised from 1599.68 MLD to 2210.55 MLD and thereby the average water supply will be raised from 85 LPCD to 100 LPCD. Under Ground Drainage Schemes: Presently only one town, Tirupathi is fully covered with under ground drainage system in the ongoing schemes. Eluru, Rajamundry, Guntur, Nellore Tenali and Tadipatri are covered about 10% to 20%. Works of under ground drainage system are in progress at Pulivendula town. UIDSSMT- Under Ground Drainage: Three Under Ground Drainage schemes to Muncipal Corporations are sanctioned at an estimated cost of Rs.243.11 Crores by Government of India for Karimnagar, Kadapa and Nizambad and works are awarded to agencies and works are under progress. Another three under ground drainage schemes, other than Municipal Corporations, are sanctioned at an

estimated amount of Rs.133.30 Crores by GOI for Nalgonda, Miryalaguda and Narsaraopet Municipalities and works are under progress. Another six under ground drainage schemes are sanctioned at an estimated cost of Rs.249.45 Crores for which GOI releases are awaited for 1.Tirupathi 2.Proddutur 3.Yemmiganur 4.Nandyal 5.Tadepalligudem and 6.Nagari ETP. By June, 2012, 12 UGD schemes costing Rs.625.86 crores under UIDSSMT and 1 UGD scheme costing Rs.78.38 cr under plan are targeted to be completed by March, 2012.

MUNICIPAL ADMINISTRATION
Urban Sanitation Door to Door Garbage Collection: 8.22 There are 150 Urban Local Bodies i.e., 16 Corporations, 108 Municipalities and 26 Nagarapanchayaths in the State (26 Municipalities/Nagarapanchayaths are newly constituted). The total garbage generation in 123 ULBs (except GHMC and 26 newly constituted ULBs) 8701 MTD and garbage lifted is 8350 MTD (95%). About 95% of the 32,50,857 households in these ULBs were covered. The length of drain cleaned is 21,390.01kms against total drain length of 23,448.64 kms. The length of road swept is 19, 375 kms as against the total roads of 20,550 kms length (94%). Municipal Solid Waste Management The 12th Finance Commission has recommended an allocation of Rs.374.00 crores to the State during the years 2005-10. The Government of Andhra Pradesh have taken a decision to utilize the entire amount for implementation of Solid Waste Management in the ULBs and an amount of Rs. 374.58 crores (including interest amount Rs.58.00 lakhs) was released to the ULBs so far and same have been utilised by the ULBs. The TFC amount is utilised for procurement of vehicles for primary collection, transportation, development of compost yards, construction of sheds and development of infrastructure facilities in compost yards. The emphasis is mainly on aquisition of land for compost yards where there is no land available for processing and disposal of waste. The Government have decided to utilize the TFC grants for aquisition of land for the purporse of compost yard in the State on need basis. 195

The following is the status of availability of land in the ULBs. No. of ULBs having no land -6 No. of ULBs having partial land -95 (below 10 acres) No. of ULBs having adequate land- 22 (more than 15 acres) Instructions were already issued to the Municipal Commissioners to purchase land where no/ inadequate land is available for composting as per norms. Waste to Energy Projects: All Urban Local Bodies are grouped into 19 clusters for management of Municipal Solid Waste in Urban Local Bodies. Approvals have been accorded to 5 Waste to Energy Projects covering 67 ULBs in 9 clusters. 5 projects have been permitted to utilize waste generated in 67 ULBs. In one project operations were started has started processing of waste and power generation and remaining projects are in different stages of completion. Rajiv Nagara Bata Programme The Government of Andhra Pradesh have launched an innovative programme called Rajiv Nagara Bata Programme (RNBP) in January, 2005 in all the Urban Local Bodies with the following objectives: Provision of adequate water, drainage system, street lighting, roads etc., with an emphasis on basic infrastructure in areas inhabited by the poor people. Providing houses to eligible houseless under permanent Housing / VAMBAY Schemes. Providing minimum infrastructure in community and religious institutions like temples mosques, churches etc., Creating sufficient employment opportunities through building of required skills. Under the programme, 340 assurances have come up with a cost of Rs.2010 crores and 281 assurances are redressed

with an amount of Rs.376 crores and 55 assurances are under Progress with an amount of Rs.1634 crores and remaining 4 assurances are under process with an amount of Rs.92.00 Lakhs. INDIRAMMA Programme The State Government have announced a scheme for Integrated Novel Development in Rural Areas and Model Municipal Areas called INDIRAMMA. The scheme is aimed to develop all the wards in the Municipal Area over a period of three years by saturating them with identified basic infrastructure facilities and welfare measures in a focused and time bound manner. Government have notified 1214 wards in the 1st phase, 1430 wards in the 2nd phase and 1281 wards are covered under 3rd phase. Pensions under Indiramma Programme The old age, widow, weaver and disabled persons are assisted by way of pensions. In 1st Phase 1,58,926 pensioners, in 2nd Phase 2,12,635 pensioners and in the 3rd phase 1,99,778 pensioners have been assisted under INDIRAMMA programme. In three phases, 5,71,339 pensions were given. 13th Finance Commission Grants: The XIII Finance Commission (2010-2015) divided grants to the Urban Local Bodies into two components General Basic Grant and General Performance Grant. The Basic Grants can be accessed by all States as per the criteria laid down by the Commission. But the Performance Grant can be accessed only by those states which comply with the following 9 Urban Reform conditions stipulated by the XIII Finance Commission: 1. introduction of a supplement to budget documents on ULBs & implementation of NMAM Compliant Double Entry Accrual Based Accounting System in all the Urban Local Bodies. 2. putting in place audit system in all local bodies 3. establishment of an independent Local Body Ombudsman System 4. electronic transfer of XIII FC grants to ULBs in 5 days 5. prescribing qualifications to SFC members through an Act

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6. empowering the ULBs to levy property tax without hindrance and necessary amendments to the Municipal Acts. 7. constitution of State Property Tax Board. 8. putting in place Service Level Benchmarks for delivery of essential civic services in all the Urban Local Bodies. 9. putting in place Fire-hazard Response and Mitigation Plan for Million Plus Cities. Fulfilment of 9 Conditions: All the above 9 Urban Reform Conditions, that have been stipulated by the XIII Finance Commission, have been successfully fulfilled by the State government by March 31st 2011, and as a result, the State is now eligible to draw its share of performance Grant from F.Y.2011-12 onwards under XIII Finance Commission. XIII Finance Commission Admissible Components: The State Government (MA&UD) keeping in the spirit of the XIII FC Report, has issued separate guidelines for utilization of XIII FC Grants by Urban Local Bodies. As per the orders issued the following are the admissible components under which the XIII FC Grant is being utilized by the Urban Local Bodies for improvement of Urban Services: Solid Waste Management on PPP Mode Town Wide Sullage Drains Service Level Benchmarking Double Entry Accrual Based Accounting System Gaps in Water Supply Lines Replacement of old water pumpsets Improvement of Drinking water Supply In case of ULBs having comprehensive sewerage schemes, gaps in sewer schemes. Street Lighting.

Preparation of Fire Hazard response and Mitigation Plan for Million Plus cities. Under XIII Finance Commiission Rs.456.69 crores allocated and 288.35 crores were released for 2010-11 and 2011-12 for the 123 local bodies in the state. Mission for Elimination of Poverty in Municipal Areas (MEPMA) Indira Kranthi Patham - Urban Main objective of MEPMA is to organize the poor women into SHGs by covering all families living in the slums and enable them to become self managed and self reliant. There are 26,29,010 lakh members in 2,62,901 lakh Women Self Help Groups. A total of 7,688 Slum Level Federations and 105 Town Level Federations have come into existence up to Dec, 2011. 1,27,420 lakh persons with disabilities (PWDs) are also organized into 11,260 exclusive SHGs, 137 Town Vikalangula Samakyas (TVSs) and 118 Parents Associations of Persons with Mental Rehabilitation (PAPWMRs) formed in the State. Rajiv Yuva Kiranalu skill Training for Employment Promotion among Urban Poor (STEP-UP): The component of SJSRY-STEP-UP., MEPMA is taking up placement linked skill development trainings. As a part of the programme, proposes to take up placement linked skill trainings for improving the employability skills and linking them to the fast growing private and service sector. The STEP-UP target for 2011-12 is 100000 and so far the achievement under STEPUP has been 39867. The entire placements details with Employer Name and remuneration is placed on web www.apmepma. gov.in. Urban Self Employment Programme: This programme focuses on providing assistance to individual urban poor beneficiaries for setting up gainful self employment ventures microenterprises. Under this programme, the target for the year 2011-12 is 10,000, and 5418 USEP units have been sanctioned till Dec, 2011. SHGS Bank Linkage: SHGs-Bank Linkage programme has now made MEPMA one of the premier players in micro financing segment in the state. During 2011-12(upto Dec,11), more than Rs1070 crores bank linkage was provided to 49,197 groups. 197

Pavala Vaddi (Interest Subsidy): Under the scheme of Pavala Vaadi, the eligible SHGs are given interest subsidy following good repayment track record. The objective of providing interest subsidy on the loans taken by the Self Help Groups is to reduce the burden on the member and encourage them for repaying promptly. An amount of Rs 223.87 crores have been received from the State Government towards Pavalavaadi requirements, out of which Rs 219.03 crores have been released from the head office, MEPMA, to DPMUs and 3 Mission cities and more than Rs.191.56 crores have been credited to 3,91,809 SHG accounts. DR.Y.S.R. Abhaya Hastham(Pensioncum-InsuranceScheme) : This is a cocontributory pension cum insurance scheme visualized by the State Government for the benefit of SHG women over and above age group of 18 years in urban to provide social security after attaining the age of 60 years. The enrolment of the SHG members under this scheme up to Nocvember, 2011 is 2,28.014 among them 17,058 women who have crossed the age of 60 years are getting monthly pension of Rs 500 every month. Janasri Bhima Yojana (JBY): This programme was launched during the month of Oct, 2010 for uncovered SHG members in YSR Abhayahastam. Under this programme, 1,55,834 were enrolled by covering SHG Members, Rickshaw Pullers, Domestic Workers and selfemployed differently abled persons in a phased manner up to Dec,2011. Under JBY, for the year 2011-12 (up to Dec,2011) 34,308 students have been awarded scholarships. Street Vendors : As part of the National policy, the strengthening and sustainability of the livelihoods of the Street Vendors (SVs) has been proposed to be implemented in all ULBs in the State. 1,24,774 Street Vendors profiled. Rickshaw Bandhu: The long-term objective of this intervention is to enable and empower the Rickshaw pullers and

their families to improve their quality of life in urban area through their associations in urban areas. 10,807 were profiled under this intervention up to Dec, 2011. Rajiv Awas Yojana (RAY): The Government has announced a new scheme called Rajiv Awas Yojana (RAY) for the slum dwellers and the urban poor. This scheme aims at providing central support to States that are willing to assign property rights to slum dwellers. MEPMA is the Nodal Agency to create a Slum-free Andhra Pradesh through implementation of RAY. Draft Andhra Pradesh Property Rights to Slum Dwellers Act, 2011 prepared. Slum profiling is completed in all 125 ULBs in the state. Phasing of cities completed (1st Phase: 28 ULBs, 2nd Phase: 60 remaining in 3rd Phase). GIS based slum mapping commenced in 22 ULBs. Socio economic household survey started in 34 ULBs, completed in 14 ULBs and under progress in 20 ULBs. AP Slum-Free-State Plan of Action prepared for 25 ULBs with an estimated cost of Rs.4,824.35 Crores for 1st year and Rs.24,567.63 crores for 5 years is submitted to GoI.

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HYDERABAD METROPOLITAN DEVLOPMENT AUTHORITY (HMDA)
8.23 The Hyderabad Metropolitan Development Authority (HMDA) was constituted on 24.8.2008 (previously known as HUDA) for the purpose of planning, co-ordination, supervising, promoting and securing planned development of the Hyderabad Metropolitan Region. The important development programmes implemented are: 1. P.V.Narasimha Rao Elevated Expressway: The Project has been taken up on EPC method to provide express connectivity to the International Airport at Shamshabad. The main elevated corridor of 11.60 Kms, underpass at Aramgarh junction on NH-7, is completed. Intermediate

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ramps works are in progress and lilkely to be completed by December, 2012. The total estimated cost of the project is Rs.600.00 crores. The flyover was thrown open to public during the year 2009. 2.Flyover at Lunger House Junction: To tackle the heavy traffic congestion at Lunger House Junction on HyderabadChevella Road, a flyover is constructed, with a length of 750 meters and width of 15 meters. The total cost of the project is Rs.17 crores. The flyover was thrown open to public during February, 2010. 3. ROB on Spinal Road at Kukatpally: The Spinal Road connecting NH-9 to Madhapur area is completed by HMDA. The construction of ROB on spinal road at Kukatpally near MMTS station is taken up as a 4-lane divided carriageway with 910 mts length and 21.5 mts width at an estimated amount of Rs. 47.79 Crores. 95% works are completed in non-railway portion and the work in railway portion is in progress. The revised date of completion is 30.06.2012. 4. Flyover at Hitech City Junction: The construction of flyover at Hitech City junction is taken up to decongest the traffic and to avoid conflict at the junction on the Spinal road from Kukatapally to Hitech City, at an estimated cost of Rs.26.00 crores. It is a 4 lane carriageway with a length of 705 meters and width of 15 meters. The flyover was thrown open to public during October, 2010. Hussain Sagar Lake and Catchment Area Improvement Project funded by Japan International Cooperation Agency The Project covers aspects of improvement of lake water quality by preventing pollutants entering into the lake, catchment area improvement and construction of additional STP, upgradation of existing STP, dredging the contaminated sediments of the lake bed and increasing the eco-tourism potentiality. The project cost is Rs. 370 Crores, of which JICA is funding Rs. 310 Crores as a soft loan. The Government of India and

JBIC have entered into an agreement on 31-32006 for Rs. 310 Crores for Hussain Sagar Lake and Catchment Area Improvement Project. The Project period is 2006-12. Project Progress: Project Management were appointed Consultants for preparation of DPRs and construction and supervision of the Project. The works of construction of 30 Mld STP at Picket Nala, 5 Mld STP at RangadhamuniCheruvu, upgradation of 20 Mld STP at Balkapur Nala are in progress. The shoreline improvement activity under Shore Area Development is in progress. I&D works at Picket Nalla, Balkapur Nalla, Fatehnagar, Prakash Nagar and Necklace road at Kukatpally Nalla are nearing completion. The works of 1600mm dia RCC Ring Main from Kukatpally Nala at Necklace road to Buddha Bhavan, 1600mm RCC Pipe Jacking at Boats Club, Trunk Main and diversion weir at Rangadhamuni Lake (IDL), 1400mm RCC Bala Nagar Main are in progress. The Installation of Aeration Equipment works are in progress. Outer Ring Road Project (ORR): Government of Andhra Pradesh have taken up major infrastructure facilities in Hyderabad city and one among them is construction of Outer Ring Road. The 158 Km long ORR passes through Patancheru (on NH-9) Kandlakoi near Medchal (on NH-4) Shamirpet (on Rajiv Rahadari) Ghatkesar (on NH-202) Pedda Amberpet (on NH-9) Shamshabad (on NH-7) Patancheru (on NH-9) providing connectivity to various National Highways, State Highways and MDRs. The ORR is being taken up as an eight lane access controlled expressway with a design speed of 120 KMPH. In addition, 2-lane service roads on either side are being provided. The entire project is being implemented in 3 phases. Phase-I- From Gachibowli to Shamshabad-24.38 Km works are taken up in contract packages at an estimated cost of Rs.699 crores and works commenced in July 2006. 4-lane of ORR was completed and the stretch opened for traffic during November, 2008. 8- lane ORR was opened to traffic in July 2010. The phase-I works including service roads, flyover at Gachibowli 199

and other miscellaneous works were completed. Phase-IIA: From Narsingi to Patancheru and Shamshabad to Pedda Amberpet of length 62.30Km is divided into 5 contract packages. These works (with an estimated cost of Rs. 2439 Crores) are taken up on BOT (Annuity) basis. Works are commenced in December, 2007. Three packages i.e., AP-3, AP-4 and AP-5 from Pedda Amberpet to Bongulur, Bongulur to Tukkuguda and Tukkuguda to Shamshabad respectively have been completed and opened to traffic from 01.03.2011. Two packages AP-1 and AP-2 from Narsingi to Kollur and Kollur to Patancheru opened to traffic on 18.08.2011. Phase-IIB: From Patancheru to Pedda Amberpet via Kandlakoi, Shamirpet, Ghatkesar of length 71.30 Km is divided into 6 contract packages. The estimated cost is Rs.3,558 Crores and are being taken up with the loan assistance of JICA. The 3 Packages works from Patancheru to Shamirpet were commenced in June, 2009 and to be completed by December, 2011. The 3 packages works from Shamirpet to Pedda Amberpet were commenced in June, 2010 and programmed to be completed by December, 2012. Hyderabad Metro Rail Project: With the approval of Government of India, the State Government have undertaken development of the Hyderabad Metro Rail project to address the increasing traffic congestion and pollution levels in Hyderabad city. Spanning over 71 km, it is the worlds largest Metro Rail project being executed in public private partnership (PPP) mode. It covers three high density traffic corridors in Hyderabad city: 1. Miyapur-LB Nagar (28.87 km); 2.Secunderabad-Falaknuma (14.78 km); and 3.Nagole-Shilparamam (27.51 km). Out of the total cost of Rs 14,132 crore for this elevated Metro Rail system, Rs 1,458 crore is being given as central assistance by GoI under the VGF scheme. The remaining Rs 12,674 crore is being raised by the Concessionaire M/s. L&T

