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amount <strong>of</strong> Rs.2022.75 lakhs was awarded to the contractors In 171 cases (Table 5.20). T a bl e 5. 20 : M aJor . reasons stated in the arbitration awards in Kallada Project Reasons shown in the awards Claims Expcndit Amount Share passed ure per Shart! in t!xp involved (%) (No.) case (Rs. (%) (Rs. Lakhs) Lakhs) Defective investigation 150 87.21 1055.44 7.04 52.18 Delav in handing over the site 77 44.77 304.83 3.96 15.07 Delay in issue <strong>of</strong> dept. materials 55 31.98 I 255.1 4.64 12.61 Failure to provide dumping yards 49 28.49 161.85 3.30 8.00 Non-availability <strong>of</strong> power 24 13.95 153.42 6.39 7.58 Delay in finalisation <strong>of</strong> design 14 8.1-l 44.59 3.19 2.20 Miscellaneous counts 97 56.40 47.52 0.49 2.35 Total 172 2022.75 11.76 100 Source: Complied from CAGI. 1994. Among the various reasons stated in the arbitration awards, 87 per cent <strong>of</strong> the cases were pertaining to defective investigation involving 52 per cent <strong>of</strong> the total amount <strong>of</strong> th.:: arbitration amount awarJ.::J. Delay in handing ov.::r the site wa, indicated as th.:: second maJur r.::ason in 45 per cent <strong>of</strong> the claims awarded and the amount involved was 15 per cent. About 32 per cent <strong>of</strong> the claims were pertaining to delay in the issue <strong>of</strong> departmental materials and the amount claimed was almost 13 per cent. Other important claims awarded in the arbitration were failure to provide dumping yards, shortage <strong>of</strong> powcr and delay in finalisation <strong>of</strong> the design. This shows lack <strong>of</strong> administrative and operational planning, which had obviously resulted in the emerg.::nc.:: <strong>of</strong> ineflicient and less productive irrigation systems in Kerala. 191
Another source <strong>of</strong> pilferage relates to defective preparation <strong>of</strong> estimates and other departmental lapses J4 • which had resulted in additional payment <strong>of</strong> Rs. 70.45 lakhs to the contractor in the Kallada irrigation project. The major reasons highlighted were mistake in arriving at the rate for earthwork excavation (21.5 %), excess thickness <strong>of</strong> canal lining (20.5 %). irregular sanction <strong>of</strong> higher rate <strong>of</strong> excavation (15.89 %) and extra expenditure on protective blasting (42.11 %). Audit expenses also forms a major component <strong>of</strong> project costs. [n Chamravattom. it has been Rs. 4.35 lakhs as per original estimates (July 1965). This has increased to a revised estimate <strong>of</strong>Rs. 13.23 lakhs (Oct. 1975) and to Rs. 37.71 lakhs in Nov. 1983, escalation being 767 (this forms part <strong>of</strong> indirect charges) (CAGI, 1997). Similarly. in the Pazhassi project. the CAGI report (1992) indicates that the time ll\ er-run clln,eljuent lln the: \Ubstanlial change~ Introduced in the scope <strong>of</strong> the proJe~t has resulted In an increase in the project cost from Rs. 442.4 lakhs as \)T1glnall~ estimated In 1960 to Rs. 7735.95 lakhs in February 1988. Defective alignment <strong>of</strong> the main canal in certain reaches resulted in unintended additional expcnditun: <strong>of</strong> Rs. 15.~7 lakhs on their strengthening. However, action for the recovery <strong>of</strong> Rs. 7.75 lakhs due from a defaulting contractor had not been initiated till September 1991 though the reln'ant contract was terminated in September 1979 H The integrated planned programme <strong>of</strong> cutting. dumping and simultaneolls filling (<strong>of</strong> pipelines) cll\lsagcd under the agrccmcnt could not he adhered to on account <strong>of</strong> failure to supply pipcs In tlnlc.1 his proccdural lapsc resultcd in an arhitration award "r Rs. 15.84 Ia~hs to thc conlrac\or In 1985 including an intcrcst <strong>of</strong> Rs. 2.08 lakhs. The total c"pcnditurc 192
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, ECONOMICS OF ON-FARM DEVELOPMENT:
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DEC LARA TION I declare that the th
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I thank Dr. KM Varadan, CWRDM. Kozh
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CONTENTS Chapter 1 1.1 1.2 1.3 1.4
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4.9 Occupational Status of<
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5.3 5.4 5.6 5.7 Financial Investmen
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Figures 6.1 6.2 Chart 6.1 Appendix
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Abbreviations used ASMO BFA's CADA
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An attempt has been made in this ch
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among the people and the process <s
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the Indian state had followed a pol
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water harvesting 7 by arguing that
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(World Register of
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Eighth Plan has been estimated by t
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One of the most im
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integrated development of</
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inadequate attention given to OFD w
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performance of irr
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created. According to the Central W
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7 lagoons, 901 tanks and over 30 la
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competent and responsible agency wi
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physiographic conditions of
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(14 completed and 15 ongoing) proje
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interventions to improve the operat
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a summary of findi
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economic analysis of</stron
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een brought out by many scholars in
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While the economic benefits <strong
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sources, wasteful utilisation <stro
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such as rise in pnces, inadequate i
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the completion of
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of rainfed croppin
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areas being 8 per cent (GO!, 1998).
