Relief for 3.5 Million Farmers in Madhya Pradesh: Government Waives ₹84 Crore Interest on Irrigation Water Charges
10 July 2025, New Delhi: The Madhya Pradesh government has extended significant relief to millions of farmers in the state. In a historic decision taken at the cabinet meeting chaired by Chief Minister Dr. Mohan Yadav on Wednesday, it was decided to waive the penal interest amounting to ₹84.17 crore on the irrigation water charges owed by farmers. This move will directly benefit nearly 3.5 million farmers across the state.
Outstanding Water Charges Accumulated Over 25 Years
Since the year 2000, the principal amount of irrigation water charges owed by farmers has been steadily increasing in the state. Currently, the outstanding principal amounts to ₹563.29 crore, with an additional penal interest of ₹84.17 crore. Considering the farmers’ financial condition, the state government has decided to completely waive off this interest amount.
Benefit on Lump-Sum Payment
Water Resources Minister Tulsiram Silawat informed that under this scheme, farmers will be allowed to make a lump-sum payment of the outstanding irrigation charges up to April 1, 2025. If any farmer pays the full principal amount by March 31, 2026, the entire penal interest levied on it will be waived.
Previous Relief Measures
The Finance Department has approved this short-term relief scheme. Minister Silawat also mentioned that the state government had earlier provided similar interest waiver benefits to farmers, which yielded positive results. This not only provided relief to farmers but also ensured one-time revenue collection for the government.
This scheme will reduce the financial burden on farmers as they will only have to pay the principal amount, encouraging agricultural activities while helping the government recover long-pending dues.
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