Over the past few years, the irrigation sector has gained traction, with increased focus on major, medium and multipurpose irrigation projects. The government has made concerted efforts to promote infrastructure creation through various flagship initiatives. In a panel discussion at Infrabuild India, government and industry stakeholders discussed the state plans and initiatives, the experience of contractors in the construction of irrigation infrastructure, the issues and challenges in project execution, the adoption of best practices and new technologies to address these challenges, and contractor expectations from the government and implementing agencies. Excerpts…
K.M. Jaiswal, Superintending Engineer, Water Resources Department, Government of Rajasthan
Rajasthan is a water-scarce state. With its limited water resources, the state is able to irrigate a total area of 4.4 million hectares. The state has access to 12 billion cubic metres (bcm) of groundwater and 17 bcm of surface water. Most of the water utilised in Rajasthan is from nearby states such as Punjab, Gujarat and Haryana. In the past few years, the state achieved a major landmark by commissioning the Narmada canal. The state has been focusing on shifting from surface irrigation to micro-irrigation in an attempt to improve water use efficiency.
Rajasthan has four ongoing projects: the Parwan irrigation project (Rs 73.55 billion), the Dholur lift irrigation project (Rs 10 billion), the Navera Barrage project and the Eastern Dam project (with a cumulative cost of Rs 10 billion). Another major project in its pipeline is the Eastern Rajasthan Canal Project (Rs 370 billion). Within the next two to three years, Rajasthan will increase its irrigation potential by 450,000 hectares. At present, the ongoing projects are funded by the state. However, the department is hopeful that they will receive funds under the Accelerated Irrigation Benefits Programme for the Parwan irrigation project. The state has been allocated nearly Rs 40 billion for the irrigation sector. The state has had a mixed experience with engineering, procurement and construction (EPC) contractors.
N. Janakiram, Senior Vice-President, Business Development, BGR Mining and Infra
The organisation has worked on various irrigation projects in Andhra Pradesh and Maharashtra. In its view, irrigation projects should not be treated as EPC projects but as item rate projects, owing to the inherent issues in EPC models, which lead contractors to face huge risks and losses. A clause stating the possibility of renegotiation of terms is essential in every contract, so that it is fair to contractors as well.
Surinder Makhija, Strategic Adviser, Jain Irrigation Systems
One of the leading micro-irrigation companies worldwide, Jain Irrigation Systems Limited works towards ensuring last-mile connectivity of the water that is carried and helps enhance water use efficiency. One of the key projects being executed by the company is the Ramthal-Marol integrated micro-irrigation project in Karnataka. Building and replicating integrated micro-irrigation systems (sprinkler irrigation and drip irrigation) is expected to help reduce loss of water from canals and distributaries. The organisation has also taken up green initiatives such as utilisation of solar power for supply of water in some of its projects. One of the issues faced prior to the Integrated Irrigation Project (IIP) model was the lack of cooperation amongst various stakeholders. However, ever since the IIP model has been adopted, this problem has been overcome to a large extent. In this regard, the IIP model has been more successful.
Mahendra Kumar Nigam, Chief Engineer (East), UP Irrigation and Water Resource Department
Uttar Pradesh gets its water from rivers originating in the Himalayas and the Vindhyas. The major ongoing irrigation projects in the state under the Pradhan Mantri Krishi Sinchayee Yojana (PMSKY) are the Madhya Ganga Canal Phase II, the Arjun Sahayak Project and the Saryu Irrigation Canal Project. The Madhya Ganga Canal will irrigate the Moradabad, Sambhal, Amroha and Badaun districts. It is expected that nearly 226,000 hectares of agricultural land will be irrigated by this canal. The Arjun Sahayak Project is expected to increase the irrigation potential by nearly 50,000 hectares. The Rs 98 billion Saryu Irrigation Canal Project will help irrigate nearly 4 million hectares of land in nine districts of Uttar Pradesh. This international project is going to connect five rivers in eastern Uttar Pradesh. The central government is providing 40 per cent of the funding for this project, with the remaining 60 per cent coming from the state government. The projects are expected to be completed by March 2021, and work on these projects is in full swing.
The projects under PMSKY have witnessed efficient and timely monitoring. The state has had a mixed experience with contractors. Most of the time, especially during the Covid-19 outbreak, contractors have been cooperative and have worked efficiently to ensure timely completion of projects. The two major issues faced by the state in timely and proper execution of irrigation projects are land acquisition and timely flow of funds proportionate to the work being executed. The department plans on spending more than Rs 60 billion to complete the projects in the irrigation sector in the coming years, with funds from the centre, state funds and some borrowings.
N. Baba Varaprasad, General Manager, Irrigation, Madhucon Projects
Madhucon has a rich and varied track record as a construction company in the irrigation sector. It has worked on various irrigation projects in Telangana, Andhra Pradesh, Madhya Pradesh, Uttar Pradesh, Maharashtra and Gujarat. It has many ongoing projects, entailing an estimated investment of Rs 38 billion.
The guidelines and policies formulated by the government are not implemented across all departments in all states. This causes problems for the agencies and hampers the execution of projects, resulting in time and cost overruns. As per the organisation, any cost overruns caused by natural calamities should be borne by the government or the implementing agencies. Additionally, if part of a project is completed and made operational, completing work on the remaining portion becomes challenging. Further, the majority of delays are caused due to changes in design and scope.
Summing up
The irrigation sector faces a number of bottlenecks, due to which it continues to witness long delays in the implementation of projects. Issues such as a shortfall with delay in land acquisition, inadequate flow of funds, inability to obtain statutory clearances, involvement of multiple agencies, lack of interstate coordination, changes in design and scope, cost overruns, etc., are some of the impediments that pose difficulties. Possible solutions that can be helpful in timely execution include awarding of projects only after the major portion of land has been acquired and requisite clearances and permissions are in place. As a matter of fact, hiring of consultants responsible for finalisation of designs and obtaining of clearances can be a major step forward and can help in speeding up project implementation.
Additionally, it is essential that projects are awarded not only on the basis of the lowest bid, but also the contractor’s technical expertise in the irrigation sector. New bid auction methods, such as the average bid auction method or the normalcy method, can be taken up. In order to minimise disputes between the department and contractors, it is imperative that guidelines are formulated for the EPC contracts pertaining to additional scope, change in design, etc., to avoid disruptions in the execution of a project. Contractors should also ensure that a proper cost analysis has been done before submitting the bids, to avoid disputes in the future. Lastly, it is imperative to include all stakeholders, including farmers, in all discussions, so as to ensure all-round success of the project.