Rs 2,845 cr released under AIBP for irrigation projects

• Central assistance worth over Rs 2,845 crore has been released for various Extension, Renovation and Modernisation (ERM) irrigation projects under the Accelerated Irrigation Benefits Programme (AIBP) till December 2016, government.
• 42 approved ERM projects have been included under AIBP since its inception. Central assistance of Rs 2,845.27 crore has been released for these projects up to December 2016
• Out of the 42 projects, 20 have been reported to be completed by state governments.

About Accelerated Irrigation Benefits Program (AIBP):

• The government of India launched Accelerated Irrigation Benefits Program (AIBP) in 1996-97.
• This program was launched to give loan assistance to the states to help them a few major irrigation projects which were in advanced stage of completion.
• In this program major, medium and Extension, Renovation & Modernization (ERM) irrigation projects which were having investment clearance of Planning Commission and were in advanced stage of construction and can be completed in the next four financial year and also were not receiving any other form of financial assistance were considered for inclusion in the programme.
• Surface minor irrigation (MI) schemes of states of North-East, Hilly states (Himachal Pradesh, Sikkim, Jammu and Kashmir and Uttaranchal now Uttarakhand) and drought prone KBK districts of Orissa (now Odisha) which were approved by State TAC / State Planning Department will be eligible for assistance since 1999-2000.
• The assistance of the Central and State share of 2:1. If Projects are completed within stipulated period then the loan assistance is liberalized 30% grant. New Projects are considered for assistance in lieu of completed ones. Project to be completed within 3 years period, considered under fast track. The financial assistanse from Central Govt. will be considered as 70% loan and 30% grant. Grant Component was added in the programme from 2004.
• The criteria for assistance under AIBP was further relaxed in 2005. In this relaxation the minor irrigation schemes of non special category State with potential of more than 100 hectares with preference to tribal and drought prone areas with a benefit to dalits and adivasis included.

Analysis:

• The AIBP was launched 19 years ago, but several irrigation projects overshot their target date of completion, not twice but thrice or even four times. Not a single project nor the State government was penalised nor was the grant component converted to loan as penalty for not meeting the target date of completion, in accordance with AIBP norms.
• Comptroller and Auditor General of India found gross irregularities in the implementation of irrigation projects funded under AIBP, and a mismatch between irrigation potential reported and potential actually created. '
• The principal causes of the failure of the AIBP was its inability to take land acquisition into account.
• In order to further boost the irrigation potential of India, Pradhan Mantri Krishi sinchai yojana was launched by government which made AIBP as its component.

By: Vishal