Andhra Pradesh expands to 28 districts, Polavaram and Markapuram to join state map

In a major e-Cabinet meeting chaired by Chief Minister N. Chandrababu Naidu at the state secretariat on Monday, the Andhra Pradesh government approved several important decisions that will shape the state’s future. The meeting covered a wide range of issues including land allocation, development of the Amaravati capital region , infrastructure projects, employee and pensioner benefits, welfare schemes for the poor, road safety measures, and the creation of new districts.

The Cabinet approved a total of 24 proposals , which were later detailed to the media by Ministers Anagani Satya Prasad, Nadendla Manohar, and Satyakumar Yadav.

One of the major decisions involved the reorganization of districts. The government approved 25 changes across 17 of the existing 26 districts , after reviewing public feedback and suggestions. As part of this plan, two new districts - Polavaram and Markapuram - will be created, bringing the total number of districts in the state to 28. These changes will take effect from December 31, 2025 , according to the government.

The Cabinet approved several land allocation projects. Around 10 acres of government land in Nuzvid, Eluru district , has been leased for 33 years to establish the Indian Institute of Plantation Management, which aims to train professionals in agriculture and horticulture. Additionally, Vedanta Limited’s lease of 9.88 acres in Katrenikona , Konaseema district, for onshore drilling has been extended by three more years.

Over 28 acres of government land in Daminedu village, Tirupati district, will be transferred free of cost to the Andhra Pradesh Sports Authority to develop a “Sports City,” providing enhanced opportunities for youth in sports.

The Cabinet approved a Rs. 7,387 crore loan from NABARD for infrastructure development in Amaravati. These funds will be used for roads, drainage, water supply, and flood pumping stations. Contracts worth several thousand crores were also approved for roads, drainage, and sewerage works in rural areas and a major flood pumping station at Undavalli.

A contract worth Rs. 137 crore has been awarded to L&T for the construction of the “Amaravati Quantum Computing Center,” catering to the state’s future technology needs.

In Mangalagiri - Tadepalli Municipal Corporation, a project worth Rs. 1,673 crore for underground drainage and sewage treatment facilities will be implemented in two phases under a hybrid annuity model.

To benefit marginalized communities, the Cabinet approved the waiver of Rs. 41.61 crore in interest on loans provided by National Scheduled Castes Finance and Development Corporation (NSFDIC) and National Scheduled Tribes Finance and Development Corporation (NSKFDIC). This will provide relief to 11,479 beneficiaries from Scheduled Castes.

Government employees and pensioners will see a 3.64% increase in Dearness Allowance (DA) and Dearness Relief (DR), effective from January 1, 2024, and applicable from the October 2025 salary cycle.

To enhance road safety, the government approved a 10% “Road Safety Cess” on vehicles subject to life tax. This measure is expected to generate around Rs. 270 crore annually , which will be used for road accident prevention initiatives.

For transportation infrastructure, the Cabinet approved the development of a Greenfield port and shipbuilding cluster at Dugarajupatnam in Tirupati district , and land acquisition for a Greenfield airport in Daggadarti, Nellore district .

The state government described the decisions taken at this Cabinet meeting as a significant milestone for Andhra Pradesh’s development, citizens’ welfare, and administrative efficiency.