Section 4(2) in Andhra Pradesh Educational Institutions (Establishment, Recognition, Administration and Control of Institutions of Higher Education) Rules, 1987
(2)No permission shall be granted if the educational needs of the locality are adequately served already and in the opinion of the competent authority, the opening of a new institution is likely to create unhealthy and undesirable competition with another institution of the same class/category, in the area.
