In recent times, Andhra Pradesh has witnessed controversies surrounding grandiose projects and political ambitions. One such instance revolves around Chief Minister Y.S. Jagan Mohan Reddy’s construction of a lavish palace atop Rushikonda Hill in Visakhapatnam. Unlike the historic and serene Falaknuma Palace in Hyderabad, this project has sparked criticism for its environmental impact and perceived extravagance.
Rushikonda, unlike Hyderabad’s rocky terrain, is known for its lush greenery and scenic views of the Bay of Bengal. However, the construction of Jagan’s palace involved shaving the hill, disregarding environmental norms, and triggering concerns about ecological balance and disaster risks.
Initially touted as a tourism resort, the palace’s secretive construction and limited accommodation—just twelve luxurious rooms amid expansive halls, auditoriums, and gardens—raised eyebrows. Critics questioned its viability as a tourism initiative, suggesting each room would need exorbitant rates to recoup costs. The luxury and lavish expenditure seen at the Rushikonda Palace has stirred controversy, especially in light of the state’s financial condition.
The Telugu Desam Party (TDP) has accused former Andhra Pradesh Chief Minister YS Jagan Mohan Reddy of constructing a palace on top of a hill in Visakhapatnam worth Rs 500 crore. The construction was done secretly and hidden behind large barricades, according to the TDP.
TDP Spokesperson Pattabhi Ram Kommareddy stated, “The luxuries and comforts provided to Jagan Mohan Reddy at the Rushikonda Palace have left people in shock. He highlighted the extravagant spending on various amenities, claiming that nearly Rs 500 crore was invested on these luxuries. Among the highlighted expenses were a bathtub worth approximately Rs 40 lakh and a commode valued between Rs 10 to Rs 12 lakh. Additionally, the palace reportedly features a plethora of luxurious furniture and even a spa room equipped with a high-end massage table.”
The TDP spokesperson also criticised the timing and nature of these expenses, saying it was not right to spend so much money when Andhra Pradesh is under a debt of Rs 12 lakh crore.
Pattabhi Ram Kommareddy also pointed out a conflict of interest, alleging that the contract for these constructions was awarded to Devi Reddy Srinath Reddy, a relative of Jagan Mohan Reddy.
In response to these accusations, Yuvajana Sramika Rythu Congress Party (YSRCP) spokesperson Kanumuri Ravi Chandra Reddy defended the construction, highlighting that these buildings are government-owned assets, not Jagan Mohan Reddy’s personal properties. He justified the quality of the construction, suggesting they could be used for visits by the President or Prime Minister to Visakhapatnam.
Originally envisioned as a luxurious tourist resort, the ultra-modern complex spans 9.88 acres and includes seven blocks. However, during the palace’s inauguration on February 29, then Tourism Minister RK Roja hinted at a different purpose: it could serve as both Jagan Mohan Reddy’s residence and office.
Jagan expressed interest in relocating his residence and office to the palace in Visakhapatnam, which he designated as the State’s executive capital. This plan was contingent upon the YSR Congress Party securing a second consecutive term in the May assembly elections.
Despite these intentions, the YSR Congress Party faced a setback in the recent assembly elections. They lost power to the Telugu Desam Party-led National Democratic Alliance, winning only 11 out of 175 assembly seats, with the NDA securing the remaining 164 seats. This turn of events dashed Jagan’s hopes of shifting to Rushikonda Palace as initially planned.
Behind Closed Doors: Unveiling the Rushikonda Palatial Complex
The exclusive Rushikonda palatial complex, previously off-limits to the public, captured attention on June 16. Local TDP MLA and former minister Ganta Srinivas Rao led officials and media on a visit to expose its inner workings.
Describing the experience, Srinivasa Rao said, “It’s simply mind-boggling. The ultra-expensive facilities clearly indicated that Jagan wanted to rule the State like a monarch from this palace. This is certainly not meant for any tourists.”
According to visuals and details released by the TDP after the MLA’s visit, the Rushikonda palatial complex looks much more than a five-star hotel.
Exceeding Estimates: A Closer Look at Costs
The mansion boasts imported granite flooring, 200 chandeliers priced up to Rs 15 lakhs each, luxurious interiors designed at the cost of Rs 33 crores, imported furniture, spa facilities, jacuzzis, and spacious washrooms with commodes costing Rs 15 lakhs each. It also features landscaping with exotic imported plants and grass, an advanced sound system, a large home theatre screen, and multi-coloured illumination.
The initial estimate for constructing the palace was Rs 500 crore. However, the total expenditure crossed Rs 680 crore, encompassing costs for landscaping, illumination, roads, and security arrangements, an official familiar with the development said. The Rushikonda complex spans a total built-up area of 19,968 square meters.
According to TDP official spokesman G Deepak Reddy, the palatial bungalow on Rushikonda hills is nothing but a white elephant for the Government, as there is no way it can be used for official purposes or tourism purposes.
The newly constructed complex replaced a previous tourism resort managed by the Andhra Pradesh Tourism Development Corporation (APTDC). This original resort, which spanned 4,439 square meters and offered stunning sea views, featured 58 rooms, a conference hall, and a bar-restaurant.
The TDP leader said, “It was the most sought-after tourism resort with a beautiful sea view. The Jagan government demolished this in the name of constructing a more luxurious tourism complex in 9.88 acres.”
“But what was actually built on Rushikonda was a residential-cum-official complex with just 12 rooms and the remaining being official chambers and conference halls. The previous Government indulged in massive splurging of public money to construct a lavish bungalow and office for Jagan,” G Deepak Reddy said.
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