A view of the feeder canal of the Poola Subbaiah Veligonda irrigation project ahead of its inauguration in Markapuram district.
Andhra Pradesh Chief Minister N. Chandrababu Naidu inaugurated the first phase of the Poola Subbaiah Veligonda irrigation project and released water on Monday (August 31, 2026), fulfilling the three-decade dream of the people of the drought-prone areas of Markapuram, Prakasam, Nellore and Kadapa districts.
Mr. Naidu had laid the foundation stone for the project on March 5, 1996, as Chief Minister of undivided Andhra Pradesh, and inaugurated its first phase three decades later.
The State government organised the inauguration ceremony on a grand scale under the theme — ‘Velugonda Jala Sirulu – Abhivruddhiki Rekkalu’ (Velugonda Waters – Wings for Development).
“Veligonda is not just a project. A promise to the farmer battling drought… Health security for families afflicted by fluoride… A future on their own soil for the youth who have migrated,” Mr. Naidu said in a post on X on the eve of the inauguration, saluting “the displaced residents of the 11 villages who sacrificed their lands, homes, and the villages where they were born and raised”.
How water flows
According to the release, the region has suffered for decades from inadequate rainfall, depleted groundwater, fluoride contamination and shortage of irrigation water. The project has been designed to divert Krishna river waters from the Srisailam reservoir through gravity, store them in Nallamala Sagar and utilise them through the main canals for irrigation and drinking water requirements.
Once the Veligonda project becomes fully operational, it will provide irrigation to 4.47 lakh acres and benefit people in 30 mandals across Prakasam, Markapuram, Nellore and Kadapa districts. Around 23 lakh people,, including those living in fluoride-affected areas, will benefit from the drinking water component.

With the inauguration of Phase-I, 10.70 tmc ft of Krishna water will be released into Nallamala Sagar, providing irrigation to approximately 1.19 lakh acres and drinking water to 4 lakh people. The project will also serve as the primary water source for the water grid scheme under the Jal Jeevan Mission in Markapuram and Prakasam districts, Deputy Chief Minister K. Pawan Kalyan said in a post on X.
Boost to agriculture
The availability of Veligonda water is expected to create new opportunities in agriculture, say officials. Improved irrigation security will reduce uncertainty for farmers and facilitate crop diversification. Reduced dependence on groundwater will also create greater scope for development of horticulture, agro-processing and food-processing industries. This, in turn, is expected to improve employment opportunities in rural areas and help curb migration, they say.
The project has faced numerous technical, financial and construction challenges since 1996. The project has progressed through several complex issues, including tunnel construction, feeder canals, head regulators, land acquisition, rehabilitation and resettlement.
After assuming office in 2024, the coalition government accorded the highest priority to completing the project and speeded up the works. Special attention was given to tunnel works, feeder canals, head regulators and other allied structures, besides rehabilitation and compensation for the displaced families.
The government disbursed ₹768 crore in compensation to the displaced families in 48 days. More than 7,300 people lost their homes and lands to the project, and ₹905 crore has been released for their compensation, Mr. Pawan Kalyan said. In addition, ₹169 crore has been announced for those whose names were not included in the gazette or beneficiary lists, along with ₹2 lakh each for those who attained the age of 18 after 2019.

CM’s itinerary
Mr. Naidu reached Gantavanipalli in Dornala mandal of Prakasam district on Monday morning and proceeded to the venue. He took part in special puja ceremonies, inaugurated Phase-I, unveiled the pylon, opened the project gates, and formally released water into the project.
Published – August 30, 2026 08:13 pm IST