(M/s.L&TMRHL) and Financial Closure for the Project was achieved within a record period of six months. Another Rs 1,980 crore is being spent by GoAP for acquisition of 208 acres of private land, shifting of utilities, creation of Right of Way (RoW) through road widening, R&R, pedestrian facilities, etc. Apart from addressing the traffic problems, the project aims at rejuvenating the older parts of the city and redesigning Hyderabad city as a people friendly green city and to make it a major destination for global business and investment. On the whole, the project envisages direct investments to a tune of about Rs 20,000 crore (project cost; property development component; and expenditure being incurred by GoAP) and substantial spin off of investments, which will be triggered by the Project. It is one of the largest investments in the State with a potential to create about 50,000 jobs and many ancilliary industries in Hyderabad and in the surrounding districts.

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RURAL DEVELOPMENT
8.24 The Commissionerate of Rural Development is implementing the Rural Development programmes viz., Watershed Development programme, Self Help Groups and related programmes and Mahatma Gandhi National Rural Employment Guarantee Scheme. The Rural Population of Andhra Pradesh is 563.12 Lakhs as per 2011(P) census consisting of 66.51% of total population. With proper planning, scientific approach and efficient management it is possible to increase the productivity of degraded lands, while creating huge employment opportunities for the poor. It is now firmly believed that the development of degraded lands is an important input required for eradication of poverty. Towards this direction, Watersheds development programmes (DPAP, DDP, IWDP, IWMP), Comprehensive Land Development Programmes (Indira prabha under RIDF IX, X, XIII, XV) and Wage Employment Programmes (MGNREGSAP) are being implemented in the state. All the 3 programmes are being implemented and monitored through the software solution RAGAS ((Rashtra Grameena Abhivridhi Samacharam). The entire data is every day uploaded into central

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server and the reports are visible in respective websites, thus bringing in transparency and accountability in these programmes. Watershed Development Programmes: Watershed programmes are concentrated only in rainfed areas which have undulating terrain and are prone for degradation of soil (soil erosion). These areas are generally characterized by very poor groundwater profile. The programme envisages demarking 500 hectare area as a micro watershed. The watershed so delineated is treated for conservation of soil and moisture by following ridge to valley approach. A series of structures like sunken pits, rockfill dams, percolation tanks, check dams, farm ponds, earthen bunding, vegetative barriers, plantations etc., are constructed to reduce the velocity of water and allow percolation. They also control soil erosion and improve vegetative cover on the land so as to augment productivity. The progress of watersheds is shown in Table 8.26.
Table 8.26 Progress of Watersheds Scheme DPAP DDP IWDP IWMP Others
(EAS, APRLP, APHM)

Ground Water Recharge, Improvement of vegetation and Bio-mass, Wasteland Development etc., are the main components of Watershed Development programmes. Apart from these activities, promotion of watershed based livelihoods for the resource poor is also included as one important component since 2004, after the Andhra Pradesh Rural livelihoods Project supported by DFID provided the necessary learnings on providing sustainable livelihoods to the rural poor. In 2008, GOI have issued new common guidelines for Watershed Development Projects bringing all schemes under one umbrella and providing for cluster approach wherein, contiguous areas upto 5,000 ha. will be taken up for treatment. So far, 9,582 watersheds covering an area of 46.50 lakh ha. is taken up for watershed development. 4,741 watersheds with an area of 23.70 lakhs are completed. Presently the following schemes are under implementation. I. Drought Prone Area Programme (DPAP/DDP) It is a centrally sponsored scheme funded by Central and State on 50:50 basis upto IVth batch i.e., 1998-99 and on 75:25 cost sharing basis from 1999-2000 onwards. It is aimed at developing the drought prone areas with an objective of drought proofing by taking up soil and moisture conservation, water harvesting structures, afforestation and horticulture programmes on a comprehensive micro watershed basis. DPAP scheme is being implemented in 94 DPAP Blocks of 11 districts and Desert Development Programme (DDP) is being implemented in the 16 Blocks of Ananthapur district since 1995-96. The achievements are shown in Table 8.27.
Table 8.27 Achievements under DPAP/ DDP
2010-11

Sanctioned

Completed

4,242 1,054 1,499 281 2,506

1,608 206 421 2,506

(No.) Ongoing 2,634 848 1,078 281 0

Total

9,582 4,741 4,841 Source: Rural Development Department

In order to combat the recurring drought conditions in the state, Watershed development Programmes are being implemented under centrally sponsored schemes of DPAP, DDP and IWDP. Integrated Natural Resources Management, following the ridge to valley approach, in selected micro watersheds of approximately 500 ha area, with total participation of the local community is the main objective of the Watershed Development Programme. Soil and Moisture Conservation, Water Harvesting,

Items No. of Watersheds: DPAP DDP Expenditure(Rs.Crores) DPAP DDP 4242 1054 33.97 18.30

201112(upto Sep2011)

4242 1054 55.32 5.89

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II. Integrated Wasteland Development Programme (IWDP) Rapid Depletion of green cover and vast stretches of marginal lands lying fallow, found to be causing enormous ecological imbalance and productivity is also negligent on account of soil erosion and marginalization of lands. To arrest this, massive integrated wasteland development project was under taken during 1992 with 100% central assistance. The programme of dry land development in the state. underwent a major change from 1995-96 with the introduction of new watershed guidelines. IWDP is implemented in nonDPAP blocks of DPAP districts and in all non-DPAP Districts. The new guidelines called Hariyali, are implemented in the watersheds from the year 2003-04. The area is treated with soil and moisture conservation works, water harvesting structures, afforestation from ridge to valley concept. The achievements are: 2010-11 2011-12
(upto Sep2011) -------------- ------------------

equity and livelihood concerns in the framework of Watershed Development programme. The achievements under this programme: 2010-11 2011-12

No. of Watersheds Expenditure (Rs. Cr)

(Upto Sept.2011) 281 11.04

281 18.59

No. of Watersheds - 1499 Expenditure (Rs. Cr)- 34.36

1499 35.47

Indira Prabha: Comprehensive Land Development Project( CLDP) The main objective of the scheme is to provide an Integrated and Comprehensive Livelihood options centered and development of compact blocks of assigned land owned by poor SC, ST, BC and others. A minimum of 50% of physical and financial benefits would go in favour of SCs and 10% for STs.The project was launched in November, 2004. An amount of Rs.670.01 crores has been sanctioned under RIDF-IX, X, XIII and XV Projects covering an area of 6.31 lakh acres belonging to 4.46 lakh families. RIDF-IX and RIDF-X were launched in November 2004 and RIDF-XIII was launched in October 2008 and RIDF-XV was launched in January-2010. RIDF-IX: NABARD has sanctioned 827 Projects with financial outlay of Rs.200.31 crores. An expenditure of Rs.152.00 crores has been incurred and 1.73 lakh acres area developed benefiting 1.29 lakh families. The project is completed. RIDF-X: NABARD has sanctioned 836 Projects with financial outlay of Rs.248.60 crores. An expenditure of Rs.184.00 crores has been incurred and 1.76 lakh acres area developed benefiting 1.36 lakh families. The project is completed. RIDFXIII: NABARD has sanctioned 22 projects, one in each district, with a financial outlay of Rs. 150.26 crores. An expenditure of Rs. 91.85 crores has been incurred sofar upto Sep,2011 and the project is under progress. RIDF XV: 202 NABARD has sanctioned 19

III. Integrated Watershed Management Programme(IWMP): This is a centrally sponsored scheme funded by Central and State Government on 90:10 basis. The main aim of IWMP is to restore the ecological balance by harnessing, conserving and developing degraded natural resource such as soil, vegetative cover and water. The outcomes are prevention of soil run-off, regeneration of natural vegetation, rain water harvesting and recharging of the ground water table. This enables multi-cropping and introduction of diverse agro-based activities, which helps to provide sustainable livelihoods to the people residing in the watershed area. IWMP programme has defined appropriate institutional arrangements, budget allocations, capacity building strategies and project management cycle. The proposed processes integrate gender,

projects in 19 districts, with a financial outlay of Rs.70.83 crores. An amount of Rs.4.42 Crores has been spent so far upto Sep,2011. The project is under progress. During the year 2010-11, an amount of Rs.18.75 crores was released and expenditure was incurred an amount of Rs.30.29 including previous year balances and 21962 acres has been developed. During the year 2011-12(upto September2011), An amount of Rs.12.50 crores is released and Rs.20.23 crores expenditure is incurred including previous years balances. V. Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS): Mahatma Gandhi National Rural Employment Guarantee Act gives legal guarantee of providing at least 100 days of wage employment to rural households whose adult members are willing to do unskilled manual labour. This programme is implemented in 22 districts of the state except in Hyderabad. The Act also gives entitlements like worksite facilities such as safe drinking water, shade at worksite, crche for the children under five years etc. The program has been grounded in the state on a strong footing with the following non- negotiables. Every registered rural household shall be provided not less than 100 days of wage employment in a financial year. Payment of wages shall be made at least once in a fortnight. Equal wages shall be paid to men and women. Contractors and labour displacing machinery shall not be engaged. Works approved by the Grampanchayath (identified in the Gram Sabha) at village level, the Mandal Parishad at Mandal Level and the Zilla Parishad at District level shall only be taken up.

Best Practices : End to End IT utilization: RAGAS (Rashtriya Grameenabhivruddhi Samacharam): For ensuring transparency in the execution of MGNREGS in Andhra Pradesh, the use of ICT becomes necessary especially in the registration of wage seekers, estimation of works, disbursement of wages and for effective monitoring. IT applications also help in the social audit process, disclosure of information as per the Right to Information Act as well as the generation of various reports, estimates and proceedings.Tata Consultancy Services has developed a highly comprehensive and end-toend transaction based application that ensures greater transparency and accountability for proper implementation. The transaction based software issues job cards, maintains shelf of projects, generates estimates, issues work commencement letters, updates muster rolls and generates pay orders. The RAGAS Software is now converted from Offline mode to Online mode. Web Reports: The web reports provide detailed information under various sections and subsections covering all aspects of MGNREGS activities. The user can access all the reports in the website www.nrega.ap.gov.in which offers information related to employment generation, physical and financial performance. The above information can be accessed at District, Mandal, Village and household level. The reports generated are transaction based and the expenditure incurred per transaction can be seen through the various reports in the website. This helps in increased transparency as well as accountability in the implementation of the scheme. Pay slips are generated in Computer and distributed to the labour at their door steps. Pay slips carry information about the amount of wages deposited in the accounts of labour. Social Audit : A full-fledged Social Audit unit system is established at the State level with exclusive Staff. Social Audit has been conducted in 1,095 mandals in 22 Districts in the 1st round; 1073 mandals in 2nd round, 945 mandals in 3rd round, 353 mandals in 4th round and 22 mandals in 5th 203

round. This is an effective tool to check corruption and to enhance the accountability to people. So far more than 8792 functionaries have been either terminated from their services or disciplinary actions have been initiated. These include 3227 officials were dismissed from their services and on 5565 functionaries, the disciplinary action was taken. FIR was booked against 95 functionaries. Wage Payments through Post Office Accounts/ Smart Card: Payments through smartcards was initiated to ensure that the intended wage seeker receives timely payments and also to ensure that the right beneficiary receives the wage payments. The payments to the labour in the villages are being done through a biometric identification process with the help of smart cards. This process makes use of finger print technology to issue biometric smart cards to each beneficiary at the village level. Biometric smart card MGNREGS payments are being implemented in order to ensure timely payments and minimize the possibility of fraudulent payments. So far Biometric cards are issued to 91.2 lakh beneficiaries as against the targeted 128 lakh beneficiaries. 15,660 Gram Panchayats are converted into biometric payments out of 21,812 villages. Major initiatives under MGNREGS: 1. Land Development: An extent of 13 Lakh acres of fallow land and 17 lakhs of degraded cultivable land belonging to SC, ST families is identified for development with an estimated cost of Rs. 8700 Crores. Works are in progress in 8 lakh acres and Rs. 635 crores was incurred for land development belonging to SC, STs. Rs. 433 crores is spent on development of lands belonging to small and marginal farmers. The estimated amount is Rs. 6090 crores for development of 25 lakh acres. Land leveling, silt application, clearance of bushes, deep ploughing etc. are some of the land development works taken up.

