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The Planning Commission on Wednesday accorded investment clearance for the Mahi Right Bank Canal project in Gujarat. The project is estimated to cost Rs 300 crore at 2009 price levels. The project will be completed by 2014-15 and Plan accounts would be closed by March 31, 2015, a Plan panel release said.
It asked the Gujarat Government to ensure that the pricing of irrigation water in this project command was such that it conveyed the scarcity value of water.
“No further time and cost overrun would be allowed, else the project would be debarred from Central assistance,” it added.
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