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Jal Jeevan Mission Deadline Extended to 2028, Cost Rises to Rupees 9.1 Lakh Crore

Jal Jeevan Mission Faces Cost Surge, Seeks Extension And Additional Funding

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Jal Jeevan Mission Faces Cost Surge, Seeks Extension And Additional Funding
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Description

The Jal Jeevan Mission (JJM), launched in 2019 to provide functional tap water connections to rural households across India, is under scrutiny due to rising costs and funding issues. Initially set to complete its target by December 2024, the mission has fallen short, achieving only around 12.17 crore connections out of its 16.36 crore target by early 2025. As a result, the Ministry of Jal Shakti has proposed extending the deadline to 2028 and revising the total project cost to Rupees 9.10 lakh crore a significant increase from the original Rupees 3.60 lakh crore estimate.

Mission Overview

JJM was inaugurated by Prime Minister Narendra Modi on August 15, 2019, with the aim of ensuring safe and accessible drinking water for all rural households. The project envisioned universal tap water access by the end of 2024. However, slower-than-expected implementation has led to calls for a revised timeline and increased financial support.

Funding Challenges And Rising Costs

The Ministry of Finance has raised concerns about the sharp escalation in the per-connection cost, which has risen from Rupees 30,000 to approximately Rupees 1.37 lakh. The Ministry of Jal Shakti has attributed the cost hike to multiple factors, including inflation, supply chain disruptions during the COVID-19 pandemic, and the global impact of the Ukraine war.

Revised Financial Projections

To cover the remaining 4 crore rural households, the ministry estimates an additional Rupees 5.5 lakh crore will be needed. This amount is expected to be jointly funded by the central and state governments. The Department of Economic Affairs has requested a detailed explanation of the increased expenditure to assess the viability of the revised funding request.

Centre-State Financial Dynamics

Initially, the Centre earmarked Rupees 2.08 lakh crore for the Jal Jeevan Mission. However, the Expenditure Finance Committee (EFC) has now advised a reduction in central assistance to Rupees 1.51 lakh crore. This recommendation may strain the finances of states that have already committed significant resources to the mission.

Concerns Over Execution And Transparency

The steep rise in costs has led to speculation about inefficiencies in implementation and possible inflation of contract values. The EFC’s suggestion to reduce funding may place additional pressure on states, potentially affecting the mission's progress and overall success.

Outlook And Next Steps

The Jal Shakti Ministry is currently advocating for a one-time settlement of liabilities faced by state governments. The mission's continuation and eventual success will depend heavily on securing additional financial backing and addressing the concerns surrounding cost escalation and execution delays.


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