Will focus on LARR of Polavaram: Andhra Pradesh CM Jagan Mohan Reddy

Quoting from the documents related to the correspondence between the Centre and the State, he noted that the Union Cabinet meeting had agreed to fund the entire cost of the project in May 2014. 
Andhra Pradesh CM YS Jagan Mohan Reddy (Photo| EPS)
Andhra Pradesh CM YS Jagan Mohan Reddy (Photo| EPS)

VIJAYAWADA: Stating that the Polavaram Irrigation Project works will be completed on war-footing without deviation of even a millimetre in the dam height or its storage capacity, Chief Minister YS Jagan Mohan Reddy asserted that the government will focus on land acquisition, rehabilitation and resettlement (LARR) to store water as per the  Central Water Commission (CWC) guidelines. 

He reiterated that the project cannot be completed unless the latest rates were approved and said that the ‘mess’ in approval of the revised cost estimates (RCE) had its genesis in the special package and the subsequent Union Cabinet resolution accepted by the previous Chandrababu Naidu government.

The Chief Minister, during a short discussion on Polavaram project on the third day of the winter session of Assembly on Wednesday, alleged that former CM Chandrababu Naidu tried to reduce a national project to a State project by accepting curtailment of the project cost at 2013-14 price level. 

Quoting from the documents related to the correspondence between the Centre and the State, he noted that the Union Cabinet meeting had agreed to fund the entire cost of the project in May 2014. 

However, the Chief Minister added that on September 8, 2016, the Union Finance Ministry issued a statement that the Centre would bear the cost of the 100 per cent remaining works of the irrigation component as on April 1, 2014 as part of the special package. 

“Immediately, Naidu and his party members in the Union Cabinet hailed the Finance Ministry and accepted it. On September 30, 2016, a memo was issued stating that the cost of the project as on April 1, 2014 to the extent of cost as on that date will be funded. Later, on March 15, 2017, the Union Cabinet passed another resolution based on the memo stating the same,” he explained.

Two days after the second Cabinet resolution, on March 17, 2017, Jagan recalled that he raised the issue of restricting the project funding to only the irrigation component that too at the price level as on April 1, 2014. “I myself sought clarity on the issue in the House as the Opposition Leader in 2017. However, no information was given,” he said, playing a video of it.

The Chief Minister said the Union Ministry of Water Resources on May 8, 2017, informed the State that the balance cost of irrigation component at latest prices (other than 2014 price) shall be borne by the State government. “Even then the State government had not objected and accepted it,” he said.To ‘undo the mess’ created by the previous TDP regime, the YSRC government had to hold consultations with the Centre to finally get a positive response from the Polavaram Project Authority (PPA). 

“Now that we have a positive response from the PPA, which is part of the Union Ministry of Water Resources, we expect that the 2017-18 price level will be recommended for approval. It will have to be ratified by the Union Cabinet,” the Chief Minister said, noting that funds to the tune of Rs 26,585 crore for LARR, Rs 7,174 crore for civil works and Rs 4,124 crore for power component are needed for completing the project.

Speaking about the dam height and storage capacity, he asserted that there will be no deviation whatsoever in this regard.

“Unlike the previous TDP government, we will finish the R&R works and store water as per the Central Water Commission (CWC) guidelines. Not an inch of the project’s dam height will be reduced and the works will be executed on a war-footing. We will go for almost 120 TMC of storage at 41.15 metres to supply water by Kharif 2022. If we get clearance, we will go for full capacity next. If not, in a phased manner as per the CWC norms,” the Chief Minister sought to clarify on the project.

Polavaram  funds 

  • Funds required for land acquisition, rehabilitation and resettlement (LARR) for different storage levels

  • For 41.15 metre dam height 

  • Rs 3,383 crore required for LARR to store 120 TMC 

  • From 41.15 to 44m Another Rs 2,000 crore is required for storing a total of 158.39 TMC 

  • From 44 to 45 m Another Rs 4,500 crore for LARR is needed and a total of 180 TMC can be stored

  • From 45 to 45.72 m (full reservoir level) Another Rs 13,699 crore for R and R, another Rs 3,000 crore for LA, is required to store 194 TMC of water

Total funds required

  • Rs 26,585 crore for LARR

  • Rs 7,174 crore for civil works

  • Rs 4,124 crore for power component 

  • Rs 37,883 crore for the project to be completed out of the H55,548 cr approved

  • Rs 17,665 crore  expenditure so far

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