2.Ground water recharge projects in over exploited and critical basins: The state has 1229 ground water basins, which can be categorised as over exploited (132), critical groundwater basins (89), semi critical (175) and safe basins (833) as per report published in 2008. It is proposed to cover all the over exploited and critical water basins for ground water recharge through construction of water conservation and harvesting structures. The state has set a goal of increasing groundwater recharge at least by 5% from the present level by the end of XII plan period. Towards this end, 60,000 works will be taken up with an investment of Rs.600 Crores. 3. Afforestation: Afforestation in one of the important intervention under MGNRGES; and was found to be most useful in terms of creation of wage employment and regenerate forest area resources in the long run. For this activity, Rs.117 crore was invested.The number of wage days generated from the activity for the unskilled labourers is 54 lakh. In the long run, it is expected that the rural poor families in the forest fringe villages will get income from the collection of NTFP and also by supporting regeneration of the forest. 4. Comprehensive restoration MI tanks A total of 62,086 Minor irrigation tanks were identified with an ayacut area of 30,05,219 acres. 20,000 Minor Irrigation tanks were repaired so far under MGNREGS by spending Rs.3087 Crores. 5. Rural connectivity: Several rural habitations are not well connected with the Gram Panchayats and market places, particularly in the case of 90 % of the SC /ST habitations. So, the state has taken up construction of roads (i.e., rural connectivity program) for uncovered SC/ST habitations under MGNREGS in convergence with the Panchyat Raj department. 6. Horticulture: Government of Andhra Pradesh has promoted dry-land horticulture since beginning (as wells in assured irrigated lands) in the lands of SC/ST, small and marginal farmers. Horticulture is taken 204

up on the lands of the poor in 5.6 Lakh acres and Rs. 482 crores was incurred as expenditure. The important tree species promoted include Mango, Sweet Orange, Sapota, Cashew, Coffee, Rubber, Oil palm & pulp wood etc. 7. Bund Plantation: GoAP has realised the potential for growing trees (i.e., fodder, fuel, timber and fruit trees) on bunds and periphery of agriculture fields in order to generate additional income. To meet the demand for a large scale plantation, 3000 nurseries (namely Mahatma Gandhi Vana nurseriesMGVN) were raised under MGNREGS. 8. Project Mode Planning of Works Project mode planning of works is taken up through which works are identified in ridge to valley concept. This system ensures good quality assets and results in a more purposeful way for monitoring and technical supervision of works. The following works are taken up under Project mode. 1. Land Development Project 2. Drainage Line Treatment Project 3. Drains and Channels Project 4. Irrigation Facility Project 5. Sustainable Agriculture Project 6. Horticulture and Plantation Project 7. Minor Irrigation Restoration Project 8. Public Institutions Development Project 9. Drinking Water Tanks Project 10. Road Connectivity Project 11. Afforestation Project 12. Flood Control Project 13. Forest Protection Project 14. Common Property Resources Land Development Project 9. Special strategy Chenchu Primitive Tribal Group (PTG) A special strategy has been formulated exclusively for the ultra poor Chenchu Primitive Tribal Group living in Nallamala forest region. Under this strategy, every Chenchu laborer is provided with continuous wage employment through-out

the year. Every Chenchu labor is assured of Rs 1000 every month. 4 special Chenchu offices opened under the MGNREGS Chenchu Project at Achampet (Mahabubnagar), Atmakur (Kurnool), Yerragondapalem (Prakasam) and Macherla (Guntur). PO, ITDA (Tribal Welfare Dept.) Srisailam is fully empowered to implement the programme. Rs.19 Crores expenditure has been incurred under MGNREGS in the Chenchu areas. 10. Special strategy ITDAs (Tribal Region) Special focus is on implementation of MGNREGS. Apart from implementation through Programme Officer/MPDO, certain works are also taken up through Project Officer ITDAs. Works like Check dams and Roads are taken up under MGNREGS through ITDAs. All unconnected ST habitations are being taken up under MGNREGS. Horticulture is given importance. Coffee, Mango, Rubber, Cashew plantations were taken up in ITDA areas.
Assets created under MGNREGS (as on March 31st 2011)
Work Name Expenditure (Rs.Lakhs) Quantity

Desilting of CanalsKms Diversion Drain-Kms Earthen BundingAcres Farm ponds-Nos Feeder channel-Kms Filling of water logged areas-Acres HorticultureLand developmentAcres MI Tanks including Desiltation-Acres Mini Perculation Tanks-Nos Pebble and Stone Bund-Acres Perculation Tanks-Nos Restoration of WellsNos Roads-Kms Silt Application-Acres Others Total

12,257 36,057 70,326 18,392 61,632 5,499 45,287 137,006 308,738 21,706 27,241 20,453 1,379 155,373 61,843 386,060 1,369,249

20,428 55,472 1,562,800 102,178 136,959 54,991 566,092 913,376 1,715,212 108,531 605,352 27,271 19,706 23,018 1,374,289 -

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Awards The NREGS-AP software and website have been recognized as one of the best ICT solutions in the Country and world wide. So far ICT solution of NREGS AP has won the following awards. i. Award for Excellence in e-governance 2006. ii. Manthan award for best e-content website 2007. iii. Bronze Medal in National e governance awards for government website 2007-2008. iv. Special mention at Stockholm Challenge Award 2008 on 22-05-08 for its excellence in the use of Information Technology. v. Finalist in Stockholm GKP awards 2007 vi. Runner up in Thailand e gov awards 2007 vii. NASSCOM Social Innovations awards 2011 Convergence: The Rural Development Department is also implementing MGNREGS in Convergence with the following line Departments:
Department Horticulture Department Projects handled Horticulture project and Mahatma Gandhi Grameen Horticulture Nurseries (MGHN) Mahatma Gandhi Grameen Vana Nurseries (MGVN) Sustainable Agriculture Project

New Interventions: I Electronic Fund management Sysytem (eFMS): e-FMS was established with the objective of putting in place an efficient mechanism to generate transmission of funds through online money transfers. To address the difficulty in handling various accounts at various levels (state level, district level and mandal level) and to address the accountability issues, e-FMS was introduced. This system helps in avoiding the parking of funds in some places and empowers all blocks and Panchayats to access funds uninterruptedly through central server. II.Electronic Muster and Measurement System (eMMS): It is a system designed to ensure complete transparency in the programme implementation of MGNREGS by obtaining electronic data directly from Worksite to the Website on day-today basis from all villages. The musters and measurements information is sent electronically through mobile technology. eMMS is being implemented in all the districts except Nizamabad, biometric eMMS is in implementation. Live musters are uploaded to the server directly from the field and can be viewed in the web on day to day basis. III. Shrama Shakti Sanghas (Labour groups): Labour groups are formed with serious labourers with the size of 10-30 labourers in each group in this group system. The objective of formation of SSS groups is providing continuous assured employment for the poor rural Households for 100 days. These groups were conceived for better cohesiveness, coordination and for better worksite management. The fudging of muster rolls and also the fake entries can be easily identified and avoided. IV. Concurrent Social Audit: Under concurrent social audit, the particulars of the wage payments made to the labourers in the village and the payments made for the works done will be displayed on public walls every month. The reports are pasted on the walls of the public building in the village/habitation, wherein the villagers can easily access and any discrepancies

Forest Department SERP (Society for Elimination Rural Poverty) ITDA (Integrated Tribal Development Agency) Panchayat Raj & Engineering Dept Rural Water Supply

Road Project and others

Road Project Drinking water projects.

206

in the implementation can be identified immediately and reported to. V. An exclusive Quality control wing has been established to ensure creation of durable assets. VI. A strong vigilance wing is established to ensure transparency and accountability. VII. A Grievance helpline (Toll Free Phone Number: 155321) supported by a call center was established for any grievance redressal. Overview of NREGS is shown in Table 8.28
Table 8.28 Overview of MGNREGS-AP Item Total No. of Job Cards issued (lakhs) No. of Works Completed (lakhs) Total Expenditure (Rs. Crores) No. of Households provided wage employment(lakhs) No.of Individuals provided wage employment(Lakhs) Person days generated ( Crores)

201011 6.50 7.54 5401 62.00 118.90 33.95

Cumulative 122.75 16.77 17,002 91.33 183.00 139.33

No. of households completed 100 days 9.68 35.98 (lakhs) Average no. of days employment provided 54.67 per household Average Wage rate per day per person 97.22 90.65 (Rs.) Source: Rural Development Department

Andhra Pradesh Water, Land and Trees Act2002 (APWALTA) Government of Andhra Pradesh promulgated the Andhra Pradesh Water, Land and Trees Act-2002 to promote water conservation, Tree cover and regulate the exploitation and use of ground and surface water for protection and conservation of water sources, land and environment in the entire state. The Act came into force with effect from 19-04-2002. APWALTA authority was constituted for effective implementation of the Act and provision was made for the constitution of subsidiary authorities at District and Mandal levels. In view of the indiscriminate drilling for bore wells, the ground water has been depleting fast. Added to it, unscientific and reckless drilling has resulted in failure of bores leading to farmers incurring heavy losses. Keeping this in view, the State Government have suitably amended the APWALTA Act and consequently, comprehensive Rules-2004 have also been brought out for effective implementation of the act. The most important feature is introduction of Single-Window approach for speedy clearance of the applications for new bore wells. Single-Window Approach: The farmers desiring to drill a bore will apply to the Village Secretary / MRO. The MRO takes the feasibility of electricity from the APTRANSCO and feasibility of ground water from the Ground Water Department. When both are feasible, the MRO gives permission for drilling of new borewell. Failed Borewell compensation scheme: All farmers who obtain permission for drilling of new agriculture borewells from the concerned WALTA authority are covered under this failed Borewell Compensation scheme. If any bore well drilled after securing necessary permission from the concerned authority is failed the farmer will be eligible to get compensation up to Rs.10,000. All the cases will be settled by the Project Director of the concerned district

***

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Poverty Alleviation and Social Assistance Programmes:

Society for Elimination Poverty(SERP) of Rural

8.25 The Society for Elimination of Rural Poverty (SERP) was established by the Government of Andhra Pradesh as a sensitive support structure to facilitate the social mobilization of rural poor women in 22 rural districts in A.P. SERP is unique for its underlying feature of being a Government Institution working exclusively on the demand side by bringing in a new paradigm of development of poverty elimination through an empowerment process of the rural poor by building and nurturing self help groups (SHGs) of women and their federations. SERP works on a comprehensive multi dimensional poverty alleviation strategy by focusing on building institutions of the poor, leveraging resources through commercial banks, Livelihood Value Chain, Human Development Value Chain and to reduce the risks faced by the poor women through social safety nets and entitlements. Indira Kranthi Patham (IKP) The main objective of Indira Kranthi Patham (IKP) is to enable all the rural poor families in the state to improve their livelihoods and quality of life. All households below the poverty line, starting from the poorest of the poor are the target group of IKP. Convergence of Land, CMSA, Dairy, Health, Education and Nutrition are designed to overcome poverty. The project emphasis is on livelihood issues of the poor, poorest of the poor, with a focus on sustainable rainfed farming systems, value addition to agriculture produce, job creation and nonfarm employment opportunities and to reduce the risks faced by the poor through social safety nets and entitlements. Building Strong / Sustainable Institutions of the Poor: The institutions of the poor that are already formed have to be nurtured

towards self management. To address the needs of the more vulnerable sections of the society, it is essential to have a focused approach for the poorest of poor members. Their concerns and priorities have to be accorded top priority. Similarly, first stabilizing livelihoods of the poor existing institutional strength has to be enhanced for managing relatively complex operations building. At present there are 1,11,02,494 SHG members in 9,94,595 SHGs organized into 38,550 Village Organizations (VOs) and 1098 Mandal Samakhyas(MSs). In addition to above (MSs), there are 262 Mandal Vikalangula Sangams, 17 Chenchu Mandal Samakhyas, 7 Fishermen Mandal Samakhyas and 20 Yanadi Mandal Samakyas in the State. Total savings & corpus of SHG members are Rs.3383.10 crores and Rs.5070.51 crores respectively. Social capital created during the project period up to September, 2011 is 1,73,841. Financial Access: To encourage the poor including disadvantaged groups and communities to access the credit facility services seamlessly Community Investment Fund (CIF) from project side, and linkages from bank side are provided to the poor women SHG members to improve their livelihoods. CIF supports the poor in prioritizing livelihood needs by investments in sub-projects proposed and implemented by the Community Based Organizations (CBOs). The cumulative CIF expenditure up to September 2011 is Rs.1044.65 Crores and the total numbers of beneficiaries are 28.53 lakhs. The SHG Bank Linkage is a great success story in the State During the year 2011-12, SERP has facilitated Rs.2145.87 crores of Bank Loans to 96,342 SHGs up to September 2011. Pavala Vaddi: To reduce the financial burden on the self help groups, Pavala Vaddi scheme was introduced in the year 2004. Incentive is provided by the Government in the form of reimbursement of interest above 3% per annum on the loans taken by the self help groups under this scheme. During the year 2011-12 (upto September 2011) Rs.377.62 crores was reimbursed to 6,42,805 groups, thus totaling to Rs.1477.07 crores since inception of the scheme. The major initiative for success is sanction and release of the Pavala Vaddi amount through e-transfer from central 208

account directly to SHG savings bank account. Introduction of SMS system to capture loan disbursement and recovery details. Initiation of e-book keeping for SHGs to equip the SHGs with a portable computing device which would enable them in maintaining records of the financial transaction in a more simple and efficient manner. The details of Bank linkages and Pavala Vaddi are shown in Annexure 8.12. To address the issues of inadequate finance and to ensure timely availability of credit, preferably within 48 hours, for meeting emergent and other needs of the poorest of the poor, there is a need to supplement credit aside what is being accessed from banking sector. Sthree Nidhi is specifically created to meet these needs of women with an authorized share capital of Rs. 500 crore to be mobilized from Mandal Mahila Samakhyas who are members of Sthree Nidhi as well as Government of Andhra Pradesh with matching contribution. Sthree Nidhi would also mobilize deposits from Members and this would also be a sizeable portion of the owned funds of Sthree Nidhi as they will be permanent deposits. Livelihoods Value Chain: To provide the Sustainable Livelihoods to the poorest of the poor, SERP has made livelihood based interventions through Land access to the poor, Sustainable Agriculture, Dairy, Non-farm Livelihoods, Jobs for Rural Youth. Land represents a fundamental asset to the rural families. It is a primary source of income, security and status. Land access to the poor is designed with the aim of enabling and supporting the poor in getting enhanced access to land in convergence with revenue department. It facilitates the poor to have control over their lands in terms of having secured title, handling their lands locked in courts/disputes. 3.85 lakh cases related to land disputes of poor were resolved and created the accessibility of 4.72 lakh Acres

to the SHG members. Land Inventory was taken with the financial support of MGNREGS in 22,833 Revenue Villages of 956 Mandals in the State. The objective was to map the lands of the SCs/STs and to facilitate them to have secured title and possession and also to facilitate the land development under MGNREGS and other programmes with increase in incomes by accessing sustainable agriculture programmes like CMSA/RFSA etc. Out of 30,70,700 households identified 17,93,591 having land(58%) and 12,77,109 are landless(42%). A total of 19,29,228 issues covering 21.04 lakh acres of land have been identified in 16739 revenue villages across 933 mandals. Entire data collected from Land Inventory has been made available in the web.
PoP Strategy is to enable every poorest of poor family in the state comes out of poverty with increased and sustainable livelihood opportunities established with the aid of an intensive handholding support. The two expected key outcomes from this strategy are all target households earn a minimum of Rs. 1.00 lakh income per annum from multiple livelihood sources over a period of 3 years and significant improvement in human development indicators. In the year 2010-11, PoP strategy is being implemented in 337 mandals, 3166 GPs across 22 districts covering 6.2 lakh PoP households (only SC & ST community) with the support of around 8000 Community Activists. Baseline information of all the identified households had already been collected and made available in web. Based on the baseline data, households were categorized and also a set of preferred livelihood options were generated by the software itself to ease the work of PoP CA and the CBOs. In order to facilitate the grounding of livelihood projects for around 46082 households, an exclusive PoP fund to the tune of Rs.46 crores was released at the rate of 4-7 households per PoP CA throughout the state. 92% of finalized Household livelihood projects are grounded across the state and utilisation certificates are made available in the web. To facilitate the landleasing activity for 15830 landless and dry land owned PoP households, an exclusive landlease fund to the tune of Rs.15.83 crores was released and grounding is under progress. For the year 2011-12, the strategy is expanded to 156 new mandals across the 22 districts covering additional 798 GPs.

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PoPStrategy Ataglance

Collective Dairy/ Marketing Livestock

annum

CMSA RFSAforLand development LandAccess

MGN

REGS

Jobs EGMM

Self Employ

ment
BetterHumanDevelopment

Corporate QualitySecyEducationat . QualityPrimary Education +2level Education ECE Centre H&N NDCC

PoP household centric Poverty free AP 2017 Every family to have an annual income of atleast Rs 1 Lakh, from multiple sources. Significant improvement in HDIs. All livelihoods and human development components converge to handhold PoP HHs. Tracking the progress made by each PoP HH thro DSS. Outcome based performance measurement.

Community Managed Sustainable Agriculture (CMSA) is meant to support the poor farmers to adopt sustainable agriculture practices to reduce the costs of cultivation and increase net incomes to improve and sustain agriculture based livelihoods. Action plan is prepared for covering 29.01 lakh Acres and 11.2 lakh farmers during Khariff 2011-12 in 8556 villages in 550 mandals of 22 districts, out of which, 18.00 lakh acres were brought under cultivation. The flagship programmes identified under CMSA during 2010-11 are POP Strategy, 36 X 36 models and SRI Paddy. POP strategy facilitates the land lease to the landless labourers and promotes CMSA practices in these lands. SRI system of paddy is cultivated in 0.25 Acre and 36 X 36 model or 7 tier model or poly crops in the remaining 0.25 Acres to earn a net income of Rs.50,000. . 4264 PoP families are adopted this startegy. Apart from this, more than 51,289 of 36x36 models have been grounded benefitting 51,000 families with household nutritional security. In convergence with MGNREGS Rain Fed Sustainable Agriculture (RFSA) is being implemented in 21 Districts. So far Rs.185 crore worth of rain water harvesting and cropping structures have been implemented by benefitting 68,852 SC/ST farmers.

