Odisha's Irrigation Projects Face Major Setbacks: CAG Report Reveals Shocking Irregularities

Serious Issues in Minor Irrigation Projects

Bhubaneswar: A recent report from the Comptroller and Auditor General of India (CAG) has uncovered significant irregularities in the execution of minor irrigation (MI) projects across Odisha. Many of these initiatives have been halted midway, resulting in substantial financial losses.

The findings, presented in the Assembly, highlighted discrepancies throughout various phases of project management, including planning, land acquisition, forest clearances, tendering, execution, completion, quality control, and financial oversight from 2021-22 to 2023-24.

The audit revealed that project proposals were often created without adequate surveys, investigations, or feasibility assessments. Consequently, seven MI projects were abandoned due to failures in land acquisition and obtaining necessary forest clearances. Out of 40 MI projects funded by the Rural Infrastructure Development Fund (RIDF), three failed to meet their objectives due to poor site selection and design flaws.

Farmers had high hopes for these projects, yet many found that water did not reach the farthest fields. The CAG also identified irregularities in the Mukhyamantri Adibandha Tiyari Yojana, where check dams were built in areas that already had existing structures.

Geo-spatial analysis indicated that contracts were awarded for sites that already had check dams. The audit estimated that Rs 4.26 crore was spent on constructing seven new check dams despite the presence of existing ones. Out of 311 project proposals reviewed, 271, or 87%, lacked approval from the high-powered committee, and work on 38 projects commenced without the necessary approvals.

Additionally, the audit found that 38 MI projects began without securing land and forest clearances. As a result, Rs 91.57 crore spent on these projects became ineffective due to incomplete water distribution systems and other components. Between 2021 and 2024, Rs 520.60 crore was surrendered due to unrealistic budget forecasts and unutilized funds.

The CAG also pointed out irregularities involving the Odisha Construction Corporation Ltd (OCCL), which received an undue advantage of Rs 6.49 crore through inadmissible contingent expenses for underground pipeline projects.

Moreover, the report noted that relaxations were made in eligibility criteria for bidders in violation of the Odisha Public Works Department (OPWD) Code and e-procurement guidelines for tenders worth up to Rs 7 crore. A total of 64 underground pipeline projects—21 under RIDF and 43 under state schemes—were delayed by as much as 18 months, preventing irrigation facilities from reaching 99,190.049 hectares of land.