The Supreme Court has given approval for the Jal Mahal tourism development project near Jaipur's Mansagar Lake in Rajasthan, with certain modifications in the 2005 lease deed.

The 2005 lease deed was executed by the state government and cancelled by the Rajasthan High Court in 2012.

Under modifications, the SC has reduced the lease period from 99 to 30 years and certain portion of the leased out 100 acre land will be kept aside to be under the control of the state government as it forms part of the adjoining lake. It has also restricted construction work on around 14 acre of the leased out plot.

The project, being undertaken by Jal Mahal Resorts will re-start. Jal Mahal Resorts is developing the project in various phases. Phase-I of the project has been completed in February 2011 and the SC has directed that the completion certificate and the lease agreement for Phase-I will be issued expeditiously but not later than a period of 30 days from the date of receipt of this order.