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Odisha: CAG picks holes in irrigation projects

PNN
Updated: September 30th, 2026, 08:49 IST
in Business, Metro, State, Top Stories, Trending
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Bhubaneswar: Major irregularities have been detected in the implementation of minor irrigation (MI) projects in Odisha, with several projects being abandoned midway and crores of rupees rendered unfruitful, according to a report of Comptroller and Auditor General of India (CAG).

The report, tabled in the Assembly, found irregularities at various stages of project implementation, including planning, land acquisition, forest clearances, tendering, execution, completion, quality control and fi nancial management during the period from 2021- 22 to 2023-24.

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The audit found that project proposals were prepared without proper surveys, investigations and feasibility studies. As a result, seven MI projects had to be abandoned because land could not be acquired or the required forest clearances were not obtained. Of the 40 MI projects sanctioned under Rural Infrastructure Development Fund (RIDF), three could not achieve the intended objectives because of deficiencies in site selection, surveys, investigations and design drawings.

The audit noted that farmers had high expectations from the projects, but water did not reach the tail-end fields. The CAG also detected alleged irregularities in the implementation of the Mukhyamantri Adibandha Tiyari Yojana. In seven cases, check dams were constructed at locations where structures already existed.

Geo-spatial analysis showed that the sites already had check dams when the contracts were awarded. The audit assessed that Rs 4.26 crore was spent on the construction of the seven new check dams despite the existing structures. According to the CAG, of 311 project proposals examined, 271, or 87%, had not received approval from the high-powered committee. Work on 38 projects was taken up without the required approvals.

The audit further found that work on 38 MI projects had commenced without land acquisition and forest clearances. As water-distribution systems and other components could not be completed, expenditure of Rs 91.57 crore on these projects was rendered unfruitful. Between 2021 and 2024, Rs 520.60 crore had to be surrendered because of unrealistic budget estimates and incomplete utilisation of funds, the report said.

The CAG also pointed to irregularities involving the Odisha Construction Corporation Ltd (OCCL). The corporation received an undue benefit of Rs 6.49 crore after it was paid inadmissible contingent expenditure for underground pipeline works.

In violation of the Odisha Public Works Department (OPWD) Code and e-procurement guidelines, relaxations were also made in the eligibility criteria for bidders for tenders involving works valued up to Rs 7 crore, the report said. A total of 64 underground pipeline works — 21 under RIDF and 43 under state schemes — were delayed by upto 18 months. As a result, irrigation facilities could not be extended to 99,190.049 hectares of land, according to the CAG.

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Tags: AGRICULTURECAGIrrigation projectsOdisha
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