PC Ghose Commission Report on Kaleshwaram Project Irregularities

The Telangana Assembly recently witnessed a heated debate over the PC Ghose Commission report. The report investigated irregularities in the design and construction of the Kaleshwaram Lift Irrigation Project. The project, costing over ₹1.10 lakh crore, aimed to lift water from the Godavari River for irrigation and drinking water supply. The Commission held former Chief Minister K Chandrashekar Rao and other officials responsible for serious lapses. The government is expected to announce follow-up actions soon.
Kaleshwaram Project
- The Kaleshwaram project was conceived to boost irrigation and drinking water supply in Telangana.
- Initially estimated at ₹38,500 crore, the cost escalated to over ₹1.10 lakh crore by 2022.
- The project involved lifting water from the Godavari and distributing it to several reservoirs.
- It included the construction of three barrages at Medigadda, Annaram, and Sundilla.
Commission Purpose
The Congress government appointed the Justice PC Ghose Commission to probe allegations of corruption and irregularities during the project’s execution under the previous Bharat Rashtra Samithi (BRS) government. The 665-page report was tabled in the Assembly, revealing serious financial and administrative lapses.
Key Findings on Irregularities
The report found no justification for shifting the water source from Tummadihatti to Medigadda. It accused former Chief Minister K Chandrashekar Rao of direct involvement in irregularities throughout planning, construction, and operation stages. The irrigation minister T Harish Rao, finance minister Eatala Rajender, and senior bureaucrats were also criticised for negligence and mismanagement.
Ignoring Expert Advice and Approvals
The Commission noted that the government ignored the recommendations of a high-power expert committee. It granted administrative approvals without vetting the Detailed Project Report through the Central Water Commission (CWC). The shift to Medigadda was not recommended by the Cabinet sub-committee but was directed by the Chief Minister.
Suppression of Reports and Evidence
Officials including the retired chief secretary SK Joshi and Engineer-in-Chief C Muralidhar Rao were found to have suppressed critical expert committee findings. Their failure to disclose information was described as malicious and unfair, enabling unauthorised construction.
Financial Mismanagement
The project’s cost overruns led to off-budget borrowings of ₹87,449 crore. The finance department and irrigation officials failed in oversight duties. The report brought into light the lack of financial accountability and the siphoning of public funds under the guise of project expenses.