VISAKHAPATNAM | Jan 4, 2016: The new sand policy is aimed at providing sand at reduced rate to the construction sector and public and tenders would be called for auction of sand under the policy on January 8, Finance Minister Yanamala Ramakrishnudu said.

The Cabinet sub-committee constituted to finalise parameters and modalities and fix the price met here on Sunday. It would meet again on January 7 to finalise the modalities for the auction. The new policy would come into effect from February 15.

Finance Minister Yanamala Ramakrishnudu, who presided over the sub-committee meeting, said the auction would be for mining 1.5 crore cubic meters of sand. The maximum price for cubic meter would be Rs.550 and transport cost would be extra.

Chief Secretary I.Y.R. Krishna Rao and Ministers Pitala Sujata, K. Achhen Naidu, Devineni Umamaheswara Rao, Kimidi Mrunalini, Palle Raghunatha Reddy, Ganta Srinivasa Rao and Kollu Ravindra participated in the meeting. Mr. Ramakrishnudu said besides online auction conventional auction would also be carried out. However, the permission given would be cancelled if any irregularities were found during the mining after winning the bid.

Stating that the government had earned Rs.850 crore during the last 16 months from sand sale, he hoped in the new system also the revenue would further go up.

The new policy was being worked out after feedback from public and the media that in the mining by SHG groups irregularities had occurred.

(Source: http://www.thehindu.com/)