CM Chandrababu Disburses ₹250 Crore Compensation To Velugonda Evacuees

Andhra Pradesh Chief Minister N Chandrababu Naidu has disbursed ₹250 crore in compensation to families displaced by the Velugonda project in the third phase, taking the total compensation released so far to ₹768 crore.

The latest payment benefited 2,027 displaced families. In the first phase, 2,557 families received ₹318 crore, while 1,622 families were provided ₹200 crore in the second phase. With the latest disbursement, 6,206 families have received compensation under the three phases.

The government said 85% of the rehabilitation and resettlement works linked to the project have been completed. Naidu is scheduled to inaugurate the first phase of Velugonda and release water on August 31. The project is expected to fulfil a decades-old demand for water among people in Prakasam, Markapuram, Nellore and Kadapa regions.

Once the first phase is completed, it is expected to provide irrigation to 1.19 lakh acres and drinking water to nearly four lakh people. Naidu said the government had spent ₹2,250 crore in the past two years to complete the first-phase works and make the project ready for water release.

The Chief Minister said the state was experiencing rainfall deficiency amid the El Niño effect, while inflows into the Srisailam and Nagarjuna Sagar reservoirs remained below expectations. Despite these challenges, the government was committed to completing Velugonda and ensuring water availability. He also urged people to use water judiciously.

Naidu said the government was working to strengthen water availability in the Krishna Delta by completing Polavaram and conserving water in Srisailam for Prakasam, Nellore, Kadapa and Rayalaseema. He also referred to a proposal for linking the Ganga, Godavari and Cauvery river systems, saying five-river connectivity could help address water shortages across four states and strengthen national water security.

The Chief Minister announced that a horticulture hub would be launched in September. With Ramayapatnam Port becoming operational, farmers could gain improved opportunities to export horticultural produce.

Naidu also criticised the previous YSRCP government over the state's financial condition, while asserting that the coalition government was continuing welfare and development programmes despite financial constraints.

Water Resources Minister Nimmala Ramanaidu, MP Magunta Srinivasulu Reddy and Markapuram MLA Kandula Narayana Reddy were among those present.