Kerala Finance Minister T.M. Thomas Isaac earmarked Rs. 10 crore for detailed study on the proposed new dam at Mullaperiyar in his Budget for the coming year.

The Finance Minister said that considering the safety and interest of the people of the State, the construction of a new dam and ensuring water to Tamil Nadu, were inevitable. The government had taken timely action in the wake of apprehensions caused by the precarious state of the dam.

The Minister allocated Rs. 20 crore for development of a new township at Munnar. Legislation would be brought for taking over the present town on lease to the Kannan Devan Hills Plantation Company.

Dr. Isaac also earmarked Rs. 125 crore for the Vizhinjan International Container Transshipment Project and Rs. 232 for the Kerala Transport Project. A token provision of Rs. 5 crore was made for Kochi metro.