Nagpur seeks Rs 952 crore from Maharashtra for major water-security project

Nagpur Municipal Corporation (NMC) has sought direct financial assistance from the Maharashtra government for the proposed Rs 952-crore Kanhan-Kolar barrage, citing its existing debt obligations and limited capacity to raise additional loans.

Municipal commissioner Vipin Itankar sent a letter to the additional chief secretary of the state urban development department on Tuesday, November 3, requesting that the government provide the project funding instead of requiring the civic body to raise a loan against a state government guarantee.

The request follows directions issued by guardian minister Chandrashekhar Bawankule at a water-scarcity review meeting on October 31, reported The Times of India.

The irrigation department has prepared an estimated project cost of Rs 952 crore and submitted it to the planning and finance departments for administrative approval.

The proposed barrage will be constructed on the Kanhan river in Kamptee tehsil and is intended to strengthen Nagpur’s water security over the next three decades.

According to the irrigation department, Nagpur could require approximately 400 million cubic metres (MCM) of water in the coming years.

The project is expected to make 179.60 MCM of water available annually through the Kanhan, Kolar-Kanhan and Rohna water supply schemes. It will have a proposed live storage capacity of 67.81 MCM.

The infrastructure is being planned to meet the city’s projected water requirements until 2056.

Itankar has pointed out that the municipal corporation’s existing loan and bond liabilities make it difficult to undertake another large project through additional borrowing.

The state government had earlier directed the civic body to execute the project by raising a loan against a government guarantee. However, following the October 31 review meeting, officials were asked to approach the urban development department for direct funding.

The irrigation department is expected to execute the project once the necessary approvals and funding arrangements are secured.

The proposal now awaits a decision from the state government on financial assistance and administrative approval.