MP water project for industry soon

Madhya Pradesh will complete its first irrigation project that will give priority to water supply to industry. The MP irrigation department and LNJ Bhilwara group company HEG Ltd had entered into water-lifting deal for the first time. The Mandideep-based company has contributed Rs 1 crore to the Rs 4.20-crore project. Although the company has started lifting water from the project for its captive power plant, it will be completed by 2008.

"This is an irrigation project that will supply water primarily to HEG. If other companies in Mandideep demand water, they will be allowed to lift water on availability," a senior official in irrigation department told Business Standard. The project is an ancillary to the Betwa-Barrage project.

"HEG is lifting 4.8 million cubic metre of water at Rs 1.80 per cubic metre for its 25-Mw captive power plant," said the official. The state government has contributed Rs 3.20 crore that will irrigate 390 hectares.

Mandideep industrial area where as many as 200 small and large industrial units produce and export engineering goods, textiles and drugs, normally faces water shortage. "This project will pave way for new irrigation projects to supply surplus water for industrial use," the official added.

"The Rs 1 crore contributed by HEG will be adjusted in billing," said the official.

Betwa-Barrage project has 5.5 million cubic meter capacity. It can supply water to at least two more industries. Since it is on perennial Betwa river, much will depend upon rains and inflow of water from upstream dams.

"We can supply surplus water to other industries but HEG is our priority. Even in case of drought like situation, HEG will be given priority to irrigation. We are also considering supply of water to Mandideep's drinking water supply channel. We have inflow of water from Kaliasot and other dams upon rains," said the official. The department is likely to charge Rs 2.00 per cubic meter from November onwards.