The government of Maharashtra is likely to provide financial assistance to the Kalammawadi direct pipeline project of Kolhapur Municipal Corporation (KMC).

The state government may fund 50 per cent of the escalated cost of the project. The municipal corporation is struggling to raise funds required for the project as bidders have quoted 15 per cent to 20 per cent above the actual cost of Rs 425 crore. The corporation is already paying 20 per cent of the total project cost from its own coffers. 

The proposed project involves construction of a 51 km pipeline from the Kalammawadi dam built on the Dudhganga river to supply water to the city and fringe villages.

The state government has told the corporation to re-evaluate the project cost according to the current rates. Accordingly, KMC sent the project details to the Maharashtra Jeevan Pradhikaran, which is the nodal agency for the implementation of the project sanctioned under Urban Infrastructure Development Scheme for Small and Medium Townships (UIDSSMT).

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