Proposals to Center on Polavaram Second Phase Funding

According to the latest estimates, the total cost of the Polavaram Project is expected to reach ₹62,436 crore. For Phase-I works, allowing water storage up to +41.15 metres, the Centre has approved ₹30,436.95 crore, though ₹6,645 crore is yet to be released.

For Phase-II, which involves raising the storage level to +45.72 metres, officials have preliminarily estimated an additional cost of nearly ₹32,000 crore. Detailed calculations are being prepared and will be submitted to the Union government shortly.

Since Polavaram was declared a national project, the Centre has released ₹23,658.40 crore over the past 11 years. With the Centre now releasing funds in advance, reimbursement delays have reduced significantly. Officials have proposed seeking another tranche of funds, aiming to secure up to ₹3,034 crore in the current financial year.

The state has also sought full reimbursement for the increased carrying capacity of the canals, which were expanded based on technical committee recommendations in 2019. During his recent visit to Delhi, Chief Minister Chandrababu Naidu raised these issues with Union Jal Shakti Minister C. R. Patil and submitted a formal request for Phase-II funding.