Bengaluru: Chief Minister Siddaramaiah, chairing a special cabinet meeting on Tuesday, announced a major relief package for farmers who stand to lose land under the Krishna Upper Stage Project-3 (KUSP-3). The cabinet decided to award compensation of ₹40 lakh per acre for irrigated land and ₹30 lakh per acre for dry land.

The cabinet’s resolution comes after repeated appeals from farmers demanding higher compensation. “Though farmers had sought ₹45-50 lakh per acre for irrigated land and ₹35-40 lakh per acre for dry land, I am confident they will agree to the government’s decision,” Siddaramaiah told reporters after the meeting.

According to government data, about 1.33 lakh acres will be acquired for the project, covering submerged land, canal construction, and rehabilitation. Out of this, nearly 75,000 acres will go under submergence, directly affecting around 20 villages.

For canal works alone, the government requires about 51,000 acres, for which compensation will be ₹30 lakh per acre for irrigated land and ₹25 lakh per acre for dry land.

The Chief Minister explained that the decision followed the Krishna Water Disputes Tribunal-II award, which permitted the raising of the Almatti dam’s height from 519.6 meters to 524.256 meters. “This expansion will provide irrigation to nearly five lakh hectares of farmland. Today’s cabinet meeting deliberated extensively on ensuring fair compensation for affected families,” he said.

Originally estimated at ₹51,148 crore, the project cost has now ballooned to ₹87,818 crore, primarily due to revised land acquisition costs. Of this, land acquisition alone is expected to cost ₹40,557 crore, nearly double the earlier estimate.

The state has already acquired 29,566 acres, while acquisition of another 59,354 acres is pending. The government has now decided to complete acquisition in a single phase rather than multiple stages.

The Krishna Upper Stage Project is one of Karnataka’s most ambitious irrigation initiatives aimed at tackling drought in northern districts including Bagalkot, Vijayapura, Kalaburagi, Yadgir, and Raichur. Using water from the Krishna, Bhima, and other tributaries, the project targets irrigation of 6.5 lakh hectares of farmland.

Siddaramaiah assured that compensation disbursal will be completed within the next three financial years. “This project is not only about water—it is about justice for farmers. We are committed to ensuring rehabilitation and fair compensation,” he added.