State to benefit as Centre plans to hike its share The Union Government proposes to reward states that levy charges for canal water supply to the farm sector. Official sources said that the Centre would contribute an equal amount to what would be collected by the state government as water charges from the farmers. Punjab is one of the states that provide canal water free of cost to the farmers. Earlier, the state government used to levy “abiyana” on the farmers but it was abolished some years ago. Sources said that there was ample scope to realise Rs 200 crore as “abiyana”. With an equal amount contributed by the Centre, the state government could utilise the money to make the irrigation system more effective and to de-silt and brickline various canals and water courses. Also, the Centre, on the recommendations of the Finance Commission, has partially amended provisions related to the funding of the Accelerated Irrigation Benefit Programme. Under the programme, the Centre has decided to raise its share to fund the scheme from 25 per cent to 50 per cent. The state government's contribution, that was 75 per cent earlier, will now be 50 per cent. The state government has prepared a Rs 600 crore scheme under the programme. This means it will now get from the Centre Rs 300 crore instead of Rs 150 crore. However, the state government will have to abide by certain conditions laid down by the Centre in this connection, including setting up a water regulatory authority for better management of canal water. The state government is yet to decide on setting up the authority. In fact, the government had opposed its constitution. About the Scheme The Centre has decided to raise its share in the scheme to 50 per cent The state government's contribution will also be 50 per cent This means it will now get Rs 300 crore from the Central Govt However, the state govt will have to abide by certain conditions These include setting up a water regulatory authority for canal water The state government is yet to decide on setting up the authority