CHAPTER - 12

COST ESTIMATE
12.1 General

This report envisages construction of an earthen dam across the Ken river and a
concrete side channel spillway on the left flank of the river as its head works and
a 231.45 km long canal for transferring water from Ken river to Betwa river. Two
power houses are also located near the head works. The project provides
irrigation in the command area enroute of the main link canal and Ken command.
The command area proposed by the four Projects in the upper Betwa region will
also be irrigated by way of substitution.

The cost estimate for this project has been prepared based on the quantities
found out from the field survey, preliminary designs etc. The rates at the price
level of April, 1994 have been worked out on the basis of Unified Schedule of
Rates (USR), April, 1991 of Water Resources Department, Government of
Madhya Pradesh after considering escalation at the rate of 10% per annum. The
total cost of the project has been worked out as below:

12.2 Main Project

12.2.1 Unit -I : Head works

Unit -I consists of head works including the dam, side channel spillway and
stilling basin, which amounts to cost Rs. 367.92 crore.

12.2.1.1 'A' Preliminary

The estimated cost in this sub-head is Rs. 183.44 lakhs. It co vers the
expenditures already incurred by the department on surveys and investigations
done by the G.S.I., C.S.M.R.S. New Delhi and N.C.A.E.R, New Delhi.

Provision is also made for future survey and investigation, G&D observations,
camp equipments, training of engineers etc.

12.2.1.2 'B' Land

An estimate of Rs. 6917.44 lakhs has been prepared for this sub- head. Under
this head, compensation for government/private land and forest lands coming
under submergence, land for the borrow areas and quarries and land for colony
areas have been made. Other provisions for compensation of standing crops
have also been made.

12.2.1.3 'C' Works

The estimated cost under this sub -head is Rs. 23069.81 lakhs. This covers
the cost of both earthen dam and concrete dam consisting overflow and non-

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overflow section. Provisions have also been made for the cleaning of the site
of construction, drilling work for consolidation, curtain grouting, cement required
for grouting, plain and reinforced concrete for spillway and NOF section. Also
provisions for steel radial crest gates with hoisting, earth work excavation and
transportation, upstream pitching, turfing etc, are made under this sub head.

12.2.1.4 'K' Building

An estimate of Rs.1263.34 lakhs has been made under this head. Provision of
buildings for the office and residential accommodation for the staff of Circle,
Division and Sub-division at the project site have been made.

12.2.1.5 'M' Plantation

An estimate of Rs. 3.62 lakhs has been provided under this sub - head. This
includes plantation of trees in colonies, downstream of earthen dam and along
the approach road to the project site.

12.2.1.6 'O' Miscellaneous

Under this sub-head an estimate of Rs. 634.36 lakhs has been prepared.
Provisions for external and internal electrification of the colonies, water supply
and sewage disposal, recreation facilities, medical and security arrangement, fire
fighting equipment, telephone facilities, visits of VIPs for inauguration ceremony
etc. are being kept under this sub-head.

12.2.1.7 'P' Maintenance

A provision of Rs. 98.10 lakhs has been kept under this sub- head. The rate for
building is taken as 1/2% of the cost of permanent building per year for 10 years
and 1/4% on the cost of temporary building per year for 10 years.

The rate for colony and work site road is taken as Rs. 3872/- per km/ per
year.

The rates for maintenance of concrete and earthen dam have been taken as
1/4% and 1/2% for average 5 years on 1/2 of the amount.

12.2.1.8 'Q' Special T&P

An estimate of Rs. 185.91 lakhs has been kept under this sub - head. Provisions
for various machineries and equipments including transportation vehicles have
been made in this head. The cost of machinery etc. will be initially charged to
works. During construction the cost will reduce and the debit will be charged to
works.

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12.2.1.9 'R' Communication

A provision of Rs. 1155.46 lakhs has been made under this head. This includes
construction of approach road to dam site, approach tunnel to power house no.
1, approach to colony and quarries etc.

