Date:05/07/2002 URL: http://www.thehindu.com/2002/07/05/stories/2002070504110400.htm

Southern States - Kerala-Thiruvananthapuram

JBIC-aided project inauguration on Nov. 1

By Our Special Correspondent

THIRUVANANTHAPURAM JULY 4. The Water Resources Minister, T. M. Jacob, said in the Assembly today that the controversial Kerala Water Supply Project assisted by the Japanese Bank for International Cooperation (JBIC) would be inaugurated at Cherthala on November 1.

Replying to the debate on the demands for grants for Irrigation and Water Supply and Sanitation, the Minister said that the 27 companies had responded to the fresh global tenders floated for the consultancy contract for the project. They would now have to be short listed for the contract before awarding the contract.

Referring to the controversy over the contract, the project cost and the interest rate, the Minister maintained that the project cost would be Rs. 1,800 crores. The interest rate will be 2.1 per cent, he said without mentioning the currency for the repayments. The loan, he added, is repayable in 30 years.

Mr. Jacob emphasised that there would not be any privatisation with respect to the Kerala Water Authority. A river basin authority would be formed to oversee development of water sheds.

The Government, he said, would take up construction of the Meenachil, Vamanapuram and Attappady irrigation projects. The Pazhassi, Kanjirappuzha and Kallada projects will be commissioned shortly. The Kallada and Muvattupuzha Valley Irrigation Schemes will be brought under the Command Area Development Scheme.

Water harvesting

The Minister said that the Government proposed to encourage water harvesting in households. A project for water harvesting called 'Varsha' will be inaugurated on the Malayalam New Year Day.

The scheme proposed construction of ferocement tanks of 25,000 litres each costing Rs. 62,000 and serving five families. The Government would bear 80 per cent of the cost while the local bodies and beneficiaries should contribute 20 per cent. The scheme, which would benefit 7,700 families, would be specially suited for area where the ground water is contaminated with salt or fluorides.

He said that the State was now using only 10 per cent of the rainfall it was getting while the international average was 12 per cent. The scheme would help harvest more water.