Karnataka government plans to construct a balancing reservoir across the Cauvery River, about two km downstream from the confluence with the Arkavathi River, with a storage capacity of 67.17 TMC ft.

The state govt. has informed the Centre that the Mekedatu project will submerge a total of 5,173 hectares of land. In its proposal for environmental clearance, it emphasised that no suitable gorge location exists for water storage within the Cauvery Wildlife Sanctuary, making this site feasible. The project will help meet the drinking water needs of wildlife during lean seasons and will also utilize the natural slope of the river for power generation.

Additionally, the project is designed to meet Karnataka's commitment to release 177.25 TMC of water annually to Tamil Nadu as per the Cauvery Water Disputes Tribunal Award, including 10 TMC for environmental flow. Once implemented, it is expected to significantly improve water management and power generation.