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Maladministration sucked irrigation projects dry: CAG

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In the backdrop of a scam, then Dy CM Ajit Pawar had resigned in 2012 only to be sworn in two months later
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Underlining irregularities in the already beleaguered water resources department, the Comptroller and Auditor General (CAG) has pointed to maladministration in the state's irrigation projects.

After allegations of alleged corruption in irrigation projects and undue benefits being granted to contractors had surfaced, then deputy chief minister Ajit Pawar had resigned in September 2012 only to be sworn in again two months later. Pawar was the irrigation minister from 1999 to 2010.

In 2012, the state's economic survey said that irrigation in Maharashtra had risen by just 0.1% to 17.9% from 2001 to 2010 despite Rs 70,000 crore being spent on the sector. This had led then chief minister Prithviraj Chavan to assure a white paper on the issue, which led to confrontation with the NCP and Pawar.

Maharashtra's irrigation is much less than the national average of about 45% and it has around 589 irrigation projects under construction with a balance cost of around Rs 72,000 crore.

The report of the CAG's audit report on local bodies for the year ended March 2013, which was submitted to the legislature on Wednesday, noted how the department had not complied with rules and regulations.

For instance, the Maharashtra public works manual says that no work should be commenced on land which has not been duly made over by the responsible civil officer and when tenders for works are accepted but the land required for the purpose is yet to be acquired, the time for the acquisition of land should be ascertained from the district collector before work orders are issued.

However, the department awarded work without ensuring possession of land for the Varkhed- Londhe project in Jalgaon coupled with grant of mobilization advance of Rs 8 crore, which resulted in blocking of funds to that extent and avoidable loss of interest of Rs 3.03 crore and unintended benefit to the contractor.

"Mention was made in the Reports of the Comptroller and Auditor General of India regarding award of works without ensuring availability of land leading to time and cost overruns and blocking of funds. Despite repeated audit observations, the Government continues to incur capital expenditure on works services without ensuring availability of land," the report said.

It added that the department had incurred an avoidable extra expenditure of Rs 1.24 crore on change in canal alignment in Nanded due to commencement of work without possession of land and failure to conduct subsurface investigations before framing the estimates and change in dam design after award of work of Popatkheda minor irrigation project stage-II led to an extra expenditure of Rs 2.52 crore.

Moreover, incorrect application of rates for excavation in hard rock by controlled blasting resulted in an extra expenditure of Rs 38.43 lakh and an unintended benefit to the contractor to that extent. The department admitted the claim of a contractor for bringing sand from an alternate quarry in violation of the contract conditions, leading to inadmissible payment of ` 2.14 crore to the contractor on account of extra lead charges.

(Ail)mentary canal
Projects Violation Effect
Varkhed-Londhe project in Jalgaon
Work awarded without acquiring land; mobilisation advance of Rs8 crore
Funds blocked; loss interest of Rs3.03 crore; contractor benefitted

Canal alignment in Nanded
Work commenced without possession of land
Additional expense of Rs1.24 crore

Popatkheda minor irrigation project stage-II
No study before working out the estimates; change in dam design after work contract was awarded
Extra expenditure of Rs 2.52 crore.

Wrong rates for excavation of hard rock by controlled blasting resulted in an extra expenditure of Rs 38.43 lakh and benefitted the contractor.

Dept cleared payment of Rs2.14 crore to a contractor who brough sand from an alternate quarry in violation of the contract conditions

Maha parched
0.1% rise in irrigation coverage in state between 2001 and 2010
70,000 crores in rupees spent on the sector during the above period
17.9% irrigation coverage in Maharashtra as on 2012
45% national average
589 projects under construction
72,000 crores in rupees towards balance cost of the above projects
Source: Economic Survey of Maharashtra, 2012

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