Post due scrutiny by the Central Water Commission, Ministry Of Water Resources and Technical Advisory Committee, the Planning Commission has accorded clearance to the Sardar Sarovar project's revised investment estimates of close to Rs 40,000 crore.
"The major factors causing cost enhancement is due to price rise i.e. about 58 per cent, and liberal R&R policy i.e. 22 per cent. There is no change of scope or any parameter from the original project proposal approved by the Planning Commission in October, 1988," informed S Jagdeesan, Managing Director of Sardar Sarovar Narmada Nigam Limited.
The matter was duly considered by the Planning Commission and the revised investment amounting to Rs 39240.45 crore was granted recently to the Sardar Sarovar Project. The AIBP and other central financial assistance (CADWM) could now be availed after obtaining such clearance from Planning Commission. The clearance would enable the project to avail such financial assistance amounting to about Rs 7,000 crore in total and would enable Gujarat for timely completion of the project and avoid cost overrun.
The project is in consonance with the 11th Five Year Plan and can contribute greatly in securing water for irrigation, drinking and hydel power. It will contribute to food security to the nation. The project would contribute to an additional command area of 13 lakh hectare to the goal of Bharat Nirman, an under which irrigation potential of 42 lakh hectare is planned to be created by expeditiously completing such ongoing major and medium projects.
Initially the Planning Commission of India had accorded investment clearance to Sardar Sarovar Project, in October 1988 for Rs 6,406 Crore. The project is under implementation and has been partially completed and the benefits of hydro power generation, partial benefits of water for irrigation and drinking water and host of other indirect benefits are being realized at this partial stage of implementation.
The water has also been made available to the neighboring state of Rajasthan, in Baner and Jalore Districts, one of the most drought prone districts of the country, by conveying it as far as 458 km from the Sardar Sarovar Dam beside water being provided to the most drought prone region of Gujarat.
It would be pertinent to state that the 75 per cent of the area to be served by the project is drought prone area.