World Bank Support for Tamil Nadu Water Bodies

New Delhi, Feb 21 (UNI) The Indian government today signed here an agreement for World Bank loan of 485 million dollars for Tamil Nadu Irrigated agriculture modernisation and water-bodies restoration and management project.

The agreement was signed in the presence of Finance Minister P Chidambaram.

The signatories were Mr Madhusudan Prasad, Joint Secretary, Department of Economic Affairs, Ministry of Finance, on behalf of Government of India, Mr S Rajaretinam, Secretary, Public Works Department, Government of Tamil Nadu and Mr Praful Patel, Regional Vice President, South Asia, from the World Bank.

Also present on the occasion were both the Ministers of State for Finance -- Mr S S Palanimanickam and Mr P K Bansal.

The Tamil Nadu irrigated agriculture modernisation and water-bodies restoration and management project is designed to modernise irrigation systems covering over 6,00,000 hectares in 63 selected sub-basins throughout the state. It proposes an integrated sub-basin approach to synergise the activities of multiple agencies involved with irrigation, on-farm development, agriculture, horticulture, marketing, livestock, fisheries and applied research.

Tamil Nadu is home to about 62 million people living in 17 river basins. Many of these basins are water stressed, as supplies are limited and competing demands are growing.

Speaking on the occasion, Mr Chidambaram said "Traditional water bodies have been the backbone of irrigated agriculture in Tamil Nadu from time immemorial. Restoration of these water bodies is a key element in unlocking the potential of agriculture development and improving the livelihoods of the people in the state. An estimated 50,000 jobs are expected to be created on both on-farm and off-farm activities in the project area.'' The project will place special focus on modernisation of Tanks and strengthening of Water Resources Organisation and Water User Associations to improve irrigation service delivery. In addition, the project aims to strengthen the institutional framework and tools for sustainable water resources management.

Some of the benefits from the project include increased area and reliability of irrigation, increase in production, productivity, and profitability of foodgrains, oilseeds, pulses, fruits, vegetables, sugarcane, green fodder, milk and fish in inland water bodies. Farm incomes are expected to rise in project area households with the creation of additional jobs.

UNI