Nagpur Municipal Corporation has asked the Maharashtra urban development department to directly fund the Rs 952-crore Kanhan-Kolar barrage, saying its existing loans and bond liabilities leave it with limited capacity to borrow for the project. The barrage is planned to strengthen the city’s water supply through 2056.
Municipal commissioner Vipin Itankar made the request in a letter sent to the additional chief secretary of the urban development department. The proposal follows directions issued at a water scarcity review meeting on October 31 by guardian minister Chandrashekhar Bawankule, who asked officials to approach the department after considering the civic body’s financial position.
The irrigation department has prepared a Rs 952-crore estimate for the project and submitted it to the planning and finance departments for administrative approval, according to the report. NMC has now sought the entire project cost directly from the state government instead of executing the work through a loan raised against a state government guarantee.
The proposed barrage on the Kanhan river in Kamptee tehsil is intended to address Nagpur’s projected water requirements over the next three decades. The irrigation department estimates that the city could require around 400 million cubic metres of water in the coming years. The project is expected to make 179.60 million cubic metres available annually for utilisation through the Kanhan, Kolar-Kanhan and Rohna water supply schemes.
The project is designed with a live storage capacity of 67.81 million cubic metres. Its proposed role is to provide an additional source of water for the city’s growing requirements, while the irrigation department is expected to execute the work. The stated planning horizon extends to 2056, linking the project to Nagpur’s longer-term water security rather than only its immediate supply needs.
The funding request also highlights the financial constraints faced by the civic body. Itankar told the state department that NMC’s existing loan and bond liabilities made it difficult to take on another major borrowing obligation. Earlier directions from the chief minister had asked NMC to undertake the project through a loan backed by a state government guarantee, but the latest request seeks direct state funding instead.
The proposal now depends on the state government’s decision on funding and administrative approval. Until those decisions are taken, the project’s financing structure and implementation pathway remain unsettled. The irrigation department’s estimate and the proposed water allocation will form the basis for the state’s consideration of the barrage.
