Amaravati, Nov 6 (IANS): The Andhra Pradesh government intends to engage Central government entities to excavate, store and sell sand in the state, the state cabinet, which met here on Thursday, decided on these lines.

"Sand excavation, storage and sale operations shall be undertaken by the Central government agencies appointed on nomination basis on terms and conditions as prescribed by the state government," said a cabinet meeting note detailing the key takeaway points.

The state government aims to appoint Central government agencies with the premium amount fixed by it and payable to the government of Andhra Pradesh, in addition to seigniorage fee and other levies.

The state government has already instructed the mines and the geology director to explore the possibility of nominating Central government agencies to undertake sand mining operations in the Andhra Pradesh.

"In case no response is received from the Central government agencies, sand operations shall be entrusted to a technically experienced, competent and financially strong agency (or agencies) selected through two-bid system," said the note.

Meanwhile, all the sand reaches will be classified into three packages. Package 1: Srikakulam, Vizianagaram, Visakhapatnam and East Godavari districts.

Package 2: West Godavari, Krishna, Guntur and Prakasam districts. Package 3: Nellore, Anantapur, Chittoor, Kurnool and Kadapa districts.

"Sand reaches in the scheduled areas will continue to be granted and operated by tribal societies in accordance with Panchayats Extension to Scheduled Areas (PESA) Rules, 2011," said the note.

In an effort to supply quality sand, production from patta lands will be discontinued and sand production will be allowed only from open reaches.