Stakeholders bat for development of Rushikonda complex on PPP mode for revenue generation

The State Government has received several proposals for monetisation of palatial building built at sea-facing Rushikonda in Visakhapatnam and the adjoining vacant area of nine acres with many making a strong plea for development of tourism on PPP mode on a revenue-sharing basis.

During the exercise undertaken recently by the Andhra Pradesh Tourism Authority (APTA) and AP Tourism Development Corporation (APTDC), a strong recommendation was made to invite reputed national and international hotel brands for long-term operation and maintenance, ensuring transparent leasing models to generate continuous revenue to the State and create local employment.

Andhra Pradesh Star Hotels' Association (ASHA) president R.V. Swamy told Bizz Buzz that the PPP model was one of the viable suggestions along with other proposals they made to the government for consideration.

The Rushikonda buildings, which have remained unutilised entailing a burden of Rs.25 lakh per month towards maintenance for the past several months. The buildings built lavishly by the YSRCP Government at an estimated cost of Rs.500 crore were allegedly meant to be used as the Chief Minister's Office (CMO)), which was subsequently denied by former Industries Minister Gudivada Amarnath and others.

The complex has a built-up area of 13,542 sq. meters, four blocks and seven G+1 buildings with facilities including luxury suites, banquet halls, restaurants, spa, gym, conference halls, lounges and staff accommodation. The NDA Government sought public opinion to finalise the future course of action on the Rushikonda buildings, which are being described as 'Jagan Mansion' by the TDP, BJP and Jana Sena leaders. According to government officials, eight parties have expressed interest, five of them with DPRs for developing the buildings and adjoining area for tourism projects..

One of the many suggestions made by ASHA is to develop an international consulate comprising consulates from UAE, USA and Singapore. Swamy said "establishing consulates will support NRI diaspora services and enhance business travel impact on growth of tourism."

Presently, AP, Odisha and Chattisgarh do not have any consulate and Visakhapatnam's close connections with the neighbouring States and Chattisgarh will help promote tourism as well as trade and commerce.

Swamy said another proposal is to develop the complex into an integrated tourism hub by converting the blocks into luxury beach resort and convention centres to give a fillip to MICE tourism. He pointed out that an area can be dedicated to promote local culture like Dhimsa dance and culinary as well as the famous Araku Valley Organic Coffee.

Andhra Pradesh Tourism Forum (APTF), an organisation of tourism stakeholders, made a strong plea to accommodate consulates of America, Singapore and UAE as well as AP Tourism Department and AP Economic Development Board.

"A large number of Andhra people reside in the USA and UAE. Converting the blocks built at Rushikonda into a consulate complex will significantly enhance the State's international profile," said SAPTF president K. Vijay Mohan and secretary M.V. Pavan Kartheek.

Among other alternatives, they also mooted development of the buildings as a high-security Circuit House and handover the present Circuit House very often mentioned at Governor's Bungalow to APTDC to develop into a new city hotel.