Union Government sanctioned 250 crore rupees to Andhra Pradesh to set up Polavaram SPV
The Special Purpose Vehicle (SPV) will be the implementing agency of the Polavarm Multi Purpose Irrigation project which was accorded national status by the Union Government in 2014.
he Union Ministry of Finance on 26 March 2015 sanctioned 250 crore rupees to Andhra Pradesh to set up Special Purpose Vehicle (SPV) for the implementation of the Polavaram Multi Purpose Irrigation Project.
This amount is in addition to 100 crore rupees allotted for the project in the 2015-16 Union Budget.
The decision to extend financial assistance is in tune with the Section 90 of the Andhra Pradesh Reorganization Act, 2014 that declares Polavaram project as a national project.
The Polavaram project provides irrigation to 4.36 lakh hectares, water supply to towns and villages en route, and generates hydel power with an installed capacity of 960 MW.
The project is being constructed on the river Godavari in the West Godavari district of Andhra Pradesh. Under this project few areas of neighbouring Chhattisgarh and Odisha states are also submerged.