The programme is aimed at development of villages in the state.
Rao, who held a review on the programme with officials, said development plans will be prepared in every village for the coming four years, a release from his office said.
He said funds will be released on the basis of plans in the villages and that the residents of the village will be informed about the funds released.
Cycle rickshaws will be purchased for collection of waste in every village and trees will be planted in the villages, Rao said.