24% of Odisha’s irrigation potential cost ₹12,742 crore in five years: CAG

‘Lack of assured supply of water has deprived farmers of irrigation facilities’

March 31, 2022 10:26 pm | Updated 10:26 pm IST - BHUBANESWAR:

Picture used for representational purposes. File

Picture used for representational purposes. File | Photo Credit: K.K. Mustafah

Odisha has achieved only 24% of its envisaged irrigation potential despite spending ₹12,742.11 crore in the five years between 2014 and 2019, a performance audit conducted by Comptroller and Auditor General of India (CAG) reported.

Various anomalies in the execution of irrigation projects have been detected by the CAG in its performance audit on surface irrigation in the State. The report was tabled on Thursday.

The apex audit agency observed: “Odisha government had initiated various irrigation projects at considerable cost with the objective of providing adequate and assured water supply for farming. However, as noticed in audit, lack of adequate and assured supply of water through completion of irrigation projects has deprived the farmers of irrigation facilities.”

The audit had checked five major irrigation projects, nine mega lift projects (MLP) and 10 minor irrigation projects (MIP) for which a sum of ₹12,742.11 crore had been incurred up to March 2020.

“In spite of incurring expenditure of ₹12,742.11 crore in all projects, the irrigation potential achieved was 1,22,418 ha against irrigation potential proposed of 5,02,842 ha which constituted only 24% of the envisaged potential,” the CAG points out.

It says, “The reasons for non-completion and non-achievement of irrigation potential in projects are non-acquisition of land, deficient detail project reports, defective survey and investigation, deficient design in execution of the projects and inadequate availability of water in the canals.”

“Other than nine MLPs, increase in cost of the projects ranged between 182 and 4,596%. Despite escalation, only one major project — Upper Indra Irrigation Project — had been completed and other four major projects were in different stages of execution,” it says.

The performance audit of surface irrigation has revealed several deficiencies in the planning, implementation and monitoring of the projects. Moreover, the financial management of the projects was marred by the surrender of funds, resulting in the non-completion of projects despite availability of funds.

“Projects were found deficient in preparation and execution of detail project reports and incorrect calculation of benefit cost ratio (BCR) of the projects. These led to modifications in design and scope of work and revision in cost estimates affecting the schedule of implementation of the projects,” the audit finds.

Implementation of major projects faces delays ranging from 13 to 43 years. The delays and cost overruns are due to factors such as delayed land acquisition, delayed rehabilitation and resettlement measures, and deficiencies in works management.

Though the extension of irrigation facility is of critical importance for the growth of the farming sector, and despite the release of substantial funds for the completion of the projects, the projected irrigation potential could not be created to the benefit of farmers, the CAG points out.

The audit agency recommended that the financial management of the State’s irrigation projects has to be closely monitored and the responsibility for financial irregularities fixed on the executives.

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