ADB gives $100 million to Tamil Nadu
The Government
of India and the Asian Development Bank (ADB) have signed a $100 million (Rs.
670 crore) loan agreement to strengthen key irrigation and drainage system and
improve water management in the Vennar sub-basin of the Cauvery delta in Tamil
Nadu.
Details:
· The financing will be used to strengthen embankments of six major
irrigation water channels in the Vennar system and rehabilitate 13 irrigation
pumping schemes.
· The project aims to improve existing infrastructure and will provide
flood protection and renewed access to irrigation.
· The loan will support Tamil Nadu’s water resources professionals to
manage resources better, and with greater involvement of the stakeholders they
service.
· Communities will be involved in planning and delivery of water
services. Flood forecasting and warning systems will be installed and a flood
risks map drawn up to help communities respond more effectively to extreme
events.
· The ADB officials signed a financing agreement with the Government of
India and also signed a separate project agreement with officials of the Tamil
Nadu government in New Delhi (on Jul 14, 2016). The total project cost is
estimated at $144 million, with the State government pooling in $44 million.
· Tamil Nadu’s Water Resources Department will be responsible for
implementing the project which is expected to be completed in 2020. The Tamil
Nadu government had sought financing from ADB to upgrade the irrigation systems
in the region.
· The project will run through six rivers in the districts of Thanjavur
and Nagapattinam and involves resectioning of Pandavayar, Velleiyar,
Harichandranadi, Adappar, Valvanar and Vedaranyam Canal and desilting of
riverbeds as well.
· The project seeks to protect coastal districts from cyclones and
flooding that are aggravated by climate change, have a climate-resilient water
management system, better flood risk management and improved irrigation
infrastructure.
· Nearly 11,000 hectares and over 3.35 lakh households will face a
reduced risk of flooding over the next 25 years once the project is
implemented, as per the bank’s initial environmental examination that was
completed in December 2015. A distribution and poverty analysis done by the
bank estimated the bulk of the net benefits of the upgraded systems will go to
the small farmers (58%) and marginal farmers (42%). While no land acquisition
is required for the project, nearly 12,887 persons will have to be resettled.
Background:
The Cauvery
river basin is a critical source of water for agriculture, both within Tamil
Nadu and neighbouring states. The vast majority of the delta’s population is
engaged in farming and fishing.
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