In the beginning, the YCP Government picked up confrontations with the Central Government, Jal Shakti Ministry and Polavaram Project Authority. At one point, CM Jagan Reddy made bold statements that if the Centre would not give funds, the AP Government would complete Polavaram lifeline irrigation project with its own funds. One and half years have passed but the Centre has not provided required funds and the project works were not moving forward. Amid this, the Centre dropped a bombshell saying that it would give just Rs. 20,398 Cr but not Rs. 47,725 Cr.
Now, CM Jagan has held a review on this latest development with the officials. He has commented that it would not be possible to complete the project with just Rs. 20,000 Cr. As much as Rs. 29,000 Cr was required only for land acquisition and resettlement. The CM has even commented that if the Centre would not agree for revised Rs. 47,725 Cr, then AP would not be able to continue work. Then, Polavaram project would have to be handed over to the Centre itself for carrying out completion works.
The YCP regime would certainly be unable to complete Polavaram without the Centre’s support. Already, CM Jagan’s countless Cash Transfer schemes could not be effectively implemented because of paucity of funds. Coronavirus lockdown and industrial sickness have also badly hit State revenues. The AP Finance Minister has to make rounds to Delhi even for funds to pay salaries to employees every month-end. In such a situation, it goes without saying that AP cannot complete Polavaram with just Rs. 20,000 Cr when the real requirement is anywhere above Rs. 47,725 Cr. Even this was cut down from Rs. 55,448 Cr for which sanction was given by the revised estimates committee at the Central level.
For various reasons, CM Jagan did not listen to the Centre on Polavaram in the beginning. Once the Centre withdrew its support to give funds, his stand has changed a little bit. Whatever, if the problem is not resolved at the earliest, Polavaram will get stuck in a dead-end causing big loss to AP people.