The Salem City Municipal Corporation in Tamil Nadu has sought Rs 458.5 million from the Tamil Nadu government to implement the Salem Dedicated Water Supply Scheme. The project is being implemented in two phases. While Phase I (five packages) was commissioned on December 28, 2015, Phase II (three packages) is nearing completion. However, the project cost has escalated and the civic agency requires additional funds for completion of the scheme. The project cost for Phase I was estimated at Rs 1.18 billion and increased to Rs 2.02 billion, while the project cost for Phase II was estimated at Rs 1.32 billion and increased to Rs 1.64 billion. The total project cost has escalated to Rs 3.66 billion, as against the initial estimate of Rs 2.5 billion.