VIJAYAWADA: The Union Government has approved a revised cost estimate of Rs 30,436.95 crore at the 2023 price level for Phase-I of the Polavaram Irrigation Project (PIP), Union Minister of State for Jal Shakti Raj Bhushan Choudhary informed the Rajya Sabha on Monday.
Under the approved framework, which limits total balance Central grants to Rs 12,157.53 crore, the project will achieve water storage up to an Elevation Level (EL) of +41.15 meters.
The revised financial approval comes alongside a total release of Rs 12,620.53 crore in Central assistance over the past five financial years to expedite ongoing civil and rehabilitation works.
According to a written response provided to MP Ryaga Krishnaiah, central fund releases stood at Rs 1,898.80 crore in 2021–22, Rs 1,671.23 crore in 2022–23, Rs 727.88 crore in 2023–24, Rs 5,512.40 crore in 2024–25, and Rs 2,810.22 crore in 2025–26.
The Ministry reported substantial engineering progress across major project components. Concrete work on the main spillway structure has reached 98.84% completion, with earthwork at 96.87% and steel work at 92.95%.
For the Earth-cum-Rockfill (ECRF) dam and its connectivities, earthwork stands at 75.56%, concrete work at 81.99%, and steel work at 81.31%. Earthwork for the main canals is nearly complete at 98.96%, accompanied by 88.44% concrete lining and 55.68% steel work.
Addressing the rehabilitation mandate, the Jal Shakti Ministry detailed that out of 96,660 total Project Displaced Families (PDFs), 17,892 families under Phase-I have been physically shifted. A total of Rs 1,373.01 crore has been disbursed directly toward cash entitlements, while Rs 1,581.08 crore has been incurred on executing physical Rehabilitation & Resettlement (R&R) works.
The Central Government reconfirmed that Phase-I of the national project has been approved for completion by March 2026, with a provision for a one-year extension.