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investment In irrigation developmen
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Subsequently, an Expert Committee w
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highlighted the problems related to
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2.3.1 Studies on tbe impact <strong
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command area has reduced the labour
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Nanjundappa (1988), while examining
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y the CADA have led to low producti
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agents as against 90 per cent or mo
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among their members; c) insisting t
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Ansari (1989) shows that there have
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unit of land culti
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subgroup increased from 40 per cent
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1) The maIn activity being undertak
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which are unique in several ways, t
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across the states in different agro
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and social setting In which a proje
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The indepth study to examine the fa
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\,;nar~ .NO. ~.~: .t"rocesses ana s
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understand the problems related to
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of the crop produc
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greater differences between the the
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Chart ~o J.2 'Vater Institutions an
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specific promotional programmes und
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Chart No. 3.3 Explaining failure <s
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3.3.2 Crop specific promotional ins
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non-viable paddy. Even the farmers
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'- K01HIKOO --', , .-- :,' , \. ,.'
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strictly adhered to the directions
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4.1.2 Financial aspects The total e
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4.2 The Kallada Irrigation and Tree
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Map 4.4: Kallada Ayacut , IItIJrt ~
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in lands having slopes less than 3
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Table 4.1. Envisa~ed Croppin~ Patte
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in terms of underg
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meters. The end of
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and Kayamkulam branch in Phase II.
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lands. The average holding size is
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The characteristics of</str
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size group is the highest in the mi
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Table 4.10: Occupational status <st
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Appendix 4.1: Physical and technica
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Chapter 5 Dynamics of</stro
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plan. annual plans (1966-69) and th
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gt:ographical concentration <strong
Page 155 and 156: Concerted efforts were also made fo
Page 157 and 158: T a bl e 5 3 Ph . I d Ii . I - - vS
Page 159 and 160: expenditure and p~ysical achievemen
Page 161 and 162: the state cannot be treated as a pu
Page 163 and 164: in gross irrigated area. While cana
Page 165 and 166: development of lan
Page 167 and 168: The annual compound growth rates in
Page 169 and 170: 5.2.1 Dynamics of
Page 171 and 172: area and yield of
Page 173 and 174: A micro level study by Narayanan (1
Page 175 and 176: ubber cultivation. in Kallada. the
Page 177 and 178: The debate on conversion of
Page 179 and 180: (Table 5.10). The table indicates t
Page 181 and 182: eqUires substantial investment for
Page 183 and 184: Source: Govt. of K
Page 185 and 186: the period 1985-86 to 1997-98. For
Page 187 and 188: The overall scenario suggests that
Page 189 and 190: project, they tend to undertake yie
Page 191 and 192: the establishment expenditure (stri
Page 193 and 194: a CriSIS. As the works involved In
Page 195 and 196: (ii) In the Karapuzha project. the
Page 197 and 198: 5.15). The table indicates that the
Page 199 and 200: place. There were three revisions J
Page 201 and 202: Revenue vis Capital expenditure The
Page 203 and 204: Let us now examIne the intensity <s
Page 205: Cost escalation due to arbitration
Page 209 and 210: process would be very high. This al
Page 211 and 212: construction for more than 20 years
Page 213 and 214: are mainly concentrated in Thrissur
Page 215 and 216: ApMndlJ ~.1: ProjKI-wlw Ihne tn Tot
Page 217 and 218: ArlPcndil: ~.J: "'inanchtllnnstmrnl
Page 219 and 220: Chapter 6 Economics of</str
Page 221 and 222: conditions of the
Page 223 and 224: Chart: 6.1 Organisational Chart sho
Page 225 and 226: and Palakkad together occupy 10 <st
Page 227 and 228: Table 6.2. Physical and financial t
Page 229 and 230: the total allocation has been for t
Page 231 and 232: per cent achievement in physical te
Page 233 and 234: Besides. it has been reported that
Page 235 and 236: I , MalamDuzha 387 7.39 1908.53 13.
