Naidu to Inaugurate Veligonda Project Phase-I, Water Release on August 31
Chief Minister Naidu will inaugurate Veligonda Project Phase-I on August 31, delivering water to drought-hit Andhra districts after decades of delay. Compensation to displaced families continues.
Dumtika Editorial
August 22, 2026 · 2 min read

(Image: Dumtika Editorial)
Veligonda Project Phase-I to release water on August 31 after three decades
Irrigation for 1.19 lakh acres and drinking water for four lakh people planned
₹768 crore compensation disbursed to 6,206 displaced families so far
Naidu announces additional development projects for the region
Chief Minister N. Chandrababu Naidu will inaugurate Phase-I of the Veligonda Project and release water on August 31, marking a milestone nearly thirty years after the project was first envisioned during N.T. Rama Rao’s tenure. The project, long awaited by residents of Andhra Pradesh’s Prakasam, Nellore, and Kadapa districts, is set to provide irrigation to 1.19 lakh acres and supply drinking water to almost four lakh people, according to state government figures.
Naidu announced the August 31 inauguration while distributing ₹250 crore in compensation cheques to families displaced by the project, part of the third phase of rehabilitation and resettlement. In total, the coalition government has paid out ₹768 crore to 6,206 families over 48 days. The compensation process began with ₹318 crore to 2,557 families, followed by ₹200 crore to 1,622 families, and the latest ₹250 crore benefiting 2,027 families. Another ₹132 crore remains to be disbursed to complete the process.
Addressing the displaced families, Naidu recalled his involvement with Veligonda since 1995 and highlighted that ₹2,250 crore had been spent over the past two years to bring the project to completion. He described fulfilling projects initiated by N.T. Rama Rao as a personal achievement, especially under challenging water conditions caused by El Niño and low inflows into major reservoirs.
“Despite these difficulties, we resolved to complete Veligonda and provide water to the people. Water has to be used very economically,” Naidu said. Displaced residents expressed relief and satisfaction with the compensation and progress, with several noting the hardships faced under previous administrations.
Naidu also announced plans to provide tap-water connections to every household in Markapuram under the Jal Jeevan Mission and revealed that the foundation stone for a horticulture hub would be laid in September. He emphasized the government’s commitment to development despite financial constraints and mentioned ongoing efforts to complete the Polavaram Project and explore river-linking proposals for long-term water security.


