Jal Jeevan Mission Funding Controversies

April 21, 2025

The Jal Jeevan Mission (JJM) has recently faced scrutiny over its escalating costs and funding requirements. Launched in 2019, the mission aimed to provide tap water connections to 16.36 crore rural households by the end of 2024. However, by early 2025, only about 12.17 crore connections had been established. The Jal Shakti Ministry now seeks to extend the timeline to 2028, proposing a revised outlay of Rs 9.10 lakh crore, higher than the original Rs 3.60 lakh crore.

Background

The JJM was initiated to ensure access to clean drinking water for rural households. Prime Minister Narendra Modi launched it on August 15, 2019. The mission’s goal was to achieve complete saturation by December 31, 2024. However, as of early 2025, progress has been slower than anticipated.

Current Funding Challenges

The Finance Ministry raised concerns regarding the proposed cost increase for tap connections. The cost per connection has surged from Rs 30,000 to Rs 1,37,500. The Jal Shakti Ministry attributed this rise to inflation, price volatility, and delays caused by the COVID-19 pandemic and the Ukraine conflict.

Revised Cost Estimates

The Jal Shakti Ministry’s revised estimates project an additional cost of Rs 5.5 lakh crore to provide connections to the remaining 4 crore households. This includes contributions from both the Centre and state governments. The Department of Economic Affairs has requested detailed justifications for this increase.

State and Central Funding Dynamics

The Centre initially allocated Rs 2.08 lakh crore for the mission. However, the Expenditure Finance Committee (EFC) has recommended reducing the Central funding assistance to Rs 1.51 lakh crore. This reduction could impact states that have already incurred liabilities in the project.

Implications

The sharp increase in costs has raised suspicions about inflated contracts and inefficiencies in project execution. The EFC’s decision to cut funding may force states to bear a larger share of the financial burden. This could lead to challenges in meeting the mission’s objectives.

Future of the Jal Jeevan Mission

The Jal Shakti Ministry is pushing for a one-time settlement of additional liabilities incurred by states. The mission’s future depends on securing the necessary funding and addressing the concerns raised by the Finance Ministry regarding cost overruns and project delays.

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