Livestock and Poultry Development: Initiative of Dairy Development started with ensuring remunerative price to milk through CBOs managing Bulk Milk Cooling Units and Village milk procurement centers in two mandals (Yellareddy of Nizamabad and Addakal of Mahaboobnagar) in two districts during 2006-07, has reached a high of CBOs managing 200 BMCUs and procuring milk from more than 1,50,000 pourers of 4225 Village Milk procurement centers by the end of September 2011. During the year 2010-11, the IKP managed BMCUs have procured a minimum of 1,84,091 LPD(April2010) and maximum of 2,58,623 LPD( Dec 2010) and the cumulative milk procured from April2010 to March 2011 is 8,08,53,293 liters, valued at Rs.194.05 Crores ( average price of Rs. 24/- per liter). The process of ensuring Minimum Support Price to milk has now gained momentum and the focus of LPD unit has changed to strengthening backward linkages to dairying. Another 30 BMCUs in Chittoor and West Godavari districts are expected to commence milk procurement activity by March 2012. 189 mandals have established APBN fodder nurseries in 498.3 acres of land so far and also started distributing fodder slips through 9 community member Spear Head Teams (SHTs Fodder & Feed) developed for this purpose. From out of 189 APBN Fodder nurseries established so far, 4100 acres of fodder is developed in the community members and farmers lands belonging to 20025 members of 1156 villages. Under PM package the Government of India has sanctioned Mini feed Mixing Plants for use by the farmers with a capacity of 2.5 MT per shift. The APDDCF limited was made nodal agency and released 65 Mini plants to IKP to be managed by Mandal Samakhyas of BMCU mandals during 2009-10. Out of the 65 plants, 32 plants are commissioned and preparing concentrate and distributing the community members on 15 days credit. The grounding of Milch animals and small ruminants is in progress in PoP mandals and the SERP has entered into an MOU with AICRP on Poultry Unit of Sri Venkatewara Veterinary university, Tirupati on 20th June 2011 for supply of 5.00 lakh birds of Rajasri Backyard poultry for supplying to all PoP families in the state with due stress on the family incomes of SC and ST 210

AdditionalIncomeofRs.60000 /

Indicators

families in particular. The Community Marketing strategy of the project is to enable the small, marginal farmers and NTFP collectors to obtain the best price for their agricultural commodities and forest produce. The marketing interventions through IKP VOs is being promoted mainly to eliminate unfair trade practices, to increase the bargaining power of small and marginal farmers in rural areas and also to generate employment/income to the VOs. The VOs have successfully implemented village level collective marketing of Paddy, Maize, Neem, Red gram, Cashew, and NTFP besides Agricultural Inputs etc. The marketing interventions of IKP have registered a significant increase in this financial year with pick up in paddy procurement activity. Details of the marketing interventions are shown in Table 8.29.
Table 8.29 Collective Marketing Item MMS Involved (No.) VOs involved (No.) Families Covered (Lakh Nos.) Commodities Handled(No) Volume (lakh Quintals) Turnover (Rs. Cr) 2009-10 835 1443 2.79 67 65.60 611.24 201011 839 1341 1.30 65 40.78 2011-12 (Sep 11) 463 1083 2.91 14 163.45

works in a public-private partnership mode to identify, train and place youth in entry level corporate jobs in hospitality, retail, sales, tourism, banking, rural BPOs, manufacturing, textiles and construction sectors. Total number of jobs created up to 2010-11 is 2,69,183. An extensive employment survey was conducted in the rural areas across the state. It was planned to develop the database of the rural employed youth for assessing the training needs, work interests and thereby provide employment/ employability for the rural youth. EGMM has imparted training for 41,383 rural unemployed youth during current financial year up to end of September 2011 and 14,469 are placed. Social and Human Development Value Chain: Under Social and Human Development (addressing Millennium Goals), Social action for gender equity, recognizing the people with disabilities, among the poorest of the poor, Health and Nutrition intervention, quality education through community participation as inter- generational poverty alleviation strategy were covered. The Gender strategy envisages that the poor women are able to access and control over assets, incomes, all services available at village and individual level. Gender programme helps preventing discrimination against girl child, tackling domestic violence, helps women to increase their understanding of intra family equity issues, decision making levels, free mobility and necessity of building a safe environment. Under this component, 552 Mandal Level Social Action Committees are formed with the membership of 5480 members. Community Managed Family Counseling Centers run by SHG women are 490. A number of Village Organisation Social Action Committees formed upto September,2011 are 13,058 with a membership of 1,12,739. Women are actively mobilized into V.O. Social Action Committees (VOSACs) in the villages to work on social agenda and gender discrimination cases. A number of Village Organization Social Action Committees formed up to September 2011 are 13,058 with a membership of 1,12,739. Number of cases dealt with by these committees and family counseling centers together are 31,379 and number of cases resolved are 22,402 211

418.8 1683.06 7 Source:- SERP-Rural Development Department

Various marketing initiatives are taken up by SERP among them Paddy procurement is predominant in many districts. In the current financial year, up to September 2011, the VOs have procured a total of 163.45 lakh quintals of agriculture produce worth Rs. 1683.06 Crores in Rabi season. Employment Generation & Marketing Mission (EGMM): It was set up to address the needs of the next generation of the large network of SHGs created and nurtured by IKP. It aims at to create employment/ employability for the rural/ tribal underprivileged youth. It

up to September 2011. SERP is playing an important role to prevent infanticide by organizing women into Self Help Groups. Recognizing that people with Disabilities are among the poorest and most vulnerable of the poor, IKP has adopted a participatory development approach to support them by building their capacities to improve life skills and self esteem. IKP has extended the support to enhance their livelihoods by creating accessibility to government benefits and entitlements. Provision of assessment, treatment and rehabilitation services were made through community managed interventions through 88 neighbourhood centres. Intensive activities are carried out in 343 mandals. 2,79,161 Persons with Disabilities (PWDs) are organized into 30,239 exclusive SHGs both in the program and non-programme mandals and formed 3 Zilla Samakhyas in the State. PWDs are given an assistance of Rs.195.82 crores through CIF, Bank Loans and Revolving Fund for enhancing their Livelihood. Further, 7291 Surgical Corrections were carried out and 25,986 PWDs were issued assistive devices at no cost to them in the programme mandals. Software for Assessment of Disability for Access Rehabilitation and Empowerment (SADAREM): All the Persons with Disabilities shall be assessed a fresh recording percentage of disability and all the existing Disability Certificates shall be replaced by reaccessing the persons with disabilities by concerned District Medical Boards. So far 8.09 lakh PWDs are assessed against the target of 10.49 lakhs. Under Jansree Bheema Yojana (JBY) 47,276 were covered. 2907 Srama Shakti Sanghams are formed, exclusively for PWDs under MGNREGS. Center for Person with Disability Livelihoods (CPDL) provided 905 placements in the Public Sector as against 1434 trained. The major goal of the Health and Nutrition strategy under the APRPRP operates in a

convergent mode with the line departments by looking at gaps in the existing public health and nutrition services that are provided by the line departments. It is being implemented in 293 pilot mandals covering 4382 Village organizations of the state. The extensive health and nutrition strategies being adopted across 293 mandals include fixed schedule for regular capacity building of stakeholders at mandal and district levels, institutionalization of the fixed Nutrition and Health Days (NH days) in convergence with line departments and regular health savings by 2.83 lakh members in 47,752 SHGs to an amount of Rs.4.86 crores as safety nets for health emergencies. The intensive health and nutrition strategies focus on intensive health CRP strategy. 600 best practitioners from the pilot mandals are working as health CRPs. Since January 2007, the health CRPs strategy is being implemented in 4172 Nutrition cum day care centers. The impact of prenatal and neonatal outcomes among the members attended Nutrition cum Day Care Centers shows - 94% safe deliveries, no low birth weight baby born, no maternal, infant and neonatal deaths happened in 9300 deliveries occurred among the members enrolled at 4172 nutrition centers. Community Managed Education Services, (CMES): Early Childhood Education (ECE), presently 1091 ECE centers are functioning in 69 mandals in 16 districts with enrolment of 19,818 children. The trainings to the ECE instructors and Cluster Coordinators are going on in the District Resource Centres established in 12 districts of A.P. The other ongoing program like Quality Improvement Programme in Government Schools is running across 40 mandals in 10 districts. In this intervention, 40 MMS education subcommittees and 1200 VO subcommittees have been formed with support from Education Resource Persons at Mandal and District level and M.V. Foundation. These sub-committees are being trained to monitor quality of education in Government schools. Data on survey of children enrollment and children out of school is updating in the MIS. Non literate SHG women were identified in 22 districts of the State for the 212

purpose of adult literacy program which is launching in all districts of Andhra Pradesh under Sakshar Bharat program. Accessing Social Safety Nets and Entitlements: To cover the SHG members access to Social Safety nets and entitlements were designed through Dr.Y.S.R. Abhaya Hastham, AABY and Social Security Pensions. The State Government have introduced pension scheme for the SHG women to provide income security in their old age and social security to all women SHG members to enable them to lead secure life with dignity in old age. This scheme is visualized for the women for the SHG women over and above group 18 in rural and urban areas to provide social security in their old age. This scheme envisages contribution of Rs.1/per day by the SHG woman and Government co-contribution of Rs.1/- per day into her pension account. The contribution of the member the cocontribution of the Government periodically transferred to LIC of India for investing diligently for securing better returns on the investment. The corpus thus generated till the age of 60 years will be used for giving monthly pension of Rs. 500 and maximum of Rs. 2,200 per month. It also covers insurance to the women who are enrolled under the scheme, in addition to the monthly pension between the age group 18 to 59 years under JBY scheme. 48.70 lakh SHG members are enrolled into Dr. YSR Abhaya Hastham scheme and an amount of Rs. 308.71 crores for the year 2009-10 and Rs. 151.00 crores for the year 2010-11 from the members has been transferred to LIC of India. 4.24 lakh members were sanctioned pensions under the scheme and receiving monthly pension amount of Rs. 500 per month.

Under Aam Aadmi Bima Yojana 52 lakh landless agricultural labourer are provided insurance cover and 39 lakh of the SHG women are covered under Janshree Bima Yojana(JBY). The Zilla Samakhyas have verified the policy data and the claim settlement of the claims has commenced. Under National Pension SystemLite SWAVALAMBAN Scheme, SERP has enrolled 0.50 lakh SHG women and their family members under the scheme. Loan Insurance Scheme, SERP has entered into MoU with India First Life Insurance Company to provide life insurance cover to the SHG members to provide risk cover to the extent of loan amount availed from Banks. Credit Linked Loan Insurance Scheme was started in three districts on pilot basis. Financial and physical achievements of IKP are given in Annexure 8.13 and 8.13A. Poverty Alleviation and Social Assistance Programmes: The State Government has taken Self Help Group has taken by t as a theme to eradicate poverty in the state. It is contemplated to bring every women belonging to poorer section of the society into the fold of Self Help groups. Special budgetary provision is being made in the state budget for Self Help groups apart from the support from ongoing centrally sponsored scheme of Swarnajayanti Gram Swarozgar Yojana (SGSY) programme of self employment scheme. Banks are also extending credit support to SHGs in a big way with interest subsidy to SHGs. Deprived poor families are being assisted under pension programme and family benefit scheme. Swarnajayanthi Gram Swarozgar Yojana (SGSY) This is a centrally sponsored scheme funded by the Government of India and the State Government in the ratio of 75:25. All the existing schemes upto 1998 99 viz., IRDP, TRYSEM, TOOLKITS, DWCRA, GKY and MWS have been merged in the new scheme called SWARNAJAYANTHI GRAM SWAROZGAR YOJANA (SGSY). This programme has come into existence w.e.f. 1.4.99. The objective of the SGSY is to uplift the poor families above the poverty line by providing them income generating assets through a mix of 213

bank credit and Government subsidy. The key elements in this programme are the choice of activity based on local resources and aptitude as well as the skills of Swarozgaries. Funds under the scheme will be utilized for providing assistance to SHGs and individual swarozgaris and for creating infrastructure and for training of swarozgaris. The performance of SGSY is given in Annexure 8.14. Women Self Help Groups (SHGs) Self help movement through savings has been taken up on massive scale for rural poor women. The success of the Self Help Groups in Andhra Pradesh has been a national model with 9.95 lakh of groups covering 111.03 lakh of rural poor women. Social Assistance Programmes All the pensions which were looked after by the departments concerned have been transferred to the Rural Development department for implementation from the year 2006-07. The rate of pension is Rs. 200/- p.m. for all pensioners except disabled persons and Rs. 500/- p.m. for disabled pensioners. A total of 71,96,034 pensions are targeted to be distributed every month. During the year 2010-11, an amount of Rs. 1922.18 crores was distributed to 66,33,631 pensioners. For the year 2011-12, an allocation of Rs. 1922.86 Crores was made in budget and the Govt. have released an amount of Rs. 1436.02 Crores and Rs. 1343.82 Crores is distributed to 68,29,962 pensioners. (upto Nov.11). 1. Old Age Pensions (OAPs) During the year 2010-11, an amount of Rs. 316.27 crores was provided in the budget. An amount of Rs. 316.27 crores released and Rs. 360.12 crores was distributed to 15,43,633 pensioners. For the year 201112, an amount of Rs. 316.27 crores has been provided in the budget to cover 16,11,234 pensioners. An amount of Rs.

237.20 crores has been released and Rs. 253.85 crores is distributed to 16,11,234 pensioners (upto Nov2011). 2. Indiramma Pensions to Old Age Persons and Widows During the year 2010-11, an amount of Rs. 1105.60 crores was provided in the budget to cover 46,00,554 pensioners under these categories. An amount of Rs. 1105.60 crores was released and Rs. 1020.54 crores was distributed to 42,23,314 pensioners. For the year 2011-12, an amount of Rs. 1105.61 crores has been provided in the budget to cover 46,00,554 pensioners under these categories. An amount of Rs. 829.20 crores is released and Rs. 768.72 crores is distributed to 43,30,305 pensioners. (upto Nov2011). 3.Indiramma Pensions to Disabled Persons Disabled persons having a minimum of 40% disability is the criteria for eligibility. A total of 8.84 lakhs disabled pensions are being assisted with an allocation of Rs. 476.50 crores. The rate of pension has been enhanced to Rs. 500/- p.m. from November 2008 onwards(payable in Dec,2008) for all the Disabled Pensioners. During the year 2010-11, an amount of Rs. 476.50 crores was provided in the budget to cover 8,84,246 pensioners. An amount of Rs 476.50 crores was released and Rs. 513.41 crores was distributed to 8,33,313 pensioners. For the year 2011-12, an amount of Rs. 476.50 crores has been provided in the budget to cover 8,84,246. An amount of Rs 357.38 crores is released and Rs. 315.79 crores has been distributed to 851936 pensioners (upto Nov 2011). 4. Toddy Tappers Government have decided to sanction Old Age Pensions @ Rs. 200/- p.m. to Tappers who are the members of Toddy Cooperative Societies (TCS) or to an individual Tapper under the Tree for Tappers (TFT) Scheme and who have completed 50 years of age as on 1.2.2009. For the year 2010-11, an amount of Rs. 24.00 crores was provided in the budget to cover 100000 Tappers. An amount of Rs 24.00crores was released and Rs. 6.61 crores was distributed to 214

31,371 Tappers. During the year 2011-12, an amount of Rs. 24.48 crores has been provided in the budget to cover 100000 pensioners. An amount of Rs 12.24 crores has been released and Rs. 5.47 crores has been distributed to 36,487 Tappers (upto Nov 2011). The details of pensions are shown in 8.30 Table 8.30
Scheme

Existing Pensions
2010-11 2011-12
(upto Nov11)

NOAP (Rs.Crores / No. of Pensioners)

Allocation Releases Expenditure Pensioners Allocation Releases Expenditure Pensioners 316.27 316.27 360.12 1543633 476.50 476.50 513.41 833313 316.27 237.20 253.85 1611234 476.50 357.38 315.79 851936

Scheme is one of the components of NSAP. The aim of the project is to provide a lump sum family benefit for households below the poverty line on the death of the primary breadwinner in the bereaved family. The primary breadwinner will be the member of the household male or female whose earnings contribute the largest proportion to the total household income. The death of such a primary breadwinner should have occurred whilst he or she is in the age group of 18 to 64 years i.e., more than 18 years of age and less than 65 years of age. An amount of Rs.5000/- will be provided as a one time grant to the bereaved family. Under the Family Benefit Scheme, an amount of Rs. 10.00 crores was provided in the budget and Rs. 7.50 crores was released and Rs. 7.50 crores was distributed to 15000 families during the year 2010-11. For the year 2011-12 an amount of Rs. 10.00 crores has been provided in the budget and Rs. 5.00 crores has been released and Rs.3.54 crores has been distributed to 7083 families (upto Nov2011).