12.2.1.10 'X' Environment and ecology

An estimate of Rs. 16.18 lakhs has been prepared for this sub- head. This
includes soil conservation measures, compensatory aforestation, prevention
measures of forest fires, restoration of land and public health measures etc.

12.2.1.11 'Y' Losses on stock

Under this head an amount of Rs. 65.60 lakhs has been provided @ 1/4% on all
heads excluding sub-heads 'A', 'B' and 'Q'

12.2.1.12 II-Establishment

A provision of Rs. 2667.58 lakhs has been made under this head @ 10% of I-
Works excluding 'B' land.

12.2.1.13 III-Ordinary T&P

A provision of Rs. 335.93 lakhs is made for this @ 1% of I-Works.

12.2.1.14 IV-Receipt and recoveries

A total of Rs. 228.98 lakhs has been made for this as per the provision.

12.2.1.15 Indirect charges

A total of Rs. 423.83 lakhs has been made for this sub head. An amount of Rs.
335.93 lakhs has been provided @ 1% of works as audit and accounts charges
and an amount of Rs. 87.90 lakhs @ 5% of cost of culturable land as abatement
of land revenue. The total estimated cost under head Unit-I 'Head works' has
been worked out as Rs. 36791.63 lakhs. General abstract of cost of Unit-I is
given in Table No.12.1.

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 Table -12.1
Unit-I: 'Head Works'- General abstract of cost
Sl. Item Amount (Rs. in lakhs)
No.
DIRECT CHARGES
I Works
'A' Preliminary 183.44
'B' Land 6917.44
'C' Works (Concrete and Earthen dam) 23069.81
'K' Buildings 1263.34
'M' Plantation 3.62
'O' Miscellaneous 634.36
'P' Maintenance 98.10
'Q' Special T&P 185.91
'R' Communications 1155.46
'X' Environment and ecology 16.18
'Y' Losses on stock and unforeseen 65.60
Total of I - Works 33593.26
II Establishment 2667.58
III Ordinary tools and plants 335.93
Total direct charges 36596.78
IV Deduct receipt and recoveries (-) 228.98
Net direct charges 36367.80
V Indirect Charges 423.83
Grand Total 36791.63

12.2.2 Unit -II : Canals (Link and enroute command)

Unit-II consists of the main link canal with the provision of lining and the canal
system consisting of branch canals, distributaries, minors and watercourses in
the enroute command. The estimated cost is Rs. 572.44 crore.

12.2.2.1 'A' Preliminary

Under this head the expenditure already done by the department upto March
1994 has been taken into account. The surveys include alignment survey for the
main link canal right from the offtake point on the Daudhan reservoir. L-section
and cross sections were taken and plotted. Detailed estimates are then prepared
on the basis of the contour plan prepared for a strip of 400 m i.e. 200 m on either
side of the center line of the alignment. This was done to fix up the fina l
alignment according to the bed slope of the canal. The expenditure also includes
the representative survey of about 100 ha in the proposed command area.
CSMRS, New Delhi was engaged to determine the soil characteristics test at
about 10 different places along the link canal. Provision for future detailed survey
on the final alignment of the link canal has been kept in this head. Provision for

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preparation of the detailed project report, running and maintenance of the
vehicles and other miscellaneous items have also been kept. The cost has been
estimated to Rs. 248.33 lakhs for the enroute command.

12.2.2.2 'B' Land

Acquisition of private land for the main and branch canals as well as for
residential and non-residential buildings have been made under this head.
Solatium charges for compulsory acquisition, legal charges, diversion of
communication system etc. have also been provided. Provision of Rs. 1450.27
lakhs have been kept under this sub -head.

12.2.2.3 'D' Regulator

Under this sub -head the estimate for head regulator at the offtake point of the link
canal, cross regulator at the terminal point, regulator sluice for branch canal are
made separately. Provision under this sub-head is Rs. 57.50 lakhs.

