Lok Sabha Question No. 538 (UNSTARRED), answered on 2021-02-04
Subject: Funds for Polavaram Project
Ministry: JAL SHAKTI
Asked by: Jayadev Galla

## GOVERNMENT OF INDIA MINISTRY OF JAL SHAKTI, DEPARTMENT OF WATER RESOURCES, RIVER DEVELOPMENT & GANGA REJUVENATION

## LOK SABHA UNSTARRED QUESTION NO. 538

## ANSWERED ON 04.02.2021

## FUNDS FOR POLAVARAM PROJECT

## 538. SHRI JAYADEV GALLA

## Will the Minister of JAL SHAKTI be pleased to state:

(a)  whether  the  Technical  Advisory  Committe e  on  Polavaram  has  approved  Rs. 55,548 . 87  crores  in February, 2019, after studying in detail the estimates prepared by the Government of Andhra P so, the details thereof;

(b) whether it is true that the Estimates Revised Committee has brought down the estimates Technical Advisory Co mmittee by more than Rs. 7,800 crores;

(c) if so, the details thereof and the reasons for bringing down th e estimates;

(d) whether there is any reduction in the compensation paid to the affected people;

(e) if so, the details thereof along with the reasons therefor; and

(f) the quantum of fund so far paid for Polavaram and the details of dues yet to be paid and the time by which the Government is going to clear the dues?

## ANSWER

## THE MINISTER OF STATE FOR JAL SHAKTI & SOCIAL JUSTICE AND EMPOWERMENT

## (SHRI RATTAN LAL KATARIA )

(a) Advisory Committee of Department of Water Resources, River Development & Ganga Rejuvenation (DoWR, RD  &  GR)  on  Irrigation, Flood  Control  &  Multipurpose  Projects  has  accepted  Revised  C Estimate (RCE) ofPolavaramIrrigation Project (PIP) at Rs. 55,548.87 Crore (Irrigation plus water suppl -Rs. 50,987.96 crore, and Power - Rs. 4,560.9 1 crore). at 2017 - 18 price level (PL), in its 141 st meeting held on 11 th February, 2019.

(b) to (e) In March, 2020, the Revised Cost Committee constituted by the Deptt re commended RCE of the PIP at Rs. 47,725.74 crore (Irr igation plus water supply -Rs. 43,164.83 crore , and Power - Rs. 4,560.91 crore) at  2017 - 18  PL.  The  cost  difference  between  two  estimates  is  primarily  attributed  to  r Government/Forest  land,  change  in  quantities  for  Left  and  Right  Main  Canals,  etc.  Furth difference ha s also arisen due to revision in infrastructure cost from Rs. 7.0 lakh to 6.52 lakh per Projec Displaced Family (PDF), as the GST on this component has been corrected from earlier 18% to 1

(f)Ministry of Finance, Government of India vide its letter d ated 30.09.2016 informed that it will prov 100%  of  the  remaining  cost  of  the  irrigation  component  only  of  the  PIP  for  the  period 01.04.2014, to the extent of the cost of the irrigation component on the date. Accordingly, ofIndia has been reimbursing the expenditure incurred by the Govt of AP in the project wit 01.04.2014,  upon  receipt  of  verified  bills  and  recommendations  from  the  Polavaram  Project (PPA) and Central Water Commission (CWC). According to the State Government, after declaration of Project as National Project, an expenditure of Rs.12,311.32 crore has been incurred by the S to 31.12. 2020. Central Assistance of Rs .10,848.36 crore (including Rs. 2,234 20 crore in December, 20 20) has been released from time to time to the project since April, 2014.