Indiramma Pensions to Disabled Persons

Indiramma Pensions to Old Age Persons & Widows Allocation Releases Expenditure Pensioners Toddy Tappers Allocation Releases Expenditure Pensioners NFBS Allocation Releases Expenditure Families assisted 10.00 7.50 7.50 15000 10.00 5.00 3.54 7083 24.00 24.00 6.61 31371 24.48 12.24 5.47 36487 1105.60 1105.60 1020.54 4223314 1105.60 829.20 768.72 4330305

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Remote and Interior Areas Development (RIAD)
8.26 Remote and Interior Areas Development Department has been formed with an object for improving the Socio Economic conditions of the people living in Remote and Interior Areas. 332 mandals covering 5622 habitations have been identified for providing infrastructure like Roads, Drinking water, Electrification, Health, Education, Women & Child Welfare. The works have been taken up under 12th Finance Commission and Rural Infrastructure Development Fund (RIDF) programme being financed by NABARD and being executed through Panchayat Raj /Roads and Buildings Engineering wings. The connectivity programme as undertaken by Government from 2006-07 under 12th Finance Commission grant and various tranches of RIDF through assistance of NABARD is as follows:

Source: Society for Elimination of Rural Poverty

National Family Benefit Scheme Government of India has introduced National Social Assistance Programme (NSAP) w.e.f. 15.08.1995 with three components. National Family Benefit

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Twelfth Finance Commission Works An amount of Rs.175 Crores was sanctioned to RIAD department @ Rs.43.75 Crores per year for a period of 4 years starting from 2006-07 under Twelfth Finance Commission. Works worth 1 times the Twelfth Finance Commission grant, that is 268 road works to the tune of Rs.260 crores were taken up and executed through Panchayat Raj Department during 2006-07 to 2009-10 and 26 road works costing Rs.70 crores were taken up through R & B Department during 200910. Most of the works were completed and a few are under progress. Rural Infrastructure Development Fund (RIDF) programme: From 2006-07 to upto Dec, 2011, the RIDF Programme has been implemented with the assistance of NABARD from RIDF Tranches XI to XVII. The orogramme mainly envisages connectivity, Construction of school building works. 640 works worth Rs.859 crores were taken up during the period of its implementation. More than 80% of works were completed and the remaining works are under progress.

Total 43,336 works with an estimated cost of Rs.520.31 Cr.(which includes 14,858 spill over works with an amount of Rs.216.03 Cr.) were taken up for the year 2011-12. An amount of Rs.171.12 Crores including Rs.28.63 Crores for SCPSC and Rs.15.00 Crores for TSP was released to the districts during the year. The expenditure incurred was Rs.185.53 crores with a physical achievement of 18900 works from the Annual Plan.

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Rajiv Palle Bata
8.28 Rajiv Palle Bata is a programme involving dialogue between the Leader and people. As it is well known, people and their elected representatives are the twin motors powering our vibrant democracy. During the process, people get an opportunity to represent their problems directly to their Leaders. The leadership, in turn, is benefited by the public feed back about Governmental polices. The resultant symbiosis reinforces the democratic process. During his visits to districts, Honble C.M. receives petitions and given assurances to people serving community needs. The programme was started in 2004. In all 54,541 petitions have been received in the entire state of which about 98.02% have been responded to. In all 1,195 assurances have also been made during public interactions out of which, 1080 (90.38%) have been redressed and 107(8.95) assurances are under different stages of implementation while 8(0.67) are yet to be redressed. The assurances given during the programme was generally fulfilled by meeting the expenditure from the budget of respective departments. However from 2005-06 onwards Government have started earmarking some plan funds under Rajiv Palle Bata Scheme which is meant to act as a limited cushion for sanction of works where ever necessary. Upto 31.3.2011 an amount of 438.22 crores has been sanctioned under the programme. No works have been sanctioned during the year 2009-10, 2010-11 and 2011-12 under RPB. The allocated amount is being released for completion of ongoing works which

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Backward Region Grant Fund (B.R.G.F.)
8.27 Government of India have launched the B.R.G.F Programme commencing from 2007-08. It also facilitates strengthening of the local self. Government of both Rural local bodies participating is the most important component of the programme. The main objective of the programme is to redress regional imbalance in development by providing funds for bridge critical gaps in local infrastructure. The programme is being implemented in 13 districts in the State with an allocation of Rs.376.77 crores under Development Grant and Rs.13 crores under Capacity Building during 2011-12.

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were sanctioned during the year 2008-09 and the amount is released partly During 2011-12 an amount of Rs.25.00 crores has been provided under the programme. Out of these funds, an amount of Rs.10.88 crores released to Districts for completion of ongoing RPB works.

Pulivendula Area Development Agency

8.29 Villages in Andhra Pradesh are at different stages of development. While those in the prosperous regions of the State have achieved significant development, a majority of the villages in backward areas remain under-developed. On account of these, a more workable strategy for the Government was to identify a few villages where integrated development can be brought about through planned interventions and use these villages as model to inspire and motivate all other villages to emulate the same path. Initiating action in line with the above innovative idea, Government have released an amount of Rs.297.61 crores during 2004-05 to 2010-11 to develop 103 identified villages covering 7 mandals in YSR Kadapa district under Model Village Scheme on pilot basis for continuing the infrastructure development in the identified villages of the area as per the action plan contemplated by the Pulivendula Area Development Agency. Government have provided an amount of Rs,200 lakhs for the year 2011-12 B.E., and released Rs. 100 lakhs for implementation of the scheme

integrated development in Piler Assembly Constituency through planned interventions and use this constituency as a model to inspire and motivate all other constituencies to emulate the same path, a novel scheme namely Area Development Authority, Piler with headquarters at Kalikiri of Choittoor district was created. Government have provided an amount of Rs,5000 lakhs for the year 2011-12 B.E., and released Rs. 2500 lakhs for implementation of the scheme.

Rachabanda Programme
8.31 Rachabanda is a mass campaign programme intended to motivate and instill confidence among public by redressing their grievances on the spot and in a bid to take the administration to the door steps of the people. It was also conceived as programme to oversee the implementation of developmental programmes, delivery mechanism to the targeted people and to take up the stock of the situation at focal point GP level by their elected representatives and a team of public servants in their own territory. The first round of Rachabanda was held from 24th January to 12th February, 2011 with identified thrust areas as: 1. Ration Cards 2.Pensions 3.Abhayahastam 4.Arogyasri 5.Housing 6.NREGA Cards 7.Pavala Vaddi Rural and urban IKP Mentoring of defunct groups. In all 31 lakh persons have benefited under the identified areas. Further, about 88 lakh fresh applications were also received. Inspired by the success of the 1st round Rachabanda programme and to ensure fulfilling of the promises made during 1st Round of Rachabanda in a phased manner, the Government have decided to embark on Second round of Rachabanda programme on 2nd November, 2011 in the entire State and continued till the end of the month, observing the month as Welfare month with essential thrust areas as 1. Distribution of Ration cards (24 lakh Coupons), 2. Distribution of Pensions (5 lakh including disabled pensions), 3. Distribution of sanction orders under Housing (6.00 lakhs). In addition, other priority areas covered during the moth long programme were Drinking Water Supply and

Area Development Authority, Piler

8.30 The villages in Andhra Pradesh are at different stages of development, while those in the prosperous regions of the State have achieved significant development, a majority of the villages in backward areas remain underdeveloped. On account of these, in order to bring

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Sanitation in schools, the Mahila Samaikya, Indira Jal Prabha and Rythu Mahila Sadassulu held in all the Telangana districts and Streamlining the Anganwadi centres. The benefit/asset distribution was done at the mandal level.

About 20.73 lakh ration cards/coupons and 5.17 lakh pensions were distributed and 3.07 lakh houses were sanctioned during Rachabanda-II programme. Various fresh applications received during this programme are being redressed in a phased manner. .

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9. POVERTY, EMPLOYMENT AND UNEMPLOYMENT

Poverty
9.1 Poverty is a state where a person finds it unable to maintain a minimum socially accepted level of standard of living. It is regarded as the root cause for low levels of health and educational outcomes, poor access to clean water and sanitation, inadequate physical security, lack of voice, and insufficient capacity and opportunity for mobility. Poverty alleviation remained the central to all the state and central level policy making. The Five Year Plans in India had their focus directly or indirectly on reducing the poverty levels throughout. In India the Planning Commission has been deciding on the methodology and making estimates of the number and percentage of poor at national and state level. These poverty estimates are treated as official. On a comparable basis these official estimates are available for the years 1973-74, 1977-78, 1983, 1987-88, 1993-94 and 2004-05. As per the latest estimates of Planning Commission available for the year 2004-05, the poverty ratio for rural and urban areas of Andhra Pradesh were 11.20% and 28.00% respectively and that for the State as combined was 15.80%. The corresponding figures for All India during the same period were 28.30%, 25.70% for rural and urban areas and 27.50% for the Nation as combined. Annexure 9.1 depicts the percentage of people below the poverty line in Andhra Pradesh and at All India level for different time periods. As economy grows and per capita incomes rise, the poverty threshold indicating the minimum acceptable level of living need to be revised to reflect the changing consumption patterns in society. In 2005, the Planning Commission appointed an Expert Group to review alternate concepts of poverty and recommend necessary changes in the existing procedures of official estimation of poverty. The Expert Group 219 under the Chairmanship of Prof. Suresh D. Tendulkar submitted its report in November, 2009. The Expert Committee recommended using poverty lines which are substantially higher than the earlier ones. As per the Committee methodology, the estimates of poverty ratio for rural and urban areas of Andhra Pradesh for 2004-05 were 32.30% and 23.40% respectively and that for the State as combined was 29.90%. The corresponding figures for All India during the same period were 41.80%, 25.70% for rural and urban areas and 37.20% for combined. The Official Estimates of poverty show that the performance of Andhra Pradesh in reducing income poverty has been impressive, particularly in rural areas. The Planning Commission estimates as well as the recent Expert Groups estimates show that poverty level in AP has mostly been lower than the national average and also its pace of reduction is faster than what is observed at all India. This can be attributed to the innovative poverty alleviation programs implemented in the state. Andhra Pradesh is known for introducing innovative poverty alleviation programmes, massive subsidization of Rice especially during the last two decades or so. Apart from the general economic policies and bold policy initiatives, the targeted poverty alleviation programmes like Indira Kranthi Patham (IKP) for womens empowerment, INDIRAMMA programme for providing housing and other infrastructure, pensions, land distribution and health insurance (Arogyasri) are the other important programmes helping the poor in various dimensions. Besides increasing the budgetary allocations, effective monitoring and improving delivery systems in poverty alleviation programmes help reduce the severity of poverty.

EMPLOYMENT & UNEMPLOYMENT 9.2 One of the most important surveys conducted by the National Sample Survey Office (NSSO) is the Quinquennial Survey on Employment and Unemployment and the latest being the one held during 2009-10 (NSS 66th Round). In order to capture the multidimensional aspects of employment and unemployment situation, information on several variables was also collected in these surveys. Persons who were engaged in any economic activity are termed as workers. Unpaid helpers who assisted in the operation of an economic activity are also considered as workers. Labour Force Persons categorized as working (employed) and also those who are seeking or available for work (unemployed) together constitute labour force. The labour force participation Rate (LFPR) is defined as the number of persons in the labour force per 1000 persons. The estimates of Labour Force participation Rate based on current daily status are presented in Annexure 9.2. Labour Force Participation rates both rural and urban areas of Andhra Pradesh were higher when compared with all India. Work Force (Employed) Persons who are engaged in any economic activity constitute the work force. The number of persons employed per 1000 persons is called Work Force Participation rate (WFPR). The work force participation rate per 1000 persons is based on current daily status. As per the current daily status, a person is considered working (employed) for the entire day if he/she had worked for 4 hours or more during the day. Work force participation rates in Andhra Pradesh among males in rural areas have increased, whereas that of females has decreased in 2009-10 when compared with the rates in 2004-05 while in urban areas it has decreased for both males and females. Work force participation rates in general are high in Andhra Pradesh when compared with all India. Details are given in Annexure.9.3. Apart from the quantum of employment, quality remains a concern in the state. Problems such as wage rate, seasonality, job

insecurity, illiteracy, occupational hazards etc., continue in the state. Around 94% of the workers in A.P. are in the unorganized sector and in fact, the state reports high incidence of employment in the unorganized/informal economy. Further, demographic dividend, which is one of the sources of future economic growth in Andhra Pradesh, is expected to increase the working age group and reduce dependency ratio. Reduction in dependency ratio is likely to increase savings and investments. Shifting the workforce from Agriculture to the non-farm sector is an ideal way for enhancing the income levels of the poor by creating quality non-agriculture work opportunities through skill development in rural areas. The growth of employment has picked up significantly in Andhra Pradesh while there is decline in growth at the National level in the recent past as compared to the previous period. Further, the pace of growth of employment is also quite impressive in Andhra Pradesh. While Andhra Pradesh has registered an annual compound growth of 1.70% in employment between 2004-05 and 2009-10 - up from 0.70% between 19992000 and 2004-05, All Indias employment growth slipped from 2.50% to 2.10% during the same reference period. Similarly, the employment elasticity which represents the responsiveness of employment generation to change in gross domestic product stands at 0.19% for Andhra Pradesh as against All Indias employment elasticity of 0.28%. Unemployment: The National Sample Survey Office (NSSO) provides the Unemployment estimates on the basis of the Quinquennial surveys. Persons are considered as unemployed, if he/she was not working, but was either seeking or was available for work for a relatively longer time during the reference period. Unemployment rate is defined as the number of persons unemployed per 1000 persons in the labour force. This in effect gives the unutilized portion of the labour force. It is a more refined indicator of the unemployment situation in a population than the proportion of unemployed, which is nearly the number 220

of unemployed per 1000 persons in the population as a whole. Unemployment rates based on the usual principal and subsidiary status in Andhra Pradesh and All India have shown oscillatory trend during the period 1993-94 to 2009-10. The unemployment rates on usual (principal and subsidiary) status of various rounds for Andhra Pradesh and All India presented in Annexure-9.4. The rural and urban unemployment rates in Andhra Pradesh as well as All India have increased from 199394 to 1999-2000. However, from 1999-2000 to 2004-05, the rural and urban unemployment rates in Andhra Pradesh have decreased. The rate of decline in respect of urban unemployment (from 39 to 36) was sharper as compared to that of the rural unemployment (from 8 to 7). The rural Unemployment rate has however increased (5 points) from 7 in 2004-05 to 12 in 2009-10 where as the urban unemployment rate has decreased by same quantum (5 points) from 36 to 31. Similarly, at All India level, the urban unemployment rate has fallen sharply (9 points) from 45 to 34 where as the rural unemployment rate has marginally declined (only 1 point) from 17 to 16.