12.2.2.4 'E' Falls

In this estimate the cost of one major fall along the main route of the link canal
and 236 falls on the branch canals and distributaries in its enroute command
have been worked out as per the cost curve of Hasdeo Bango Project in Madhya
Pradesh and duly updated to the price level of 1994. Rs.136.77 lakhs is provided
under this sub-head.

12.2.2.5 'F' Cross drainage works

Provisions for 59 Nos. of C.D. works have been worked out and the costs of
individual works have been derived. Total provision in this sub -head is Rs.
3341.28 lakhs.

12.2.2.6 'G' Bridges

Provisions for 60 Nos. of bridges on the main canal only have been kept in this
estimate on the basis of the cost curve derived for Hasdeo Bango Project in
Madhya Pradesh after necessary escalation in the price level. An amount of Rs.
438.23 lakhs has been made under this sub-head.

12.2.2.7 'H' Escape

Atleast four Nos. of escapes have been provided at different R.D. along the main
canal and the estimate of each has been derived from the cost curve of Hasdeo
Bango Project after due escalation. Cost under this sub-head is Rs. 19.95 lakhs.

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12.2.2.8 'K' Buildings
The cost under this sub -head amounting to Rs.500.77 lakhs have been arrived
at on individual estimates as per the plinth area rate derived from the model
estimates of each type of building.

12.2.2.9 'L' Earth work

A major share of the total estimated cost has been made under this sub-head.
The following provisions are made in the estimate.

Ordinary jungle clearance, cutting and felling of trees including its uprooting,
stripping of the seat of embankment, excavation in hard soil, hard rock, soft rock
etc., compaction of earth by S.F.R., construction of dowlah, transportation
charges for earth and moorum, providing P.C.C. for lining, tamping in canal bed
and side slopes etc. Total cost has been worked out as Rs. 38243.16 lakhs.

12.2.2.10 'M' Plantation

Under this sub-head provision of Rs. 95.41 lakhs for plantation in the
colonies and different offices alongwith the plantation of trees on the
embankment of the link canal on both sides have been made. The cost
includes the price of the saplings and protective measures also.

12.2.2.11 'O' Miscellaneous

Under this sub-head the provision for external electrification of the colonies,
water supply and special lighting arrangements for construction works have been
included. The cost has been worked out as Rs. 325.96 lakhs.

12.2.2.12 'P' Maintenance

Provisions for maintenance of water supply and sewerage of colonies,

telephones, security arrangements, school bus and inspection vehicles are kept
under this sub-head. Maintenance cost is taken as 1% of I-Works less 'A'
Preliminary, 'B' Land and 'Q' Special T&P. Provision under this sub-head has
become Rs. 493.97 lakhs.

12.2.2.13 'Q' Special T&P

The following provisions are kept under this sub-head of the estimate:

Exploratory and quarrying equipment, heavy earth moving and other equipments
like sheep foot roller, water tanker, vibrator, concrete mixer, trucks etc.
Provisions for electrical equipments like generator, pump etc. have also been
kept. Cost of work-shop tools and inspection vehicles are also figured in this
estimate. The cost under this sub-head is Rs. 90.33 lakhs.

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12.2.2.14 'R' Communication

Cost of construction of quarry roads, temporary roads in the work area and
temporary river crossings are provided under this sub - head of the estimate. The
amount under this sub -head is Rs. 70.73 lakhs.
12.2.2.15 'U' Distributaries and minors

The rate per hectare for the distributaries has bee n worked out as per the
Hasdeo Bango Project after duly escalated to the price level of 1994. This rate
includes the cost of lining also. Total provision under this sub -head is Rs.
5019.37 lakhs.

12.2.2.16 'V' Water courses and field channels

The rate per hectare has been worked out from the rate of Hasdeo Bango Project
after escalating the same to 1994 price level. The estimated cost under this sub-
head is Rs. 426.53 lakhs.

