The Subarnarekha Multipurpose Project was planned for irrigation, hydropower generation and water supply. The Subarnarekha River flows through Jharkhand, West Bengal and Odisha.Wikipedia
Tata Steel agreed to pay ₹55.9425 crore in outstanding water charges linked to the project, and the Jharkhand High Court disposed of a petition that had been pending for about 33 years.Hindustan
Key facts
| Project type | Multipurpose river-valley project for irrigation, hydropower and water supplyWikipedia |
|---|---|
| Sponsoring states | Jointly sponsored by Bihar (later Jharkhand), Odisha and West BengalWikipedia |
| Legal basis | Joint agreement signed in 1978Wikipedia |
| Start of work | Started in 1982-83Wikipedia |
| Main components | Chandil Dam and Galudih Barrage on Subarnarekha; Icha Dam and Kharkai Barrage on Kharkai; canal networkWikipedia |
| Agreed water dues | ₹55.9425 crore (pre-1 July 1998 balance), payable by Tata Steel in FY 2026-27Hindustan |
Key features and how it works
- Chandil Dam, in Seraikela Kharsawan district of Jharkhand, has a height of 56.5 m and a gross storage capacity of 1500 million cubic metres, the largest among Jharkhand's dams.Wikipedia
- Galudih Barrage, 436.2 m long, diverts water into canals on both sides of the Subarnarekha.Wikipedia
- Icha Dam on the Kharkai and Kharkhai Barrage are the other main components of the project's network.Wikipedia
- Planned components in Odisha include three small storage reservoirs and a network of canals from these reservoirs.Wikipedia
- Tata Steel's dispute concerned water-charge demands raised by the Bihar Irrigation Department and Subarnarekha Multipurpose Project officials.Hindustan
Static GK
- Subarnarekha River: rain-fed, with a drainage area of 18,951 sq km; it flows through Jharkhand, West Bengal and Odisha and joins the Bay of Bengal near Talsari.Wikipedia
- Getalsud reservoir: completed in 1971, on the Subarnarekha east of Ranchi; it is separate from the SMP but on the same river, and the Sikidiri hydel plants are the only hydel projects in Jharkhand.Wikipedia
- Tata Steel, formerly Tata Iron and Steel Company Limited (TISCO), was established on 26 August 1907 in Jamshedpur. It is headquartered in Mumbai and is part of the Tata Group.Wikipedia
- Chandil Dam reservoir: spreads over 1,963 square km; the dam is 22 km from Jamshedpur.Wikipedia
Achievements
- Chandil Dam and Galudih Barrage on the Subarnarekha, and Icha Dam on the Kharkai, are complete, and Chandil Dam is one of the most visited places in Jharkhand.Wikipedia
- The dues dispute with Tata Steel was settled by agreement, with the company agreeing to pay the outstanding pre-1 July 1998 balance and the High Court disposing of the petition.Hindustan
- Settling long-pending water-charge disputes through a mediation committee can reduce litigation over state water dues.
Challenges
- One account says Chandil Dam and Galudih Barrage were almost complete, while the other project components remained incomplete.Wikipedia
- The project faced protests from its start in 1975, and in 1978 about 10,000 people demonstrated at the dam site, reflecting displacement and compensation issues.Wikipedia
- The river is polluted by unplanned mining of copper and uranium ores and by pollutants from the Muri aluminium factory, which affects tribal livelihoods.Wikipedia
- Long-running disputes over water charges between industry and the states show weak recovery of dues without legal process.
Way forward
- Outcome monitoring of the incomplete canal and barrage components, so that the irrigation targets of the project are met.
- Handholding and timely compensation for displaced families, to lower the chances of protest at project sites.
- Convergence between the Water Resources Department, the pollution control authorities and mining regulators to protect the river's water quality.
Timeline
13 November 2026
Tata Steel agreed to pay the outstanding pre-1 July 1998 water dues of ₹55.9425 crore in FY 2026-27, and the Jharkhand High Court disposed of the 1993 petition.
Read the story15 October 2026
Mediation committee met at Jal Bhawan, Ranchi, to examine pre-1 July 1998 dues.Hindustan
28 September 2026
Jharkhand's Water Resources Department formed a mediation committee.Hindustan
28 June 2024
High Court judgment settled water-charge disputes for 1 July 1998 to 31 March 2023.Hindustan
undefined 1995
The Subarnarekha Barrage project in West Bengal was taken up for construction.Wikipedia
1993
Tata Iron and Steel Company Limited and shareholder Arun Narayan Singh filed a petition challenging water-charge demands by the Bihar Irrigation Department and project officials.Hindustan
undefined 1982
Multipurpose project work started.Wikipedia
1978
Joint agreement signed by the governments of Bihar, Odisha and West Bengal to sponsor the project.Wikipedia
1975
Protests against the multipurpose project began from its inception.Wikipedia
1971
Getalsud reservoir on the Subarnarekha was completed; it is a separate project on the same river.Wikipedia
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Frequently asked questions
When did the Subarnarekha Multipurpose Project start?
Q: When did the Subarnarekha Multipurpose Project start? A: The multipurpose project started in 1982-83.Wikipedia
Which states sponsor the Subarnarekha Multipurpose Project?
It is jointly sponsored by Bihar (later Jharkhand), Odisha and West Bengal.Wikipedia
How much water dues did Tata Steel agree to pay?
Tata Steel agreed to pay ₹55.9425 crore of outstanding water charges for the period before 1 July 1998, to be paid in FY 2026-27.Hindustan
GS paper mapping
- GS-1Geography: rivers of India, river basins and inter-state rivers
- GS-2Polity: inter-state water disputes and role of High Courts in settlement
- GS-3Irrigation, water resources, hydropower and water conservation
Sources
Every fact on this page was checked against these pages.