EMPLOYMENT AND TRAINING

9.3 Employment in Organized Sector As per the Employment Marketing Information (EMI) collected by Employment Exchanges in Andhra Pradesh, there were 8,900 establishments in organized sector in Andhra Pradesh at the end of March, 1966. Out of these, 3,123 were in public Sector and 5,777 were in Private Sector. The number of establishments in the organized sector has now grown to 20,867 by March, 2011. Out of these, 13,814 were in Public Sector and 7,053 were in Private Sector. 20.59 lakhs persons were employed in the organized Sector as on March, 2011. The Public Sector alone accounted for 12.77 lakhs and the remaining 7.82 lakhs were employed in Private Sector. During the year 2011-12(upto Sept.11), a total of 1,44,553 candidates were enrolled, 221

4,156 vacancies were notified to Employment Exchanges and 816 candidates were placed. As many as 18,33,231 candidates were on the Live Register of Employment Exchanges at the end of September, 2011. Employment in the Organised Sector in A.P. (Public and Private Sectors) from March1966 to March 2011 is given in Annexure 9.5. Skill Development The Employment and Training department is implementing several programmes to develop manpower resources in various technical disciplines and to provide skilled artisans to the Industries. They are Craftsmen Training: Craftsmen Training Scheme is intended to train candidates in various Vocational Trades to meet manpower requirement to industries and also to reduce unemployment among educated youth by providing them employable skilled training. Craftsmen training is being imparted in 134 Government Industrial Training Institutes and 611 Private ITCs. During 2011-12, total intake capacity of Government ITIs is 31,555 and Private ITCs is 1,00,030 students. Vocational Training Improvement Project: Vocational Training Improvement Project is a Centrally Sponsored Scheme with World Bank Assistance. The Scheme has been introduced in the year 2006-07. 25 Government ITIs have been brought into this scheme in a phased manner with a total project outlay of Rs.8150 lakh for introduction of Centers of Excellence in Automobile, Production & Manufacturing, Electronics, Fabrication and Electrical Sectors and upgradation of ITIs including introduction of new trades. Operation period of the scheme is for five years from the year of inception of the scheme at the ITI. The Project cost is to be shared by the Central Government and State Government in the ratio of 75:25. Besides, Instructor Training Wing, Visakhapatnam has been sanctioned by the Government of India under VTIP with a project outlay of Rs.350 lakh to be shared by the Central Government and State

Government in the ratio of Rs.75:25. This is intended to impart training to the Trainers. To monitor the implementation of the VTIP Scheme in the State, a State Projects implementation Unit has been constituted at the State Directorate. Domestic Funding Scheme: This scheme was introduced in the year 2005-06 covering five government ITIs with a total project out lay of Rs.800 lakh (Rs.160 lakh each). The Project cost is to be shared by the GOI and GOAP in the ratio of 75:25. Entire amount was released by the Central & State Governments and utilized fully. Upgradation as Centers of Excellence/ Trades under Public Private Partnership: In all, 61 ITIs have been covered under the scheme for Upgradation as Centers of Excellence / Trades in a phased manner with a project outlay of Rs.152.50 crore (Rs.2.50 crore for each). Skill Development Initiative Scheme under Modular Employable Skills: Government of India has introduced this scheme in 200506 but implementation took place from 200708. The main features are: Useful for school dropouts and candidates who studied upto 5th class. Useful for workers who are well experienced in the fields without certificate. Unlike regular CTS trades in which candidates have to undergo training for 1/2/3 years, candidates can get himself trained in a short span of time i.e 60 to 800 hours and be professionalized in that field and be eligible for job opportunities not only in India but also abroad. Certification by DGET, New Delhi recognized by NCVT. The minimum age for admission is 14 years. There are 57 sectors and 1250 courses designed under MES. There are 650 Vocational Training Providers of which 296 are Government up to Sep, 2010 and 177 VTPs up to November, 2011. MES society has been implemented in A.P. under supervision of RDAT Ramanthapur, Hyderabad from 2007-08. The candidates trained are 2,70,000 upto September 2010. 222

Action plan for 2011-12 with an outlay of Rs. 13.70 crores covering 35,800 beneficiaries has been prepared. Accordingly, GOI released Rs. 6.31 crores. The training programmes have been taken up by 68 VTPs and the training is in progress. All the Government ITIs and Private ITCs were empanelled as VTP (Vocational Training Providers) for implementation of the scheme. Rajiv Udyogasri Society: Rajiv Udyogasri Society was registered in the year 2007. The main objectives of the society are: To provide training and placement to about 10 lakh educated / unemployed youth in the State. To identify the employment potential in different sectors. To train the youth in short term courses so as to cater to the needs of Industry. 13,77,893 youth were provided training under RUS scheme. 8,90,314 unemployed youth were provided placements up to 31.03.2011 through the efforts of the society. An amount of Rs.35.00 Crores is budgeted for the financial year 2010-11 and Rs.8.75 Crores has been released for the first quarter. An Action Plan has been prepared to train 1,35,630 youth with an outlay of Rs.80.43 crores for the year 2011-12. Major sectors of training cum placement under RUS are:IT, ITES, Construction, Textiles, Pharma, Chemicals & Fertilizers, Gems & Jewellery, Hospitality, Tourism, Accounting, Driving Line Departments involved in training cum placement under RUS society are:Employment & Training, MEPMA, Technical Education, Board of Intermediate Education, Collegiate Education, Youth Services, NAC, IEG, SC Corporation, AP Vikalangula Corporation, EGMM, OMCAP. Website developed to take RUS closer to its cliental through www.rajivudyogasri.gov.in, www.rus.gov.in. New Initiatives: GBFS training to about 30,000 youth of 2nd year of Degree course in association with NASSCOM and 6 Universities of Andhra Pradesh. Proposal to prepare youth of A.P.

to join Army & Allied Services through pre recruitment training. Skill development training in Wanaparthy, Mahabubnagar District for Women (on Embroidery Skills) has been initiated by M/s Foundation for Rural and Social Development. Rajiv Yuva Kiranalu (RYK) Rajiv Yuva Kiranalu (RYK) is conceived by the Government of Andhra Pradesh to build job specific skills among the unemployed and place them in appropriate private jobs. Vision of RYK is to convert large number of non-literate, school drop out, unskilled and unemployed youth into productive workforce by building their skills thereby promoting inclusive growth. The mission proposes to employ 15 lakh youth in jobs in the private industry by 2014. The implementation shall be on a mission mode. To operationalise the programme, Government have set up a High level council Rajiv Education and Employment Council of Andhra Pradesh (REECAP) up under the Chairmanship of Honble Chief Minister with 9 Cabinet Ministers, Principal Secretaries of relevant departments and 10 representatives of the Industry and Academia for creating necessary policy environment and guiding the implementation process. This is a unique body which brings the best of Govt. Industry and Academia together to maximize opportunities for the unemployed youth. An exclusive State Level Society named as Rajiv Education and Employment Mission in Andhra Pradesh (REEMAP) has been registered to coordinate the efforts of all submissions on a mission mode. REEMAP will function through the following seven submissions constituted in seven Government departments. 1. Identification, training and employment of unemployed youth in rural areas to be headed by CEO, Employment Guarantee and Marketing Mission. Identification, training and employment of unemployed youth in urban slums to be headed by Director, Mission for

3.

4.

5.

6.

7.

Elimination of Poverty in Municipal Areas(MEPMA). Identification, training and employment of unemployed youth in urban areas, headed by the Commissioner, Employment and Training Responsible for ensuring placement of students passing out of the technical and professional institutions to be headed by Commissioner, Technical Education Identification, training and employment of physically challenged youth in the urban and the rural areas and to be headed by the Director/Commissioner, Disabled Welfare. The Submission shall be responsible for mobilization, training and employment of Minorities in the State except Hyderabad District. The Submission shall be responsible for mobilization, training and employment of all categories of youth in Hyderabad District.

2.

Employment & Training sub-mission A target of 38,609 is fixed to the Department of Employment & Training for the year 2011-12. The main objective of this programme is to enhance the employable skills of unemployed youth in various sectors so that, a pool of skilled manpower can be maintained to meet the requirements of the Industry/ Establishments. So far, 307 training centres are imparting skills to 10856 candidates in various sectors at I.T.Is. As on date, 9207 were shown placements by the Department of Employment & Training through Job Melas, Rajiv Udyogasri Society (RUS), Modular Employable Skills (MES) etc. All the Govt./Pvt. I.T.Is and District Employment Exchanges are registering the candidates under Rajiv Yuva Kiranalu. So far, 97,684 candidates have enrolled their candidature in Rajiv Yuva Kiranalu Portal. It is ensured to reach the 38,609 target fixed for the year 2011-12 to the Department of Employment & Training.

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10. ELEVENTH FIVE YEAR PLAN A REVIEW

Eleventh Five Year Plan (2007-2012) - An overview: The 11th Five Year Plan provided an opportunity to restructure policies to achieve a new vision of growth that will be more broad based and inclusive, bringing about a faster reduction in poverty and helping bridge the divides that are currently the focus of greater attention. The first steps in this direction were in fact initiated in the middle of the Tenth Plan. The strength of the fundamentals of the State economy was evident from a noteworthy transition to a high growth path during the 10th Five Year Plan period. With this backdrop of an impressive record of economic growth coupled with an assured positive upsurge in the living standards of the people, the State along with the Nation is approaching culmination of the Eleventh Five Year Plan on an optimistic note. Rapid and inclusive growth was the core theme of the 11th Five Year Plan with main emphasis on the Social sector and delivery of services therein. Education, in particular, was accorded utmost priority during the 11th Five Year Plan period. Broadly, socio-economic trends in Andhra Pradesh in the past few years have delineated a distinct dynamic and expansionist phase since 2004-05 spanning the Tenth and the Eleventh Five Year Plan periods covering all the sectors of the State economy. In fact, a period of consolidation followed from 200809, spurred by the global slowdown with negligible growth in agriculture bringing down the overall growth rate for the year to 6.88% from an overwhelming 12.02% in the previous year. With 11th Five Year Plan nearing completion and 12th Five Year Plan on the anvil, a review of the performance of the economy for the entire 2007-08 to 201112) will throw light on the development that took place across sectors during the 5-year period. One perceptible improvement is in the standards of living of the people in the State in the recent past, attributable to a number of strategic initiatives put in place by the Government over the years. A summary of performance of 11th Five Year Plan: The overall and comprehensive picture of the growth and plan performance during the 11th Five Year Plan and performance of various Flagship programmes being implemented in the state are presented below. Economic growth The state economy, as measured by growth in the real Gross State Domestic Product (GSDP), on an average is expected to grow at 8.33% during the 11th Five Year Plan period (2007-12) even surpassing the All Indias GDP growth of 7.94% for the same period. Interestingly, the State economy grew faster than All-India during the 9th, 10th and 11th Five Year Plans in which the state registered average annual growth rates of 5.59% (5.52%), 8.19%(7.68%) and 8.33% (7.94%) respectively where the growth rates indicated in brackets pertain to All-India. The State had set for itself a growth target of 9.5% for the 11th Five Year Plan as against 9% for the Nation. Although there is some shortfall in the overall achievement as compared to the target both at the State level and at the National level, the growth achievement, especially of the State, during the 11th Plan could still be considered awesome, keeping in view of the fact that three years of the 11th Plan period(2008-09, 2009-10 and 2011-12) got adversely impacted either by global slowdown or unfavourable seasonal conditions and floods. A cursory glance at the growth pattern reveals that the achievement during the years in the beginning and penultimate years of the 11th Plan have chiefly contributed for the overall surge in the 11th plan. Especially, this impressive growth performance is marked by a phenomenal growth in the beginning year (2007-08) of the 11th Plan period when the State could register an overwhelming growth rate of 12.02% and a highly impressive growth rate of 9.96% during the 4th year

224

(2010-11) of the 11th Plan period. In between, despite the impact of the global slowdown, the State could muster moderate growth performance during the years 2008-09 and 2009-10. The perceptible recovery in the growth pattern during 2010-11 which was expected to augur well for the residual year of the 11th Five Year Plan was somewhat hindered by the extreme drought conditions that prevailed in most parts of the State during the year 2011-12. With agriculture sector estimated to register a decline(-1.54%) and Industry and Services sectors to grow at 7.33% and 9.80%, the overall growth rate for 2011-12, as per the advance estimates is poised to be moderate at 6.81%, a few notches below the Nations corresponding growth of 6.88%. Regarding sectoral growth rates, Agriculture sector unlike during the 10th Plan period, showed certain signs of recovery and posted an average growth of 5.38% during the 11th Plan period. While the Industries sector grew at 8.19% during this period the Services sector continuing its predominance, posted a healthy growth rate of 9.62%. The foodgrain production in the State after touching a record level of 204.21 lakh tonnes during the year 2008-09 has slipped to 156 lakh tonnes during 2009-10 due to adverse seasonal conditions. Despite repeated floods, the foodgrain production in the State reached to a level of 203 lakh tonnes during 2010-11. However, the foodgrains production is estimated to be around 173 lakh tonnes during 2011-12 due to deficient rainfall and consequent drought conditions prevailed across most parts of the State leading to declaration of 876 mandals as drought affected. Priority is being given to develop clusters for improving productivity through good horticultural practices. Creation of Post harvest Infrastructure facilities like Pack Houses, Cold Storages and Ripening chambers are found to be of paramount importance for development of Horticulture being taken up in the State through Micro Irrigation Project, Horticulture Mission and Raastriya Krishi Vikas Yojana (RKVY). During the 11th Plan period, Agriculture sub 225

sector(including Horticulture) which on the average contributes more than 56% of the Agri-GSDP and 11.86% of the GSDP grew at 3.42%. The impact of slowdown coupled with adverse seasonal conditions in the State is evident in all the sub-sectors within Agriculture sector, except Livestock. This sub-sector of late has emerged as an important alternate source of income to a large number of small and marginal farmers, particularly in the drought prone areas. Innovative activities like Pasukranthi, Jeevakranthi, Sheep Insurance etc., taken up in the interest of farmers welfare, appear to pay dividends. The State accounts for more than 10% of the countrys livestock and it ranks 1st in Egg and Meat production and 2nd in milk production. The Government has formulated a State Milk Mission envisaging a huge outlay benefiting 25 lakh persons in the State and spreading over a period of next five years to enhance with production in the State. The Livestock sub-sector which on the average contributes more than 26% of the Agri-GSDP and 5.56% of the overall GSDP has grown at 8.55% during the 11th Plan period. Fisheries is yet another promising sub sector in the State. The State ranks second in the country in fish production. The Fisheries subsector which on the average contributes 12.06% of the Agri-GSDP and 2.55% of the overall GSDP has grown at 10% during the 11th Plan period. Forestry in the State is consistently growing below par averaging 2.5% during the 5-year period. Several Forestry programmes to protect and develop the existing forest aiming to bring 33% of land area under Tree Cover are being implemented. Nearly 5.19 lakh hectares of degraded forest is being protected, developed and managed by Vana Samrakshna Samithis in the State. The Forestry & Logging sub-sector which on the average contributes 5.57% of the Agri-GSDP and 1.18% of the overall GSDP has grown at 2.40% during the 11th Plan period. Overall during the 11th Plan period, the Agriculture sector on the average contributed 21.15% of the GSDP and grew at 5.38%.

