The governments of Madhya Pradesh, Rajasthan and the Central government have signed a tripartite memorandum of understanding (MoU) for the revised Parbati-Kalisindh-Chambal-ERCP Link Project at the Ministry of Jal Shakti in New Delhi.

The project, which has been pending for almost two decades, will get a start and will benefit 13 districts of Chambal and Malwa region of Madhya Pradesh. Water-deficient districts such as Morena, Gwalior, Shivpuri, Guna, Bhind and Sheopur will see an increase in water availability. Further, industrial belt districts such as Indore, Ujjain, Dhar, Agar-Malwa, Shajapur, Dewas and Rajgarh are expected to gain pace in industrialisation. 

Madhya Pradesh Chief Minister Dr. Mohan Yadav said that this project will come into being in less than five years, the current cost of which is about Rs 75,000 crore. The project will irrigate about 5.60 lakh hectare area as well as raise the water level with storage of water in dams and ponds.

An agreement was reached between the states of Madhya Pradesh and Rajasthan by integrating the  project with the Eastern Rajasthan Canal Project (ERCP), giving it the status of a project of national importance.