Naidu Seeks Centre’s Backing for ₹80,112 Crore Polavaram-Banakacherla Project to Tackle Andhra’s Drought Crisis

New Delhi, May 23, 2025 — In a significant move to address persistent drought conditions in Andhra Pradesh, Chief Minister N. Chandrababu Naidu has formally approached the central government, seeking its backing for the ₹80,112 crore Polavaram-Banakacherla river-linking project. The project, considered one of the largest inter-basin water transfer initiatives in India, is poised to transform the water landscape of the state, especially the parched Rayalaseema region.

Naidu seeks Centre’s backing for ₹80,112 crore Polavaram-Banakacherla project as a cornerstone of his administration’s drought mitigation strategy. In a series of high-profile meetings with Union Finance Minister Nirmala Sitharaman and Union Jal Shakti Minister C.R. Patil, Naidu presented a detailed overview of the project, underscoring its potential to alleviate water scarcity and drive socio-economic development.

The ₹80,112 crore Polavaram-Banakacherla project envisions the diversion of 200 TMC (thousand million cubic feet) of excess floodwaters from the Godavari River at Polavaram to the drought-stricken Rayalaseema region. The proposal includes a multi-phase water transfer system that involves the construction of the Bollapalli reservoir, state-of-the-art lift irrigation infrastructure, and an elaborate network of tunnels through the Nallamala hills.

Highlighting the scale and urgency of the initiative, Naidu reiterated the importance of interlinking the Godavari, Krishna, and Penna rivers to ensure equitable water distribution across Andhra Pradesh. “Naidu seeks Centre’s backing for ₹80,112 crore Polavaram-Banakacherla project not just for irrigation, but as a lifeline for millions who face water shortages every year,” an official statement from the Chief Minister’s Office read.

The project is expected to benefit nearly 80 lakh people by providing drinking water, while also irrigating 3 lakh hectares of new farmland. In addition, the project will supplement irrigation for another 9.14 lakh hectares and allocate 20 TMC of water for industrial use, giving a significant boost to local economies and employment.

The request comes at a time when the state has faced successive years of deficient rainfall and depleted groundwater levels. Naidu seeks Centre’s backing for ₹80,112 crore Polavaram-Banakacherla project to ensure sustainable water management and to build resilience against the increasing impact of climate change in the region.

In a statement following his meetings in the national capital, Naidu emphasized, “The Polavaram-Banakacherla project is a transformative vision for Andhra Pradesh. With the Centre’s partnership, we can achieve water security for our people and make drought a thing of the past.”

Addressing concerns raised by neighboring Telangana about the potential impacts of the project, Naidu clarified that the initiative focuses on surplus water that would otherwise drain into the Bay of Bengal. “Naidu seeks Centre’s backing for ₹80,112 crore Polavaram-Banakacherla project for the collective benefit of Telugu-speaking states, not at the cost of any region,” he assured.

The project is proposed under a hybrid financing model, combining state and central government funds with private investment. Under this model, private entities would undertake the construction and operational aspects, while the government repays the cost over a specified long-term period. This approach aims to enhance efficiency and ensure timely execution.

As Naidu seeks Centre’s backing for ₹80,112 crore Polavaram-Banakacherla project, the Andhra Pradesh government is finalizing a comprehensive Detailed Project Report (DPR), which is expected to be ready by June 2025. The DPR will include assessments of environmental impact, engineering design, and financial planning.

This river-linking proposal is a key component of the state’s long-term development strategy, titled ‘Swarnandhra-2047,’ which outlines a vision for inclusive and sustainable growth. Water security, agricultural productivity, and industrial growth form the pillars of this plan, with the Polavaram-Banakacherla project at its core.

In addition to the water project, Naidu also submitted proposals to the Centre for establishing a high court bench in Kurnool and setting up a national law university in Amaravati—moves aimed at enhancing judicial access and legal education in the state.

As Naidu seeks Centre’s backing for ₹80,112 crore Polavaram-Banakacherla project, the spotlight is now on the central government’s response. If approved, the initiative could mark a historic milestone in India’s efforts toward integrated river basin management and drought-proofing vulnerable regions.

The coming weeks will be critical as stakeholders evaluate the proposal’s viability and long-term benefits. But one thing is clear: Naidu seeks Centre’s backing for ₹80,112 crore Polavaram-Banakacherla project not merely as a political agenda, but as a visionary leap toward securing Andhra Pradesh’s water future.