The growth in the Industry sector during the 10th Plan was 10.18% and it is 8.19% during the 11Th Plan, due to the impact of global slowdown. The Power and other physical infrastructure required to grow faster to sustain the industrial growth momentum. Within the Industry sector, Construction subsector, maintained a steady and sustained growth consistently. During the 11th Plan, the Construction sub-sector grew at an overwhelming rate of 11.06%. Mining & Quarrying subsector, showed volatile trends. However, after witnessing a slump during 2008-09, this subsector which recovered in the subsequent years fell considerably registering a paltry growth of 0.90% during 2011-12. The manufacturing sub-sector(registered), which on the average accounts for 9.31% of the GSDP, grew at 9.63% during the 11th Plan period. The manufacturing has to grow at a higher pace if the Industry sector were to propel the overall growth momentum and employment. Overall during the 11th Plan period, the Industry sector on the average contributed 25.6% of the GSDP and grew at 8.19%. Services sector continues to garner a lions share(over 55%) in the GSDP and the consistently high growth rates have resulted in a growth of 9.62% during the 11th Plan period. Among the sub-sectors of the Services sector, Communications, Banking & Insurance, Real estate & Business services and Transport (other than Railways) & Storage show promise. Noteworthy increases in the Per Capita Income in the recent past broadly indicate the improvement in the livelihoods of the people. The Per Capita Income of the state at current prices has more than doubled in a span of five years- from Rs. 33,135 during 2006-07 to Rs. 71,540 in 2011-12. In fact, the growth in Per Capita Income of the State during this period is more rapid compared to All-India. Effective implementation of several povertyalleviating and employment generating programmes of the State as well as of the Centre, aided by a better delivery mechanism and safety nets in place in the state, appear to

have helped the people maintain relatively better standards. Annual Plans A recap of performance: The sum of the outlays approved by the Planning Commission for the annual plans of the Eleventh Plan Period (2007-08 to 201112) worked out to Rs.1,87,796.75 Crore. An amount of Rs.1,43,879.96 crore has been spent during the period 2007-08 to 2011-12 accounting for 76.61% of the total actual outlay. In all the foregoing paragraphs, while analyzing the financial performance during the 11th Plan period, the expenditure refers to the period 2007-08 to 2011-12(upto December,2011). On the average, for the four year period, Economic Services accounted for about 63.94% of the total outlay, while Social Services accounted for a little over 35.50% and General Services less than 1% of the total outlay. Irrigation sector with an outlay share of 39.8% and Housing with 8.9% share are the major stakeholders in the total outlay. Other prominent stakeholders include: Rural Development, Urban Development, Welfare and Agriculture sectors. A perusal at the broad sectoral classification reveals that in the Eleventh Five Year Plan, under Economic Services an outlay of Rs.120068.51 Crores(63.94% of the total outlay) was provided against which Rs.90449.97 Crores(75.33% to sectoral outlay) has been spent. Outlay for Social services was Rs.66659.13 Crores (35.50% of the total outlay) and the expenditure is Rs. 52763.52 crores( 79.15% of sectoral outlay) and under General services outlay an amount of Rs.1069.11 crores was provided as outlay, which is less than 1% of the total outlay, an expenditure of Rs.666.47 crores was incurred. Under Economic services, sizable investments have been made in the irrigation and flood control sector to achieve the targeted agricultural growth by creating more irrigation potential. To this effect, the Government during the year 2004 has taken up plans for fully utilizing the available yields of Godavari and other rivers and initiated historical beginning named 226

JALAYAGNAM with aim of completing the ongoing and new other projects to provide immediate irrigation to water starving segments on top priority. Accordingly, the State Government has allotted an outlay of 40% i.e. Rs.74732.52 crores during the Eleventh Five year plan and incurred an expenditure of Rs.49264.40 crores which is 65.92% to its total outlay. The target of achieving a growth rate in excess of 4% in Agriculture sector in the Eleventh Five Year Plan period with an ultimate objective of improvement the production and productivity and thereby reduce poverty levels. Ensuring food security and providing employment to the labour force has been the essential premise for the socio-economic development of the people. Keeping this in mind, due priority was accorded to the Agriculture sector in the Eleventh Five plan period wherein the expenditure incurred was Rs.9407.37 Crores exceeding the outlay of Rs.7958.37 Cores. Under Rural Development Sector, with an aim to increase the productivity of degraded lands and create employment opportunities for the poor, appropriate planning, scientific approach and efficient management systems have been worked out and are being put in place. Development of degraded lands is an important input required for eradication of the poverty. In this direction, Watersheds Development Programme, Comprehensive Land Development Proramme and Wage Employment Programmes (MGNREGS-AP) are being implemented in the State. To this effect, greater emphasis was accorded in the Eleventh Five Year Plan period. An amount of Rs.15269.84 Crores(8.13% of total outlay) was provided and Rs.15266.42 crores has been incurred(99.98% to its outlay and 10.61% of the total expenditure). Transport Sector, with an outlay of Rs.10332.23 Crores accounted for a share of 5.50% in the total outlay during the Eleventh Five Year Plan, incurring an expenditure of Rs.9323.88 Crores(6.48% of the total expenditure). Under General Economic Services, the expenditure for Eleventh Five Year Plan

period is Rs.3943.90 Crores, which is 67.93% to its outlay of Rs.5805.85 Crores. Besides the achievements under the priority sectors like irrigation, agriculture and rural development and to ensure faster social development and achieving an inclusive pattern of growth, the state has committed itself to focus on increasing public spending on social sector-especially on Housing, Urban development and welfare of SCs, STs, minorities etc. To make own house a reality, the Government has given more emphasis on Housing Sector and allocated an outlay of Rs.16,688.36 crores for providing houses. To this effect, the Government incurred an The expenditure incurred is Rs.11187.35 crores (upto December, 2011) which is 67.04% to the outlay. To give more thrust to increase the nutrition level in the children, Mid-Day Meal Programme is being implemented in the state to children of 1st to 5th class in Government/ Local Bodies/Aided schools in order to improve retention in the schools and to achieve total literacy in the state and the programme was later extended upto 8th class. In the Eleventh Five year Plan, the Government is continued its focus on school education and initiated many steps like expanding mid-meal scheme and providing books free of cost to students upto 10th class in Government schools for increasing enrolment and for reducing drop outs. To this effect, under General education, an outlay of Rs.7994.20 crores has been allotted during the Eleventh Plan period and incurred an expenditure of Rs.5698.80 crores which is 71.29% to the outlay. The Government observed that the share of public expenditure on Health compared to its private counterpart is low. To correct this imbalance in the Eleventh plan, the Government has initiated various programmes to reduce the infant Mortality rate, Maternal Mortality rate, the Total Fertility Rate and to increase the Institutional deliveries and Children Immunization Rate. Government has taken up the initiative Rajiv Aarogya Sree Community Health Insurance under public private partnership 227

to improve access of BPL families to provide quality medical treatment of diseases involving hospitalization and surgery. To meet this objective, Government has allotted an outlay of Rs.6752.68 Crores on medical and public health with a share of 3.60% to the total outlay and incurred an expenditure of Rs.5891.09 Crores( 87.24% to its outlay) in the Eleventh Five year Plan. In all, the total State Plan expenditure during the Eleventh Plan period is Rs.143879.96 Crores (Upto December, 2011), which is 76.61% to the outlay of Rs.187796.75 crores. The detailed outlay and expenditure statement is annexed. Ensuring Equity and Social Justice: Consistent with recommendations of the Planning Commission to adhere to allocations for SCs and STs in proportion to their shares in the State population, on the average, the respective shares in the total outlays have been maintained under Scheduled Castes Sub Plan(SCSP) and Tribal Sub Plan(TSP) in the Annual Plans. Review of performance under priority initiatives/ programmes: The following is the outcome of some of the programmes /initiatives implemented during the 11th Five Year Plan. Some of the new initiatives launched during this period are also outlined hereunder. Agricultural resurgence: The state has been implementing a number of farmer-friendly initiatives to encourage farming in the state. These include supply of free power to Agriculture; insulate farmers from financial losses and to restore their credit eligibility in the event of crop loss through Agricultural insurance, disbursement of agricultural credit, debt waiver encouraging farme Rythu Sadassulu practices. Continuing the benefit, the Government have once again organized Rythu Chaitanya Yatras during May-June 2011 in 22 districts in the state with a holistic approach to educate the farmers at grass root level particularly small and marginal farmers. 228

Under these Yatras, 20.47 lakh farmers have been contacted and 3.37 lakh soil samples were collected and sent to Soil testing Laboratories. During June 2011, Rythu Sadassulu were organized to explain about the various schemes pertaining to Agriculture and its Allied sectors and to disseminate the Technological advances. Quality seed to farmers on 50% subsidy has been supplied. Enough quantities of fertilizers are being assured to farmers during Rabi- 2011-12. Further, adequate and timely credit support to farmers was also ensured to the possible extent. All-out efforts have been made to minimize pesticide consumption in the state through motivating the farmers through Polambadi programmes to follow Integrated Pest Management practices Andhra Pradesh is the first State to have promulgated an Ordinance Andhra Pradesh Land Licensed Cultivators Ordinance 2011, which aims to provide loans and other benefits to the tenant farmers through issue of Loan Eligibility Cards. With an intention to facilitate credit to tenant farmers and ensure financial inclusion, the lists of enrolled tenant farmers who were formed into Joint Liability Groups are made available with Banks. During 2011-12, till the end of September, an amount of Rs. 116 crore credit is extended to 34,227 non- loanee farmers and an amount of Rs. 205 crore of credit was extended to 96,845 tenant farmers. Promotion of SRI cultivation has been taken up in a big way by providing the necessary infrastructure on 50% subsidy in all the districts to cover an area of 3.50 lakh hectares. The State is also implementing a scheme Bhuchetana, as an integral part of RKVY. To encourage and support farmers the Government have recently launched a new scheme to provide interest free crop loans up to Rs 1 lakh upon prompt repayment from Rabi, 2011, benefiting 95 lakh farmers. Priority is being given to develop clusters for improving productivity through good horticultural practices. The Government has formulated a State Milk Mission envisaging an outlay in excess of Rs. 6000 crore spreading over a period of next five years to enhance the production.

The total new I.P. created from 2004-05 to 2011-12 (up to September-2011) is 9.154 lakh hectares new and 1.60 lakh hectares stabilization under Major, Medium, Minor and APSIDC irrigation project. Health Initiatives: Rajiv Arogyasri: One of objectives of the Eleventh Five Year Plan is to achieve good health for the people, especially the poor and underprivileged. Rajiv Aarogyasri Health Scheme is being implemented through Aarogyasri Health Care Trust in the state to assist 200 lakh poor families from catastrophic health expenditure. Since inception of the scheme (01.04.2007) till 30th September 2011, 29,021 Medical camps were held by the network hospitals in rural areas and 48.89 lakh patients were screened in these health camps. So far, 31.75 lakh patients were treated as outpatients and 13.48 lakh patients treated as in-patients in 346 network hospitals under the scheme. 11.90 lakh patients underwent surgery / therapy at pre-authorized amount of Rs. 3319.87 Crores. Emergency Transport(108) and Health Information (104) Services: Toll Free 108 (EMRI): to enable rural poor easy access to hospital services, free of cost, in times of emergency. Further, a Caller-free Telephone service(104) for the rural and urban population of the State to disseminate information, advice and guidance related to any health problem have been undertaken by the Government. Under the 108-service scheme, 5.06 lakh patients were transported during January to September 2011. Further, under 104-service scheme, 1.88 Crore calls were made under the service during 2010-11. An amount of Rs. 5891.09 crores has been spent towards Medical & Public Health sector in the State during the 11th Plan. Education: To make education more meaningful and effective, the State Government has been implementing several schemes of its own and 229

those sponsored by the Government of India. The enrolment in the state during 2010-11 was 133.18 lakhs in all types of schools, out of which 54.64 lakhs were in Primary schools; 23.30 lakhs in Upper Primary and 53.97 lakhs were in High schools. In Higher Secondary, there was an enrolment of about 1.27 lakhs. The enrolment of children consists of about 53.49% in Primary stage (IV), 18.96% children in upper primary (VIVII) and 24.45% in secondary stage (VIII-X). An amount of Rs. 5698.80 crores has been spent towards General Education in the State during the 11th Plan. Housing & Pensions under INDIRAMMA: Under Weaker Section Housing Program, since inception till the end of 31st March 2011 1,00,57,318 houses have been completed comprising of 92,42,451 in rural areas and 8,14,867 in urban areas. During the year 2011-12 (upto September, 2011), 2,21,972 houses have been completed, of which 2,06,492 are in rural areas and 15,480 are in urban areas. Incidentally, Housing sector happens to be the 2nd largest shareholder of Plan budget, falling only behind the massive Irrigation sector. A total of 71,96,034 pensions are targeted to be distributed every month. During 2010-11, an amount of Rs. 1922.18 crore was distributed to 66,33,631 pensioners. For the year 2011-12, an allocation of Rs. 1922.86 Crores was made in budget and the Government have released an amount of Rs.1436.02 Crores and Rs.1343.82 Crores is distributed to 68,29,962 pensioners(upto Nov.11). Self Help Groups(SHGs) The concept of Indira Kranthi Patham has been evolved with an objective of enabling all the rural poor families in 22 rural districts of Andhra Pradesh to improve their livelihoods and quality of life. All households below the poverty line, starting from the poorest of the poor are the target group of Indira Kranthi Patham At present there are 1,11,02,494 SHG members in 9,94,595 SHGs organized into 38,550 Village Organizations (VOs) and

1098 Mandal Samakhyas(MSs). Total savings & corpus of SHG members are Rs.3383.10 crores and Rs.5070.51 crores respectively. Social capital created during the project period up to September, 2011 is 1,73,841. Social Harmony From the year 2008-09, applications and sanction of scholarships to S.C, S.T and B.C students were made ONLINE to ensure that scholarships reach the students by the 1st of every month and also to ensure transparency by keeping all the information in the public domain. Apart from the above, other educational and economic development programmes are also being implemented to SC,ST,BC and Minorities. An amount of Rs. 10802.47 crores has been spent towards welfare of SCs, STs, BCs and Minorities in the State during the 11th Plan. Urban Development Economic growth, substantially driven by Industries and Services sector is witnessing accelerated demographic expansion of urban population, not seen during last century. The emerging challenge needs to be tackled on multiple fronts simultaneously. An amount of Rs. 10700.45 crores has been spent for Urban Development in the State during the 11th Plan. Industry: There are 114 SEZs approved by the Government of India and of these, 75 are notified and 27 SEZs have become operational. The projected direct employment generation is 8,50,022 and created employment is 97763 so far. The projected investment is Rs. 1,05,447 crores and achievement so far is Rs. 14,267.43 Crores. An amount of Rs. 1504.72 crores has been spent under Industries & Minerals sector during the 11th Plan. Information Technology Information Technology and Communications continue to thrive in our State. I.T. 230

exports worth Rs.12,521 crores during 200506 have increased to Rs.18,582 crores during 2006-07 and further to Rs. 35,022 crores during 2010-11. Similar upward surge in IT exports is expected to continue during 201112 also. Curbing Left Wing Extremism- Integrated Action Plan(IAP): With the aim of giving a fillip to development schemes in tribal and backward regions, mostly affected by Naxal violence, GOI have originally taken up an Integrated Action Plan (IAP) in 60 selected districts across the Country. In Andhra Pradesh State, the IAP programme is implemented in Khammam and Adilabad districts. However, recently, 6 more districts, namely, Srikakulam, Vizianagaram, Visakhapatnam, East Godavari, Warangal, and Karimnagar have been included under IAP. These new districts are provided with an amount of Rs. 30.00 crore each for implementing the developmental works in the year 2011-12. It is aimed at quick resolution of problems concerning healthcare, drinking water, education and roads. Developmental works have been taken up in the LWE districts on a war footing. Performance of Flagship programmes: With a view to impart greater momentum to the efforts being made in various sectors, the Government of India has launched flagship programmes under Economic infrastructure sector and Social sectors. In all 14 flagship programmes are being implemented in the State. In the recent past, there has been a growing concern on the implementation of flagship programmes. The Chaturvedi Committee Report on restructuring of the Centrally Sponsored Schemes(CSS) suggested flexibility in the design of the CSS to be given to States to meet their special local needs. The Committee suggested that 20% of the budget allocation in all the CSS (10% in Flagship schemes) to be called flexi funds should be earmarked in each scheme for this purpose. Effective implementation of flagship programmes of the Government of India is

going to be cornerstone of development in the coming years, especially during the 12th Five Year Plan and beyond. The flagship programmes being implemented by the State are: Rashtriya Krishi Vikas Yojana (RKVY), National Horticulture Mission (NHM), Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS), Accelerated Irrigation Benefit Programme (AIBP), Rajiv Gandhi Grameena Vidyutikaran Yojana (RGGVY), National Rural Drinking Watersupply Programme (NRDWP), Total Sanitation Campaign (TSC), Indira Awaas Yojana (IAY), Jawaharlal Nehru National Urban Renewal Mission (JNNURM), Pradhan Mantri Gram Sadak Yojana (PMGSY), Sarva Shiksha Abhiyan (SSA), Mid Day Meal Scheme (MDM), National Rural Health Mission (NRHM) and Integrated Child Development Services (ICDS). The sector-wise performance of various flagship programmes during the 11th Five Year Plan period is briefed hereunder. Rashtriya Krishi Vikas Yojana (RKVY) Government of India (GOI) have launched Rashtriya Krishi Vikas Yojana (RKVY) as an Additional Central Assistance scheme in the year 2007-08 to incentivise states for increasing investments in Agriculture and Allied Sectors to achieve a annual growth in excess of 4%. RKVY is a 100% GOI funded Scheme under Additional Central Assistance (ACA). Objectives: To ensure that the local needs/crops/priorities are better reflected in the agricultural plans of the states.