Page 237 and 238: ~~- ~- --~ In all others. the BC ra
Page 239 and 240: possible in these lands during Khar
Page 241 and 242: Hence. it may be argued that since
Page 243 and 244: It is mainly due to scarcity <stron
Page 245 and 246: project. where it is very high at R
Page 247 and 248: proper coordination between variOUS
Page 249 and 250: deficiencies that help drawing less
Page 251 and 252: conjunctive use of
Page 253 and 254: 3) Again. due to the high density <
Page 255 and 256: Table 6.13: Details of</str
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doubts about the senousness <strong
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practice IS more conspIcuous In the
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2.05 HP as compared to 1.68 HP in t
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large holders have spent two to thr
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Farming is considered mostly as a s
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The profitability
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noticed in the case of</str
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The Cobb-Douglas (CD) Function has
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· 13 Bank assistance programme and
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etween I to 2 ha. are to arrange fo
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Table 6.22: Status of</stro
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Though almost all the farmers repor
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3854 in the middle reaches. The pro
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The net income from vegetables and
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Appendix 6.1: Project-Wise Physical
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Chapter 7 On-Farm Development: Dete
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It can be seen from the survey data
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een made to examme as to how many f
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a farmer to use water from the dist
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The farmers were asked to reflect u
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evamping needed to reorient the MCS
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supplies. What is more interesting
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the knowledge of i
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All of the five ex
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It is evident from the table that t
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implications on the dynamics <stron
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competitive monocropl2 as no other
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of conversion thro
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involving farmers as active members
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The viability of p
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factors l8 . As a result. the agric
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The rise in price of</stron
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may be observed that the canal seep
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process of paddy l
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Table 7.19: Productivity and gross
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The technical constraints In the de
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2) Lack of irrigat
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manure or fertilisers are also do n
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according to the conventional basin
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Registration Act, 1860 in the erstw
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The pattern of act
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eported by CADA of
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Appendix 7.2: Paddy land conversion
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d,l!llS in the post-independence pc
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all(lcatioll ill the absence <stron
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irrigation commands. Th;; stud) was
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comparative COSI .:conomlcs <strong
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time lag involved in completion uf
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the state has increased by about 46
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cultivation of com
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through the effective implementatiC
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een the highest in Kallada project
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It was noticed that among the vario
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The institutional paradigm evolved
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of India to be rel
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economically viable. This underscor
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The intensity and spread of
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of allocation and
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shows that filed realities have not
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as water management related factors
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labour intensive farming operations
Page 379 and 380:
Given the dynamics, problems and co
Page 381 and 382:
ground realities associated with cr
Page 383 and 384:
Dhawan, B.D. (1989): Sludies in Irr
Page 385 and 386:
Kothari, Rajni, (1989): Politics an
Page 387 and 388:
Vaidyanathan, A (1999): Water Resou
Page 389 and 390:
Ghosh, Prabir De, Budhadeb (1998):
Page 391 and 392:
Nair, Sukumaran, M.K. (1999): 'Rura
Page 393 and 394:
Varadan, K,~ (1999): 'Estimation <s
Page 395 and 396:
GOK (1967b): Evaluation of<
Page 397 and 398:
Ferrer. A.M., .L.e. Lucero (1988):
Page 399 and 400:
Suresh, K.A. (2000): 'Group Managem
Page 401 and 402:
Tomlinson, B.R. (1992): 'The Indian
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