Pachpadra (Balotra), Rajasthan — 4 July 2026: The Chief Minister's Office of Rajasthan announced on Saturday that Prime Minister Narendra Modi addressed a foundation-laying and inauguration ceremony at Pachpadra in Balotra district, covering multiple projects including the HPCL Rajasthan Refinery. At the event, the Prime Minister declared that Rajasthan and Haryana — both governed by the BJP — have reached a mutual agreement for the first time to deliver water to the Shekhawati region.

Context

Addressing the gathering, PM Modi stated — 'राजस्थान और हरियाणा, दोनों राज्यों में भाजपा की सरकार होने से, पहली बार आपसी सहमति से, समाधान निकाला गया है' ('With BJP governments in both Rajasthan and Haryana, a solution has been reached through mutual consent for the first time'). He added that the two state governments will now work together to carry water all the way to Shekhawati. The announcement was made under the campaign banner #PMModi4ViksitRajasthan and #आपणो_अग्रणी_राजस्थान (Our Pioneering Rajasthan).

The ceremony at Pachpadra covered the inauguration and foundation-laying of several projects, with the HPCL Rajasthan Refinery as the centrepiece. The refinery, a joint venture of Hindustan Petroleum Corporation Limited (HPCL) and the Government of Rajasthan, was first approved and had its foundation laid in 2018 as part of a central push to expand domestic refining capacity in western India.

Policy Backdrop

The HPCL Rajasthan Refinery at Pachpadra, Barmer district, is designed to significantly boost India's domestic petroleum refining capacity and anchor an industrial ecosystem in one of the state's most underdeveloped districts. The project has been part of a broader hydrocarbon infrastructure drive in western India aimed at strengthening energy security and generating employment in the region.

The Shekhawati water link addresses a long-standing challenge for the arid belt covering Sikar, Jhunjhunu, and parts of Churu in northern Rajasthan — districts historically dependent on external water sources and vulnerable to drought. Inter-state water sharing between Rajasthan and Haryana has historically been complicated by differing political configurations in the two states, making a negotiated settlement difficult to achieve.

Stakeholders and Impact

Residents and farmers of the Shekhawati region stand to benefit most directly from the proposed water transfer initiative, which could ease the chronic water scarcity that has long constrained agriculture and livelihoods in northern Rajasthan. The oil and gas workforce in Barmer and the broader industrial supply chain in western Rajasthan are key beneficiaries of the refinery's development.

The agreement also signals a pattern where single-party rule across adjacent states has unlocked negotiated settlements on shared natural resources — a dynamic that earlier coalition or opposing-party configurations had left unresolved. Both state governments are now expected to formalise the funding and implementation framework for the Shekhawati water project.

What's Next

The two state governments are expected to work out the detailed project timelines, engineering plan, and funding-sharing formula for the canal or lift scheme to carry water to Shekhawati. Subsequent phases of the HPCL Rajasthan Refinery's commissioning, including associated petrochemical units, will be closely watched as benchmarks for the project's industrial promise.

The dual announcement — energy infrastructure and inter-state water cooperation — positions Pachpadra as a focal point of Rajasthan's development agenda, with implications for the state's arid western and northern districts that extend well beyond a single ceremony.