Jal Jeevan Mission Faces Funding Cuts | 22 Apr 2025

Source: IE

The Jal Shakti Ministry sought an additional Rs 2.79 lakh crore to complete the Jal Jeevan Mission (JJM). 

• However, the Expenditure Finance Committee(EFC) (under the Ministry of Finance) approved only Rs 1.51 lakh crore, potentially shifting over Rs 1.25 lakh crore burden to states. 
• Jal Jeevan Mission: Launched in 2019, it aims to provide tap water to all 16 crore rural households by December 2024, currently, 75% coverage achieved, with nearly 4 crore households still pending. 
  • The mission is now proposed to be extended till December 2028 to achieve universal coverage. 
  • The fund sharing pattern between Centre and State is 90:10 for Himalayan (Uttarakhand, Himachal Pradesh) and North-Eastern States, 100:0 for UTs and 50:50 for the rest of the States. 
• Funding Issues: The Jal Shakti Ministry demanded Rs 2.79 lakh crore as the Central share for 2024–2028 to complete the remaining tap water installations, citing inflated costs due to rising input prices. 
  • However, the EFC recommended only Rs 1.51 lakh crore, citing concerns over cost escalation, potential overestimation by states, and fiscal prudence. 
  • As a result, the revised total outlay for the mission was reduced from Rs 9.10 lakh crore to Rs 8.68 lakh crore (2019-2028). 

• Implications: States may have to cover the funding shortfall, especially in Uttar Pradesh, Rajasthan, and Madhya Pradesh.