The Central government has agreed to sanction Rs 12,911 crore to Andhra Pradesh for completing the first phase of Polavaram Project, an official statement from the state government on Tuesday said.
The union finance ministry has issued a memorandum approving this quantum of funds, officials said.
"This is a result of the unrelenting efforts, negotiations and consultations by the chief minister with the Centre," the press note said.
According to officials, the sanctioned amount of Rs 12,911 crore also includes Rs 2,000 crore to cover the extra expenditure caused by the allegedly faulty construction of the diaphragm wall built during the TDP government.
Officials said that the finance ministry has sent this memorandum to the union water resources ministry, including offering exemption from compound payment of bills as it is causing project delay.
On Tuesday, Chief Minister Y S Jagan Mohan Reddy visited the project site and comprehensively examined the progress of the dam works, directing irrigation officials to complete the repairs of the damaged diaphragm wall at the earliest for speeding up the main project works.
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Reddy also instructed officials to develop the project site as a favoured tourist destination by constructing a hotel and providing other amenities for visitors, including building a bridge at Polavaram.
The chief minister also criticised a section of the media for allegedly exaggerating the state of cracks in the guide wall and creating a "ruckus about small damage".
Meanwhile, officials explained that the designs of the guide wall have been approved by the Central Water Commission (CWC) which has been informed of the cracks, whose repairs will be undertaken as per the technical body's suggestions.
They also apprised the CM that works related to 48 radial gates, river sluice gates, tunnel work at the power house, vibro compaction and sand filling at gap 1, as well as transportation of sand to the Earth-Cum-Rock-Fill dam at gap 2 area have been completed, while the approach channel works are nearing completion.
Furthermore, the CM has been informed that all repairs to the diaphragm wall will be completed by December, including increasing the height of the upper cofferdam.
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