The World Bank-assisted ‘National Watershed Management Project’ or ‘Neeranchal’ received the approval for implementation by the Union Cabinet on Wednesday.

The project aims to fulfil the watershed component of the Pradhan Mantri Krishi Sinchai Yojana (PMSKY) to reduce surface runoff of rainwater, increase groundwater levels and better water availability in rain-fed areas.

The cost of the project is estimated at Rs.2,142.30 crore of which the Centre will be pitching in with Rs. 889 crore while Rs. 182 crore will be provided by the respective State Governments.

The remaining 50 per cent of the project cost will be financed by a World Bank loan.

It will be implemented across nine States - Andhra Pradesh, Telangana, Madhya Pradesh, Maharashtra, Gujarat, Odisha, Chhattisgarh, Jharkhand and Rajasthan.

“These States have been picked since irrigation coverage is quite poor and this project will help increase water levels to benefit farmers. Of these, Jharkhand has the lowest irrigation coverage at just 5.6 per cent,” Nitin Gadkari, Union Minister for Shipping, Road Transport and Highways, told reporters.

According to the Department of Land Resources, irrigation coverage across Maharashtra is estimated 15 per cent and 24 per cent in AP, while in MP and Gujarat it is about 32 and 34 per cent, respectively.

Stating that small check dams could help improve agricultural output, Gadkari believed that the project could have a “huge impact” in the country.

“If irrigation increases, then agricultural production rises 2.5 times. It costs between Rs.2,000-2,500 crore to build a large dam but check dams cost between Rs.200-300 crore to construct and water will reach as many people,” the Minister said.

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