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AP CM Naidu defends PPP model for new medical colleges

Says that the Centre is also taking up projects under the PPP mode

image for illustrative purpose

AP CM Naidu defends PPP model for new medical colleges
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18 Dec 2025 8:29 AM IST

Amaravati: Andhra Pradesh Chief Minister N Chandrababu Naidu on Wednesday defended the decision to develop medical colleges under the Public Private Partnership mode, saying it will ensure efficient services.

Speaking at the fifth collectors conference at the secretariat here, the Chief Minister addressed the politically sensitive issue of developing 10 medical colleges under the PPP model, a move vehemently opposed by the YS Jagan Mohan Reddy-led YSRCP. According to the government, these 10 medical colleges were part of the 17 colleges sanctioned during the previous YSRCP government by the Centre.

“Services will be better through PPP mode. Some people say that medical colleges are being privatised. Though they are being built through PPP mode they will operate as government colleges,” said Naidu.

Asserting that rules for the medical colleges will be set by the government, the CM said 70 per cent of their services will be extended to NTR Vaidya Seva scheme (welfare health scheme), and that medical seats were also increased.

Noting that the Centre is also taking up projects under the PPP mode, Naidu said he is not afraid of criticism and that the truth must be told to people.

Ambitious target of Rs30,000 cr, Meanwhile, the CM expressed serious concern over the underutilization of CSS funds and set clear directives for immediate action. He said, "On one side, we are suffering due to lack of money, and on the other, we are not able to spend CSS money properly. We must utilize this opportunity." He specifically mentioned that Union Minister Dharmendra Pradhan has assured an additional allocation of Rs1,200 crore, and set a firm deadline of January 15 for spending the available PMAY Urban funds.

"In the coming weeks, we'll withdraw another Rs 1,200 crore and further some more," the Chief Minister stated, directing the Minister of Housing and Urban Affairs and all Collectors to prioritize this task.The Chief Minister issued a strong directive to complete all CSS fund utilization by January 15 and prepare for withdrawing the next installment. "No compromise on spending the central money. Every single rupee should be spent," he emphasized. He set an ambitious target of Rs30,000 crore and asked all Secretaries to finalise the budget for the next year. "Raise to the occasion and drive it," he told the Collectors, urging them to be proactive in utilising available funds.

Senior IAS officer Dr Ronald Rose also drew attention to unclaimed deposits in government accounts. He informed that around 10,750 government accounts hold approximately Rs 155 crore in unclaimed deposits across 26 districts, with Prakasam district having the highest amount of Rs10.57 crore. District Collectors have been requested to update KYC documents, close dormant accounts, and address issues with undelivered cheque books to prevent fraudulent activities. The Chief Minister also asked Collectors to explore if there’s an opportunity to give interest to these amounts that languished in the bank accounts for a long time.

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