Shillong Water Supply Project Cost Revised to ₹772.92 Crore

Shillong, India Aug 25, 2026 ALN: The state has revised the cost of the New Shillong Water Supply Scheme (NSWSS) phase-I to ₹772.92 crore. This marks an increase from the original sanction of ₹538.44 crore, reflecting a rise of ₹234.48 crore. The escalation in costs has raised concerns and discussions among local stakeholders and government officials regarding the sustainability and management of public resources in large-scale infrastructure projects.

The New Shillong Water Supply Scheme is a crucial initiative designed to address the growing demand for potable water in the rapidly developing New Shillong Township and its surrounding areas. The scheme aims to provide sustainable potable water not only to New Shillong Township but also to the Mawkhanu Knowledge City and 32 adjoining villages, including Mawdiangdiang, Mawpdang, Diengpasoh, Nonghali, and Umsawli. The project also targets various institutions and offices, highlighting the importance of a reliable water supply system in supporting both residential and commercial needs in the region.

Phase-I of the project involves several key components that are essential for the successful delivery of water to the intended areas. This includes the construction of a dam and jackwells at Nonghali, which is located on the Umkhen river, the laying of MS pumping mains, and the establishment of a Stage-I pumping station at Diengpasoh. Additionally, the project includes the installation of pumps and motors, a water treatment plant at Mawpdang, the construction of approach roads, and the implementation of a SCADA (Supervisory Control and Data Acquisition) system, which is vital for monitoring and controlling the water supply operations. Furthermore, land acquisition is a necessary step in the project, which can often be a contentious issue, especially in regions where land ownership is tied to customary rights.

During discussions in the Assembly, PHE Minister Marcuise Marak elaborated on the reasons behind the cost escalation. He indicated that five interrelated factors contributed to the revision of the project’s financial scope. The most significant factor was the need to relocate the dam site further upstream. This decision was prompted by the discovery of a proposed landfill near the original site at Nonghali. The relocation was not merely a logistical challenge; it necessitated a comprehensive redesign of the dam to address environmental and public health concerns. The redesign included increased width and structural dimensions, as well as modifications to the overflow and non-overflow sections of the dam. Additionally, the redesign required changes to the radial gates and spillways, which significantly raised both civil and mechanical costs associated with the project.

The relocation also resulted in additional earthwork and slope stabilization around the jackwell area, which were not accounted for in the original project estimate. This highlights a common challenge in large infrastructure projects: unforeseen site conditions can lead to significant changes in project scope and budget. As such, careful planning and contingency measures are essential to mitigate these risks.

Further complicating the cost situation are the compensation demands from the Dorbar Shnongs, the traditional village councils of Nonghali, Diengpasoh, and Mawpdang. These councils have sought compensation for the laying of pipelines across customary lands, which is a critical consideration in ensuring community support and maintaining social harmony during large-scale projects. The recognition of customary land rights and the need for fair compensation is an important aspect of project planning in regions where traditional governance structures play a significant role.

Additionally, the project faced challenges related to the provision of dedicated power infrastructure for the pumping stations, which were not included in the original Detailed Project Report (DPR). The need for reliable power supply is crucial for the operation of water supply systems, and any oversight in this area can lead to delays and increased costs. Moreover, the dismantling and restoration of approximately 1.5 km of PWD road at Jaroit and Diengpasoh due to alignment changes further added to the cost implications of the project.

It is important to note that the original administrative approval for the project was granted on March 15, 2024, while the revised approval was accorded on May 26, 2026. This timeline reflects the complexities involved in large-scale infrastructure projects, where changes in planning and execution often lead to extended periods of review and adjustment. The approval process itself can be an indicator of the challenges faced by government agencies in balancing development needs with fiscal responsibility.

The implications of this cost revision extend beyond the immediate financial aspects of the project. Increased costs can lead to delays in project completion, which can impact the availability of water supply to residents and businesses in the area. Moreover, the need for additional funding may divert resources from other critical infrastructure projects, potentially affecting overall development in the region. It may also raise questions regarding the planning and execution processes of government projects, prompting calls for greater transparency and accountability in how public funds are managed.

In conclusion, the revision of the New Shillong Water Supply Scheme’s cost to ₹772.92 crore underscores the complexities and challenges inherent in large infrastructure projects. As the state moves forward with the implementation of the scheme, it will be crucial for stakeholders to engage in ongoing dialogue to ensure that the needs of the community are met while also addressing the financial implications of such significant undertakings.