Bangalore, June 06: Karnataka government has incorporated a company that will garner Rs 5000 crore needed for executing the ongoing irrigation projects in the Cauvery basin by the year 2006. The state water resources minister, H K Patil, told reporters here today that the activities of 'Cauvery Neeravari Nigama Ltd' would be within "limits" set by the Cauvery Water Disputes Tribunal.

The company that into existence on June four has an authorised capital of Rs 1,500 crore.

The company planned to start mopping funds from July, he said, adding that Rs 500 crore would be mobilised in the first phase.

It would "prioritise" works and mobilise funds based on requirements but the target was to complete the projects before 2006 as stated in the state's water policy, Patil said.

He said that the main objective was to complete the ongoing works, including lift irrigation, minor irrigation and command area development works, in the Cauvery basin and to promote modern irrigation practices and technology.


The company would abide by the judgements of the courts and decisions of the tribunal or authority in implementing its objectives, he said.


He also said that the Cauvery Monitoring Committee meeting called by the Centre in Delhi had been put off to June 9. The state, he said, would put forth the realities before the panel.
To a query, he said, "if there is no water, distress formula is of no relevance." The state, he said, hoped for good rains so that it helped both Karnataka and Tamil Nadu.

Bureau Report