Congress demands Sardar Sarovar pact be made public, slams MP govt over ₹217 crore payout

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Congress demands Sardar Sarovar pact be made public, slams MP govt over ₹217 crore payout

Synopsis

Madhya Pradesh agreed to pay ₹217 crore to Gujarat as part of a multi-state Sardar Sarovar settlement brokered by Home Minister Amit Shah — even as the state bore decades of submergence and displacement. Congress is now demanding full public disclosure of the agreement, calling the terms a betrayal of MP's interests.

Key Takeaways

Union Home Minister Amit Shah chaired an inter-state meeting on 7 July where Madhya Pradesh , Gujarat , Rajasthan , and Maharashtra agreed to resolve long-pending disputes.
Under the Sardar Sarovar Project settlement, Gujarat will bear 75% of project expenditure while Madhya Pradesh pays ₹217 crore to Gujarat.
Senior Congress MLA Ajay Singh alleged the deal compromises MP's interests despite the state bearing the brunt of submergence and displacement.
Leader of Opposition Umang Singhar demanded the full agreement be placed in the public domain.
Cabinet Minister Chaitanya Kashyap defended the settlement, calling it a resolution of disputes pending for 30 to 40 years .

The Indian National Congress on Wednesday, 8 July sharpened its attack on the Bharatiya Janata Party (BJP) government in Madhya Pradesh over the settlement of long-pending disputes related to the Sardar Sarovar Project, alleging that the state had sacrificed its rightful interests while resolving a decades-old dispute with Gujarat. The controversy follows a high-level inter-state meeting chaired by Union Home Minister Amit Shah in New Delhi on Tuesday, 7 July.

What the Settlement Entails

Under the agreement reached at the meeting — attended by Madhya Pradesh Chief Minister Mohan Yadav, Rajasthan Chief Minister Bhajan Lal Sharma, and Maharashtra Chief Minister Devendra Fadnavis — the states agreed to resolve several inter-state disputes pending for decades. On the Sardar Sarovar Project specifically, Cabinet Minister Chaitanya Kashyap confirmed that Gujarat would bear 75 per cent of project-related expenditure, while Madhya Pradesh would pay ₹217 crore to Gujarat under the agreed terms.

Congress Raises Alarm Over MP's Position

Senior Congress MLA Ajay Singh argued that Madhya Pradesh had already borne the heaviest burden from the project — through submergence of land, displacement of villages, and losses suffered by farmers — yet had failed to secure adequate compensation. 'Our land was submerged, our villages were displaced and our farmers suffered. Despite this, the government has agreed to pay Gujarat instead of protecting Madhya Pradesh's interests. The Chief Minister (Mohan Yadav) should explain why the state's rights were compromised,' Singh said.

Leader of Opposition Umang Singhar went further, demanding that the state government place the complete agreement in the public domain. He alleged that while Madhya Pradesh had suffered the maximum impact of the project, the state was now being asked to make a payment under the settlement — a position he called unacceptable without full transparency.

Government Defends the Deal

Cabinet Minister Chaitanya Kashyap rejected the Congress allegations, calling the settlement a significant achievement. 'The issue related to the Sardar Sarovar Project is also among them. This is a significant achievement that will pave the way for coordinated and faster development of the states concerned,' Kashyap said. He maintained that the agreement resolves inter-state issues that had remained pending for 30 to 40 years and will promote better coordination among participating states.

Background and What Is at Stake

The Sardar Sarovar Project on the Narmada river has been a source of inter-state friction for decades, with disputes over water sharing, submergence compensation, and cost apportionment involving Madhya Pradesh, Gujarat, Rajasthan, and Maharashtra. Madhya Pradesh, which contributes the largest share of the reservoir's catchment area, has historically argued that it bears disproportionate costs — particularly in terms of displacement — relative to the benefits it receives. This is not the first time the project has triggered political controversy in the state; previous rounds of negotiations have also drawn opposition criticism over transparency.

With the Congress demanding that the full text of the agreement be made public, the BJP government in Madhya Pradesh faces pressure to justify the financial terms before the state legislature and affected communities. Whether the agreement will be tabled in the public domain remains to be seen.

Point of View

That the deal resolves 30-to-40-year-old disputes, is procedurally sound but politically thin if the full terms remain undisclosed. Congress's demand for public disclosure is tactically shrewd: it forces the government either to release an agreement that may contain uncomfortable details, or to appear to be hiding them. The deeper question — whether the financial settlement adequately accounts for decades of displacement costs borne by MP communities — is one that neither side has yet addressed with data.
NationPress
8 Jul 2026

Frequently Asked Questions

What is the Sardar Sarovar Project settlement that has triggered controversy in Madhya Pradesh?
The settlement is a multi-state agreement brokered at a meeting chaired by Union Home Minister Amit Shah on 7 July, resolving inter-state disputes pending for decades. Under its terms for the Sardar Sarovar Project, Gujarat will bear 75% of project expenditure while Madhya Pradesh will pay ₹217 crore to Gujarat.
Why is the Congress opposing the Sardar Sarovar settlement?
Congress argues that Madhya Pradesh already bore the maximum burden of the project through land submergence, village displacement, and farmer losses, yet is now being asked to make a payment to Gujarat rather than receiving compensation. Senior MLA Ajay Singh and Leader of Opposition Umang Singhar have both called the deal a compromise of MP's interests.
What has the Congress demanded from the MP government?
Leader of Opposition Umang Singhar has demanded that the state government place the complete inter-state agreement in the public domain, so that citizens and legislators can scrutinise the terms of the settlement.
How has the BJP government in Madhya Pradesh responded to the criticism?
Cabinet Minister Chaitanya Kashyap rejected the Congress allegations, saying the agreement resolves issues pending for 30 to 40 years and will promote coordinated development among the states involved. He described it as a significant achievement.
Which states were part of the inter-state meeting on the Sardar Sarovar Project?
The meeting, chaired by Union Home Minister Amit Shah in New Delhi on 7 July, was attended by the Chief Ministers of Madhya Pradesh, Gujarat, Rajasthan, and Maharashtra.
Nation Press
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