Looks like the AP government’s reverse tendering process to lower the expenditure of Polavaram irrigation project has totally backfired. It is known that the Centre had made it clear that it would fund only Rs 20,300 crores towards the project as per the 2014 price level. However, CM YS Jagan sought Rs 55,000 crores from the centre as the rehabilitation and compensation costs were higher than the construction of the Polavaram project.
The Union Finance Ministry has directed the State Government to provide all the bills related to the works which were already executed at the project site in order to release the funds. Now, this is a tactic to further delay the release of funds and also to confirm that the funds would be spent towards completion of the project. Speculations were rife that the AP Govt had utilised the Polavaram funds for YSRCP’s prestigious schemes.
Has it been reversed?
The YSRCP leaders who criticised and ran a campaign against N Chandrababu Naidu of utilising Polavaram project like an ATM during the TDP regime have understood the present situation after coming to power. Letters were written to the Centre by then YSRCP leaders who were in the opposition alleging the TDP Supremo of increasing the cost of the project to Rs 55,000 crores is now haunting them. On the other hand, the Union Finance Ministry made it clear that only Rs 20,300 crores would be sanctioned for the project, has not gone down well with the AP government. Experts warn that the Polavaram project which is the lifeline for Andhra Pradesh may get stalled without the support from Centre.