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ANALYSIS OF SSP BENEFITS : HIGHLIGHTS



CLAIMS
  • Drinking water for 40 million people
  • Irrigation to 1.8 million hectares
  • 1450 MW power production

REALITY

The Narmada river has 17% less water than assumed by project planners.

DRINKING WATER
  • No drinking water plan exists even today.
  • Cost of supplying drinking water is "several thousand crores". This cost has not been included in project costs.
  • Urban areas are to receive 80% of the drinking water.
  • Number of beneficiaries not based on any detailed study.
IRRIGATION
  • Non-completion of upstream dams reduce SSP irrigation benefits by 17-30%.
  • Canal efficiency is much lower than assumed: Water available for irrigation further reduced by 23.3%.
  • Total irrigable area likely to be only 44-52% of the area claimed by project planners.
  • Over half the area proposed for irrigation is susceptible to waterlogging and salinization.
  • Irrigation benefits are likely to be monopolized by rich farmers in Central Gujarat to grow cash crops such as sugarcane.
POWER
  • SSP will provide only 439 MW firm power in the initial stages. Final firm power production is only 50 MW out of an installed capacity of 1450 MW.
  • Non-completion of Narmada Sagar Dam upstream will reduce power benefits by at least 28%.
  • SSP will consume more power than it will produce for Gujarat.
FINANCIAL

  • True cost of SSP is likely to be over Rs 20,000 crores and may rise to over Rs 25,000 crores
  • Cost figures quoted by the Government list only the base cost of the project and ignore contigency costs
  • All hopes for foreign bilateral funding for SSP have disappeared
  • The SSP consumes 80 % of Gujarat's irrigation budget
  • Only about 10 % of total project costs have been spent so far
  • SSP spending is 53-63 % behind schedule
  • The Government has no money to finance the SSP
CONCLUSIONS

  • Benefits of the SSP have been substantially overestimated
  • The SSP will not solve Gujarat's drought problem
  • Kutch and Saurashtra will get minimal irrigation benefits from SSP. No detailed plan to supply drinking water to Kutch and Saurashtra.
  • A comprehensive review of the SSP is needed to determine the actual scope for benefits and its financial viability.
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