Divison good-to-neutral for Coastal Andhra?

It has now become clear that division can happen with consensus. This means the loss of capital (city) or the opportunity cost of it has to be paid by either Telangana or the center. Whether they can pay it or not decides whether there will division not. Telangana politicians are made desperate by it's people to divide.

Now the center is willing to open it's purse upto 1 Lac crores and Telangana borrows from future to provide around 2 Lac crores to construct a new capital. The new capital all the infrastructure to give Hyderabad a run for its money. It includes non-productive but unavoidable infrastructure like secretariat, High courts, Assembly etc and useful things like international airport, IT SEZ, all very well-planned.

There will be assurance of current water supply from Krishna and Godavari. Anyway, Telangana is not in a position to use river water in a big way because it is at a high altitude. The future water needs of Coastal Andhra can also be bargained hard.

The IT recession seems to be getting over and new companies will be looking for new destinations. The IT corridor in Vijayawada is likely to be successful because majority of IT employees in Hyderabad are from Coastal Andhra and may be willing to move closer home. Many Indian IT companies will be eyeing the cheap land and local talent that the new capital is providing. However, many established MNCs re unlikely to harm existing facilities in Hyderabad. Vijayawada can eye only new opportunities.

The new capital will need 1 Lac acres of land with assured water supply. The farmers will fight tooth and nail to not allow its procurement. It might be so bad the capital can be named "Nandigram". :) Opposition parties will do heavy political scoring.

Andhra leaders might not make the political mistake of being with strong Rayalaseema leaders or having Kurnool as capital fearing a separate Rayalaseema movement in the future though the Kurnool can be a ideal capital city.

The new oil income will be exclusive to Coastl Andhra alone. Even if it's development work, it is assured of compensation from Hyderabd.