Jagan slams Amaravati as ‘capital of corruption’, pitches alternative MA–VI–GUN corridor

Amaravati: Former Chief Minister and YSRCP president YS Jagan Mohan Reddy on Wednesday called the Amaravati capital project a ‘capital of corruption’ and financially unviable.

He proposed an alternative ‘Plan B’ to develop a capital corridor linking Machilipatnam, Vijayawada and Guntur.

Addressing the media at the party’s central office in Tadepalli, Jagan questioned the feasibility of mobilising nearly Rs 2 lakh crore for Amaravati and alleged large-scale irregularities in project execution, even as he argued for a decentralised and cost-effective development model.

‘MAVIGUN’ corridor as an alternative

Jagan said his government had proposed a 110-km capital corridor along the existing highway connecting Machilipatnam, Vijayawada and Guntur, which he termed “MAVIGUN” (MA–VI–GUN).

He noted that the region already has strong infrastructure and a combined population base of over 30 lakh, making it suitable to evolve into a metropolitan growth engine.

“Instead of building everything from scratch in Amaravati, we suggested utilising existing urban centres and infrastructure to develop a functional capital region,” he said.

‘Plan B’ could save Rs 1.9 lakh crore

Highlighting the financial aspect, Jagan claimed that the MAVIGUN model could save up to Rs 1.9 lakh crore compared to the Amaravati project.

He said even allocating 10 per cent of the proposed Amaravati expenditure would be sufficient to develop essential government infrastructure within the corridor.

Questions over Amaravati funding and model

Jagan raised doubts over the government’s claim that Amaravati is a self-financing project, pointing out that loans are being raised and budgetary allocations made.

“If it is self-financed, why is public money being used?” he asked, alleging that the project structure indicates ‘layers of corruption’ benefiting select contractors.

He also questioned the timeline and practicality of completing such a large-scale greenfield capital.

Allegations of inflated costs

Detailing alleged irregularities, Jagan said Rs 13,000 crore had already been drawn for the project, with about Rs 5,300 crore allegedly paid as mobilisation advances.

He claimed construction costs were being quoted at over Rs 14,000 per sq. ft., significantly higher than standard urban construction costs, and alleged that infrastructure works like flyovers were being executed at disproportionately high rates.

Going back to three-capital model

Reaffirming his party’s decentralisation policy, Jagan said the three-capital model was designed to ensure balanced regional development without overburdening State finances.

Under this approach, Visakhapatnam was proposed as the executive capital, Amaravati as the legislative capital and Kurnool as the judicial capital.

“We are not against Amaravati, but against corruption in its name and the neglect of other regions,” he said.

Criticism of policy decisions

Jagan termed the Assembly resolution on Amaravati a ‘diversionary tactic,’ asserting that the Centre has no role in deciding State capitals.

He also alleged that alternative proposals, including the MAVIGUN corridor, were ignored by the present government.

Excessive focus on Amaravati

Accusing the government of focusing excessively on Amaravati, Jagan said such an approach could push the State into a debt trap and sideline welfare schemes in sectors like education, healthcare and agriculture.

He further claimed that several grand promises associated with Amaravati, such as large-scale infrastructure and global-standard facilities, have not materialised as projected.

‘Will continue to expose irregularities’

Expressing concern over the State’s financial health, Jagan said his party would continue to highlight alleged irregularities linked to the capital project.

“Our priority is balanced development and creating sustainable growth engines that benefit all regions without burdening the people,” he said.