Andhra Pradesh Explores Privatization of Lift Irrigation Schemes

The Andhra Pradesh government is exploring the privatisation of lift irrigation schemes to enhance operational efficiency and ensure reliable water supply to upland farming regions.

The state’s Irrigation Department has identified over 900 lift irrigation schemes, originally designed to irrigate approximately 8.5 lakh acres. However, many of these systems have become dysfunctional due to frequent breakdowns, high power costs, and inadequate maintenance—placing a significant burden on farmers.

Currently managed by the AP Irrigation Development Corporation, the schemes have faced persistent inefficiencies, while Water Users’ Associations remain largely confined to canal-level management. To address these challenges, the state is considering transferring operational responsibility to private players under the Hybrid Annuity Model (HAM).

Under the proposed model, contractors would receive 40% of maintenance costs upfront, with the remaining amount recovered through a nominal cess on beneficiary farmers. The goal is to create a more sustainable and accountable system for managing irrigation infrastructure.

Chief Minister N. Chandrababu Naidu has directed officials to prepare a detailed report outlining the current status of the schemes, financial requirements, and water availability before moving forward with the plan.

News by Rahul Yelligetti.