The Andhra Pradesh state cabinet, chaired by chief minister N Chandrababu Naidu, on Thursday approved the construction of a new Andhra Pradesh Bhavan in New Delhi at an estimated cost of ₹124.50 crore.

State finance minister Payyavula Keshav said the new building of Andhra Pradesh Bhavan be constructed on 11.536 acres of land within the existing premises on Ashoka Road, New Delhi.
“The project’s design and construction have been entrusted to NBCC (India) Limited. The building will incorporate modern amenities while reflecting Andhra Pradesh’s culture and heritage,” he said.
The cabinet approved revised administrative sanctions worth ₹443.26 crore for strengthening and constructing flood protection works along the right bank of the Krishna River in Amaravati. The revision follows a change in project scope from retaining walls to embankment works. The cabinet also permitted fresh tenders through the AP Capital Region Development Authority (APCRDA).
The cabinet cleared a combined administrative approval of ₹2,540 crore for advanced construction works, including glass cladding, atrium, skylight canopies, PV panels, and BMU system, for the Integrated AP Secretariat and Heads of Departments (HoD) towers in Amaravati.
Approval was also given for ₹1,208.41 crore for the shell and core construction of twin office towers (T1 & T2) in Amaravati’s Quantum Valley project. Tenders will be invited under a lump sum contract system, he said.
{{/usCountry}}Approval was also given for ₹1,208.41 crore for the shell and core construction of twin office towers (T1 & T2) in Amaravati’s Quantum Valley project. Tenders will be invited under a lump sum contract system, he said.
{{/usCountry}}The cabinet sanctioned ₹798 crore for civil works related to the legislative assembly building in Amaravati, including the spire, parking ring, roof structures, and approach bridges over Palavagu.
“The cabinet also approved sanction of ₹580 crore for infrastructure development in Undavalli village under Zone-11 of Amaravati. The works include roads, drainage, water supply, sewage systems, ICT utility ducts, reuse water pipelines, sewage treatment plants, and avenue plantations. The project will be funded through APCRDA and executed with a two-year defect liability period,” he said.
The Cabinet approved amendments to the Amaravati Capital Region Land Pooling Scheme (Formulation & Implementation) Rules, 2025, aimed at enhancing annuity payments, simplifying loan waiver cut-off dates, and streamlining procedural mechanisms for effective implementation.
The cabinet approved the allocation of government land on a 33-year lease at a nominal lease amount of ₹1,000 per acre per year for construction of district offices of the Telugu Desam Party in Vizianagaram, Prakasam, Kurnool, Rajamahendravaram, Eluru and Parvathipuram.
The cabinet also approved allocation of approximately 600 acres of land in Puttaparthi, Sri Sathya Sai district, for a defence manufacturing unit to be established under the supervision of the Defence Research and Development Organisation, the finance minister said.