Jal Jeevan Mission Funding Controversy in 2025

The Jal Jeevan Mission (JJM) has come under scrutiny in 2025 due to increase in projected costs for providing tap water connections to rural households. Launched in 2019, the mission aimed to connect 16.36 crore households by the end of 2024. As of January 2025, only 12.17 crore connections were installed, prompting the Jal Shakti Ministry to request an additional Rs 2.79 lakh crore to complete the remaining 4 crore connections by December 2028.

Background of the Jal Jeevan Mission

The Jal Jeevan Mission was initiated on August 15, 2019. Its primary goal was to ensure that every rural household in India had access to piped water by the end of 2024. The mission was originally estimated to cost Rs 3.60 lakh crore. However, the actual expenditure has escalated due to various factors.

Cost Escalation Factors

The Jal Shakti Ministry cited several reasons for the increased costs. These include price volatility of materials, non-completion of works on time, and the impacts of the COVID-19 pandemic and the Ukraine war. The ministry also mentioned that input material costs account for around 60% of the total project expenses.

Financial Overview

As of early 2025, the Centre and states had spent Rs 3.60 lakh crore, with the Centre contributing Rs 2.08 lakh crore. The proposed additional budget of Rs 5.5 lakh crore aims to cover the costs for the remaining 4 crore households. The Finance Ministry raised concerns about the justification for the substantial cost increase, seeking detailed explanations from the Jal Shakti Ministry.

Government Response and Challenges

In response to the Finance Ministry’s inquiries, the Jal Shakti Ministry denied any time or cost overruns. It argued that the initial budget was underestimated. The ministry also proposed allowing a ‘tender premium’ to accommodate rising costs. The Expenditure Finance Committee (EFC) recommended a reduced funding of Rs 1.51 lakh crore, less than the requested amount.

Implications for States

The funding cuts could have serious implications for states, especially those governed by the ruling party. With an estimated liability of over Rs 1.25 lakh crore, states may need to cover a larger share of the costs. This could lead to increased financial strain on state budgets and potential delays in project completion.

Future Prospects

The Jal Shakti Ministry’s proposal to extend the mission until 2028 reflects the ongoing challenges in achieving its goals. The debate over funding and cost management continues, denoting the complexities involved in large-scale infrastructure projects in India.

Questions for UPSC:

1. Critically analyse the impact of the Jal Jeevan Mission on rural development in India.
2. What are the challenges faced by the Government of India in managing large-scale infrastructure projects? Explain with examples.
3. Comment on the role of state governments in the implementation of central schemes like the Jal Jeevan Mission.
4. What is the significance of public-private partnerships in enhancing water supply infrastructure in rural India? Discuss.

Answer Hints:

1. Critically analyse the impact of the Jal Jeevan Mission on rural development in India.

1. Improved access to clean drinking water enhances public health and reduces waterborne diseases.
2. Increased tap connections contribute to economic development by saving time and effort in water collection.
3. The mission promotes gender equality by reducing the burden on women who typically collect water.
4. It encourages rural infrastructure development, leading to better sanitation and hygiene practices.
5. Successes and failures in implementation can influence public trust in government initiatives.

2. What are the challenges faced by the Government of India in managing large-scale infrastructure projects? Explain with examples.

1. Cost escalation due to price volatility of materials, as seen in the Jal Jeevan Mission.
2. Delays in project completion from non-participation in tenders and unforeseen events like the COVID-19 pandemic.
3. Coordination issues between central and state governments, affecting project execution timelines.
4. Inadequate funding and budgetary constraints leading to project scaling back, as seen with the EFC’s recommendations.
5. Political factors may influence project prioritization and resource allocation, complicating management.

3. Comment on the role of state governments in the implementation of central schemes like the Jal Jeevan Mission.

1. State governments are crucial for local implementation, adapting central guidelines to regional needs.
2. They handle on-ground execution, including tendering processes and monitoring progress.
3. States contribute financially, sharing the burden of project costs with the central government.
4. Political alignment can affect the prioritization and effectiveness of scheme implementation.
5. State-level agencies are responsible for liaising with communities to ensure participation and feedback.

4. What is the significance of public-private partnerships in enhancing water supply infrastructure in rural India? Discuss.

1. Public-private partnerships (PPPs) can leverage private sector efficiency and innovation in project execution.
2. They provide access to additional funding sources, reducing the financial burden on the government.
3. PPPs can enhance service delivery and maintenance through private sector expertise.
4. Such collaborations can lead to improved technology adoption, benefiting water supply systems.
5. Engagement of private entities can encourage accountability and transparency in project implementation.