Historic Agreement Signed to Resolve Pending Narmada Award Payments Among Four States

Jaipur, July 2026 : In a major breakthrough for inter-state water cooperation, Rajasthan, Maharashtra, Gujarat and Madhya Pradesh signed a historic agreement on Tuesday to settle long-pending financial obligations under the Narmada Water Disputes Tribunal Award. The agreement was signed in the presence of Union Home and Cooperation Minister Amit Shah in New Delhi.

Rajasthan Chief Minister Bhajan Lal Sharma, along with the Chief Ministers of Maharashtra, Gujarat and Madhya Pradesh, signed the agreement, paving the way for a one-time settlement of longstanding disputes related to the sharing of construction costs for the Sardar Sarovar Project.

The agreement marks another significant milestone in Rajasthan’s efforts to strengthen water resource management through cooperation with neighbouring states. Recently, under the guidance of the Government of India and through mutual coordination with adjoining states, Rajasthan concluded landmark agreements on the MPKC (Parvati–Kalisindh–Chambal) Project for improved utilisation of river waters, as well as an agreement concerning water use from the Hathinikund Barrage for the Shekhawati region. These initiatives are expected to improve water availability in water-scarce areas and contribute to the social and economic development of the state.

The latest agreement resolves issues that had remained pending for several years regarding the implementation of the Narmada Award. The four participating states—Rajasthan, Madhya Pradesh, Gujarat and Maharashtra—reached the settlement through cooperation, dialogue and a shared commitment to resolving inter-state issues amicably.

The agreement is expected to facilitate better utilisation of the waters of the Narmada River, benefiting all participating states.

The Narmada Water Disputes Tribunal, through its award issued in 1979, allocated the river’s waters among Rajasthan, Madhya Pradesh, Gujarat and Maharashtra. Under Clause IV(5) of the award, any state is permitted to utilise surplus water available during the monsoon season within its territory. Such utilisation of surplus water does not count against that state’s allocated share under the tribunal’s award.

To maximise the benefits of surplus monsoon flows, Rajasthan has already initiated preparations for a Detailed Project Report (DPR), in line with the 2026–27 State Budget announcement, for the construction of storage infrastructure capable of conserving excess monsoon water.

The proposed storage facilities are expected to significantly improve the availability of drinking water in the water-deficient regions of western Rajasthan, where water scarcity has long posed a major challenge.

The state government believes that the agreement, coupled with planned infrastructure projects, will strengthen long-term water security, improve resource management, and support sustainable development across Rajasthan’s drought-prone regions while reinforcing cooperative federalism among the participating states