The Kaleshwaram project in Hyderabad is facing new troubles. The state government has announced a judicial probe into alleged irregularities by the previous government, while the Rural Electrification Corporation (REC) has also shown concern about the project. The REC has asked for a report on the project after the state government decided to form an expert committee to assess the quality of the Medigadda barrage and Annaram and Sundilla pumphouses in the Kaleshwaram Lift Irrigation Scheme (KLIS).
Last year, there were technical problems with the piers of the Medigadda barrage sinking and water leaking from the pumphouses at Annaram and Sundilla. This has caught the attention of the REC, as they provided a loan of over Rs 30,000 crore during the previous government’s regime to complete the project quickly. The REC is concerned about reports of poor construction quality for this expensive project.
The previous government had promised to repay the loan by generating revenue from the Kaleshwaram project. However, the REC now doubts the feasibility of generating revenue due to the poor construction quality. They have asked for detailed information on the functioning and viability of the project from the current government.
The state government will provide documentary evidence to the REC, highlighting how the previous government exploited resources and disregarded required quality standards in constructing the project. Additionally, the previous government had also taken loans from other institutions like PFC, Punjab National Bank, Bank of Baroda, and NABARD, totaling around Rs 97,000 crore. The REC has also requested the government to pay monthly interest installments on these loans.
