The Government of India had issued orders on Thursday directing the finance department to release Rs 2,348 crore to Andhra Pradesh government for the Polavaram Project. Senior Joint Commissioner of Jal Shakthi Ministry, D C Bhatt, had written to the principal accounts officer to release the funds immediately.
The finance department had taken the decision to give this money to Andhra Pradesh government two days ago. Accordingly, the Jal Sakthi ministry had written to the accounts department to release the funds to the state government.
The Central government had taken the decision to release the funds from the contingency funds not waiting for the NABARD loan. The Central government had also taken a decision to release funds reimbursing the state government’s expenditure on Polavaram project.
Accordingly, the government issued orders releasing Rs 383.22 crore in one category and Rs 76.46 crore in another category. This amount would also reach the state exchequer shortly. These funds were released shortly after the fourth visit of Chief Minister N Chandrababu Naidu to the national capital.
Chandrababu Naidu had met Prime Minister Narendra Modi, Union Home Minister Amit Shah and Jal Shakthi Minister, C R Paatil, besides other ministers in his two-day camp in the national capital. Chandrababu Naidu had requested the ministers to release the pending funds for Polavaram, besides extending financial assistance to the state to complete the project.
The state government has to construct another diaphragm wall for the Polavaram project as the earlier one built during the TDP regime before 2019 was damaged in the 2020 floods. There were three damages to the diaphragm wall which is now to be re placed. The central government had sanctioned a new diaphragm wall for the project.
Meanwhile, the Central government had laid several conditions to the state government on the funds to be released. It wanted the state government to spend 75 per cent of the funds to get the balance in the Rs 2,348 crore. The state government has to utilize these funds to get the total amount from the Central government.
The Central government also asked the state government to keep all documents and statements of accounts related to the Polavaram Project at the disposal of the CAG. The Central government wanted the state to send the reports on the progress of the project on regular intervals.