To achieve the goal of reducing the yield gaps in important crops through focused interventions. To maximize returns to the farmers. To bring quantifiable changes in production and productivity of various components by addressing in a holistic manner. During the 11th Plan period(upto Dec.2011), an amount of Rs. 1596.25 crore has been spent under the scheme. Accelerated Irrigation Benefit Programme (AIBP) Government of India have initiated assistance under Accelerated Irrigation Benefit Programme (AIBP) to complete the ongoing Major and Medium Irrigation projects taken up with Central Water Commission and Planning Commission Clearances, since 199697 to create Irrigation Potential at Optimum cost, based on the guidelines issued from time to time. Projects Sanctioned: 33 projects (7 Major and 16 Medium Irrigation Projects) have been included under A.I.B.P. since 1996-97. 11 Projects (i.e., 5 Major and 6 Medium Irrigation) included prior to 2004 2005. A total amount of Rs. 10787.50 crores has been spent during the 11th Five Year Plan 2007-08 to 2011-12(upto Nov.2011) under various AIBP projects in the state. Jawaharlal Nehru National Urban Renewal Mission (JNNURM) Objective: In order to cope with massive problems that have emerged as a result of rapid urban growth, reforms driven, fast track, planned development of identified cities on a mission mode with focus on efficiency in urban infrastructure/services delivery mechanism, community participation and accountability of Urban Local Bodies/ Parastatals towards citizens. The Government of India has initiated JNNURM. The main components are: Urban Infrastructure and Governance (UIG), Basic Services for the Poor (BSUP), Urban Infrastructure and Development Scheme for Small and Medium Towns 231

(UIDSSMT) and Integrated Housing and Slum Development Programme: (IHSDP) Sanctioned Projects: 252 projects costing Rs. 12230.74 crore are sanctioned under JnNURM. So far an amount of Rs.5648.40 crores has been spent during the 11th Five Year Plan. Mid Day Meal Scheme (MDM): The objective of the scheme is to improve the Nutritional Status of children. The scheme also envisages encouraging poor children, belonging to disadvantaged section to attend school more regularly and to provide Nutritional Support to children. Coverage: 59,608 Primary Schools 10,016 Upper Primary Schools and 10137 High Schools covered with enrollment of 84.90 lakh children. Total 78.05 lakhs children have been benefited under the scheme. Under the Mid-Day Meal programme, an amount of Rs. 1556.60 crores, has been spent during 11th Five Year Plan period(Till Dec.2011). The amounts include the state contribution besides the Central allocation. Integrated Child Development Services (ICDS) The Integrated Child Development Services (ICDS) is a centrally sponsored scheme and is the single largest integrated programme of Child Development. For undertaking various ICDS activities, an amount of Rs. 3803.72 crores has been spent during 11th Five Year Plan 2007-08 to 201112 (till Dec. 2011). A total of no. 387 ICDS projects have been implemented with 91,307 AWCs are operational in the state. With regard to physical achievements under Supplementary Nutrition, in all 75.82 lakh persons have been benefited under the programme during the year 2011-12. National Rural Drinking Water Programme (NRDWP) National Rural Drinking Water Programme (NRDWP), was launched by GOI in 2009-10 in place of Accelerated Rural Water Supply Programme (ARWSP). The programme

intends to provide safe and adequate drinking water facilities to quality affected habitations, not covered habitations and partially covered habitations in rural areas. The program provides special thrust on sustainability of drinking water sources and funds recharge structures with 100% grant. An amount of Rs. 3724.09 crores was spent during 11th Plan (till Dec.2011) under the National Rural Drinking Water Programme for providing drinking water to 72,407 habitations. 40,287(55%) are fully covered with supply of 40 Litres Per Capita Per Day (LPCD) and more safe drinking water, a norm for fully covered status and 32,120(45%) habitations partially covered and 585 are quality effected. Total Sanitation Campaign (TSC) Total Sanitation Campaign (TSC) has been proposed by Government of India to ensure sanitation facilities in rural areas with broader goal to eradicate the practice of open defecation by bringing about behavior change. This programme is being implemented with the District as a unit. An amount of Rs. 341.39 crores was spent during 11th Plan (till Dec.2011) under the Total Sanitation Campaign Programme for providing to 78.23 Lakh Toilets in various components. Indira Awaas Yojana (IAY) The scheme intends to provide Houses to BPL families (SC/ST/Minorities) living in rural areas. Under the IAY programme, in all, a total amount of Rs. 4344.28 crores has been spent during the 11th Five Year Plan (upto Dec. 2011). The amounts include the state contribution besides the Central allocation. Under the IAY scheme, Further, 9,45,428 houses to SC/STs and 164753 houses to Minorities have been sanctioned under and centrally sponsored IAY programme during last 6 years. Sarva Shiksha Abhiyan(SSA) Sarva Shiksha Abhiyan has been introduced during 2001-02, with an aim to provide useful and relevant Elementary Education for 232

all children in the 6 to 14 age group. SSA intends to bridge social, regional and gender gaps, with the active participation of the community in the management of schools. The funding pattern for the year 2011-12 is 65:35, between GOI and GOAP. Under the SSA programme, an amount of Rs. 5667.73 crores was spent during the 11th Five Year Plan 2007-08 to 2011-12(till Dec.2011). Pradhan Mantri Gram Sadak Yojana (PMGSY) Pradhana Manthri Gram Sadak Yojana (PMGSY) was launched with an aim to provide all-weather access to unconnected habitations. It is 100% centrally sponsored scheme. All weather connectivity is to be provided to all the habitations with population of 500 and above (250-500 in case of hilly and tribal areas) under this programme. The programme was commenced in the year 2000-01. Under this programme, in all, a total amount of Rs. 2087.38 crores has been spent during the 11th Five Year Plan (upto Dec. 2011), covering a total road length of 19,767.23 km under 6142 completed works. National Horticulture Mission (NHM) The State Horticulture Mission(SHM) in Andhra Pradesh was launched on 3rd November, 2005, under National Horticulture Mission with the following main objectives: To provide holistic growth of the horticulture sector in cluster approach which include research, technology promotion, extension, post harvest management, processing and marketing. To enhance horticulture production, improve nutritional security and income support to farm households. To establish convergence and synergy among multiple on-going and planned programmes for horticulture development. To create opportunities for employment generation for skilled and unskilled persons, especially unemployed youth.

5.Banana 6. Papaya and 7.Cashew 8. Flowers 9. Spices For carrying out the said activities, an amount of Rs. 564.83 crores during the 11th Five Year Plan (upto Dec. 2011) has been spent. Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) Mahatma Gandhi National Rural Employment Guarantee Act gives legal guarantee of providing at least 100 days of wage employment to rural households whose adult members are willing to do unskilled manual labour. The programme is covered in all the Rural areas in 22 Districts in three phases. Since inception of the scheme, an amount of Rs.17342.40 crores during the 11th plan 2007-08 to 2011-12 (upto Dec. 2011) had been spent. This has resulted in the generation of 143.65 crore person days of employment. The Government has enhanced the number of work days per year 125 and the wage rate Rs. 121 per day. This programme has so far covered 91.34 Lakh households through issuing job cards in 22 districts of Andhra Pradesh. The implementation of the scheme in Andhra Pradesh has been improving over time. Implementation of the programme in the State has received much acclaim by various apex level bodies and monitoring agencies. National Rural Health Mission (NRHM) The Rural Health scheme was launched by the GoI with focus on: Reduction in Infant Mortality Rate (IMR) and Maternal Mortality Ratio (MMR) Universal access to public health services such as Womens health, child health, water, sanitation & hygiene, immunization, and Nutrition. Prevention and control of communicable and non-communicable diseases, including locally endemic diseases Access to integrated comprehensive primary healthcare

The focus crops under SHM are:1.Mango 2. Sweet Orange 3. Sapota 4. Pomegranate

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 Population stabilization, gender and demographic balance. Revitalize local health traditions and mainstream AYUSH Promotion of healthy life styles For implementation of various items subsumed under NRHM, in all an amount of Rs. 2818.00 crores has been spent during the 11th plan 2007-08 to 2012-12(till Dec.2011). The scheme covers several health parameters. Rajiv Gandhi Grameena Vidyutikaran Yojana (RGGVY) The Government of India has introduced Rajiv Gandhi Grameen Vidyutikaran Yojana

(RGGVY) programme in the year 2005 with the twin objectives of electrification of villages and to provide access to electricity to BPL households in the country. An amount of Rs. 874.33 crores was incurred under the programme during the 11th plan 2007-08 to 2010-11(till Dec.2011). So far, 13,882 un-electrified habitations and 32,96,738 rural households including 26, 69,147 BPL RHHs, have been electrified up to the end of the December, 2011.

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11. TWELFTH FIVE YEAR PLAN (2012-17) A WAY FORWARD

Backdrop: The Eleventh Five Year Plan (2007-12) is nearing completion and the State along with the Nation is gearing up for the launch of the 12th Five Year Plan slated to commence from the 1st April, 2012. Andhra Pradesh State, keeping its surge in the economy in the past few years, especially after 2004-05, had fixed the growth target to be 9.5% during the 11th Five Year Plan. The achievement although falls short of the target like its All-India counterpart, is none the less encouraging. With an average annual growth of 8.33% for the 11th Plan (2007-08 to 2011-12) even surpassed the All-Indias growth rate of 7.94% during the same period. With the fairly decent growth experience behind, the Nation is poised to make yet another impressive mark during the 12th Five Year Plan and has come out with an approach paper with the likely strategies and disaggregated sectoral growth targets. 12th Five Year Plan(2012-17): The main goal of the 12th Plan would be faster, sustainable and more inclusive growth. The Government of India had initiated a structured process for preparing its approach paper for 12th Five Year Plan by involving the civil society and NGOs, seeking their inputs, suggestions and experiences in identifying challenges and areas that require special focus. The Central Government had released its draft approach paper for the 12th Plan and placed it for discussion in the NDC meeting. An overall growth target of 9% is envisaged by the GoI for the 12th Plan with sectoral targets for Agriculture, Industry and Services sectors as 4%, 9.6% and 10% respectively with probable inflation ranging somewhere between 4.5% and 5% for the plan period. 235 One important feature of the growth experienced in the Eleventh Plan, which is relevant for inclusiveness, is that high rates of economic growth have been more broadly shared than ever before across the States. Andhra Pradesh Preparations for 12th Plan: In line with the thinking of the Planning Commission, GoI, the State Government have also started the process in a similar manner and have designated the Centre for Economic and Social Studies(CESS), Hyderabad as the nodal agency for preparing the draft approach of the 12th Plan of Andhra Pradesh. The State Government in its endeavour to firm up the ideas and prepare appropriate strategies and eventually come up with an approach for its 12th Five Year Plan in line with the thinking of the Government of India, have broadly formed ten Working Groups covering Agriculture, Industry and Services sectors and stationed them at the CESS. Each of these Working Groups is headed by a Professor/Senior faculty from the CESS and ensuring due representation from line departments, NGOs, Civil Society Organizations. These Working Groups made detailed discussions with the respective line departments for firming the strategies for preparing the approach for the 12th Plan in line with States thinking and with broad overall Nations objectives. The Honble Chief Minister had participated in the Southern States Chief Ministers Regional Conference at Bengaluru on the approach for 12th Five Year Plan during October, 2011 and indicated the States most likely priorities for the 12th Plan. In the 56th National Development Council (NDC) meeting on Approach to 12th Five Year Plan also the States approach and Strategies for the 12th Five Year Plan were discussed. Some of the issues identified include: Priority continues to be accorded to

agriculture in the State and subsidy provided to power use, interest on the loans and other inputs. The State is making large investments in developing water potential both for irrigation and for drinking purposes as well. The approach aims to provide an opportunity to restructure policies to achieve a new vision of growth that will be faster, more broad-based, sustainable and more inclusive. The overall strategy would be to look beyond growth and focus on generation of employment to the millions of the youth in the State. This would eventually result in a faster reduction in unemployment and poverty through skill development and also help bridging multiple divides. The State Government has identified the need for substantial increases in plan outlays to the identified core sectors viz., Agriculture, Livestock, Fisheries, Horticulture, Industries, IT, Tourism, Youth Welfare and Minority welfare from the first year of the 12th Plan itself i.e., Annual Plan 2012-13. Flagship programmes: One area that attracts due attention during the 12th Plan period would be implementation of flagship programmes more effectively. As observed in the approach paper of the GoI for the 12th Plan, there is a proliferation of centrally sponsored schemes over a period of years which led to poor implementation, duplication, lack of convergence and sub-optimal results. There is an urgent need to transform the system and sharply reduce the number of schemes. Result Framework Model: The State Government is also working out on evolving a Result Framework on the lines of the Government of India which provides a summary of the most important results that a department expects to achieve during the financial year. This document has two main purposes: (a) move the focus of the department from process-orientation to results-orientation, and (b) provide an objective and fair basis to evaluate 236

departments overall performance at the end of the year. Fitting into the Result framework, the State Government is embarking on an innovative idea to identify 5 most important outcomes of core departments for regular and systematic monitoring for better results, shifting the traditional focus from the outlays to outcomes. Growth Vision With the experience gained during the last few years through implementation of several welfare and developmental programmes reinforced with fiscal discipline, Andhra Pradesh is confident of targeting a growth of 10% during the 12th Plan period with the corresponding sectoral growth targets of 6% for Agriculture, 10.5% for Industry and 11.5% for Services. The most important thrust area, among other key issues, identified by the State for effectively utilizing the abundant labour force would be enhancing skill development since demographic dividend can add to growth potential, subject to fulfillment of two conditions First, much higher levels of health, education and skill development must be achieved. Second, creation of an environment in which the economy not only grows rapidly, but also expands good quality employment/livelihood opportunities to meet the needs. The State is totally committed to ensure the delivery mechanism robust and hassle-free through a process of appropriate mechanism. The Government is equally keen to ensure that the Aadhaar-based Smart Card System is in place at the stroke of the commencement of the 12th Five Year Plan i.e, positively by 1st April, 2012. This would help ensure optimum utilization of scarce resources so that the benefits would reach the eligible and needy through plugging the possible delivery leakages.

Key issues to be addressed: In these challenging times, the State is totally committed to the measures taken by Government of India, which has taken up a number of initiatives including entitlement based legislations for growth, equity, inclusiveness and security. For achieving the desired growth targets, it requires continual leadership to forge consensus among States for issues like early implementation of the Goods and Services Tax (GST) which is expected to spur growth. In addition, in the implementation and financing of the Centrally Sponsored Schemes, there is a need for providing some flexibility to the

states to take care of their state specific priorities and programmes. Further, State is also proposing to focus more on Flexiflagship programmes which would help the State to use the funds more effectively through dovetailing with State funds and target them for local-specific requirements. The final thrust areas and broad strategies of the State for the 12th Five Year Plan would be ready in a few months time.

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