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The Telangana government is implementing the Munneru-Palair Link Scheme, a gravity-based irrigation project aimed at delivering up to 50 TMC of water annually to Khammam, Suryapet, and Mahabubabad districts. The project, costing ₹162.54 crore, will repurpose floodwaters from the River Munneru, reducing flood risks and enhancing agricultural stability.

Construction will begin soon, with the link canal spanning 9.6 km and a discharge capacity of 4,500 cusecs. The scheme will stabilize irrigation for 1.38 lakh acres, support drinking water needs through 4.70 TMC for the Mission Bhagiratha initiative, and enable 2 MW of hydropower generation. The project is expected to save the state ₹120 crore annually in electricity costs associated with the Sitarama Lift Irrigation Project.