12.2.2.17 'W' Drainage

This cost of Rs. 182.72 lakhs has been arrived at by considering the rate of Hasdeo
Bango Project after escalating to price level of 1994. Provision of chak and collecting
drains for command area has been made under this sub-head.

12.2.2.18 'Y' Losses on stock

Provision of 1/4% of the cost of I- works less 'A' Preliminary, 'B' Land and 'Q'
Special T&P has been made as losses on stock under this sub -head. The
amount arrived at this sub-head is Rs. 123.38 lakhs.

12.2.2.19 II - Establishment

This cost is the 10% of the I-work less 'B' Land of the estimate. The amount
under this provision is Rs. 4981.44 lakhs.

12.2.2.20 III - Ordinary tools and plants

Provision of Rs. 512.65 lakhs @ 1% of the I-Works has been kept for this in the
estimate.

12.2.2.21 IV -Receipts and recoveries

Provision of Rs. 72.80 lakhs for receipts and recoveries on the special
tools and plants and temporary building have been kept as per the guidelines of
the CWC's working group report.

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12.2.2.22 Indirect charges

A total provision of Rs. 557.84 lakhs @ 1% cost of the I-Works has been kept for
the audit and accounts charges and @ 5% cost of culturable land for abatement
of land revenue have been made under this sub -head. The total estimated cost
under head Unit - II 'Head Works' has been worked out as Rs. 57243.77 lakhs.
General abstract of cost of Unit - II is given in Table No. 12.2.

Table -12.2
Unit - II : 'Canals' - General abstract of cost

Sl. Item Amount (Rs. in lakhs)

No.
DIRECT CHARGES
A Works
'A' Preliminary 248.33
'B' Land 1450.27
'D' Regulators 57.50
'E' Falls 136.77
'F' Cross Drainage Works 3341.28
'G' Bridges 438.23
'H' Escapes 19.95
'K' Buildings 500.77
'L' Earthwork 38243.16
'M' Plantation 95.41
'O' Miscellaneous 325.96
'P' Maintenance 493.97
'Q' Special T&P 90.33
'R' Communications 70.73
'U' Distributaries and minors 5019.37
'V' Water courses and field 426.53
channels
'W’ Drainage 182.72
'Y' Losses on stock 123.38
Total of A Works 51264.65
II Establishment 4981.44
III Ordinary tools and plants 512.65
Total direct charges 56758.73
IV Deduct receipt and recoveries (-) 72.80
Net direct charges 56685.93
V Indirect Charges 557.84
Grand Total 57243.77

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12.2.3 Unit - III : Power

Unit-III consists of two power houses, power intake structures, tunnels and
penstocks, surge tank, tail race and approach tunnel for the power house No. 1,
switch yard and transformer yard, transmission line, cost of electrical equipments
etc. The estimated cost is Rs. 50.72 crore.

12.2.3.1 'A' Preliminary

Under this sub -head, the cost of survey work already done by the
department has been included. Provisions for future survey including the
foundation exploration of the power houses, construction of access road,
consultants fees for the design of various electrical components, training to
engineers and purchase of miscellaneous T&P and camp equipments are kept
under this sub- head. The estimated cost has come is Rs. 41.82 lakhs.

12.2.3.2 'J' Power plant civil works

The estimate under this sub -head includes the following sub- estimates prepared
separately for the power house No. 1 and power house No. 2.

(a) For Power House No.1

(i) Sub-estimate for the power intake structure includes the cost of excavation
of hard strata, laying of R.C.C. with necessary provisions for scaffolding and
cost of reinforcement bars, cost of trash rack panels, cost of intake gates
including the cost of hoisting etc. The estimated cost is worked out as Rs.
103.85 lakhs.

(ii) Sub-estimate for the pressure shaft: This includes the cost of underground
excavation for pressure tunnel, laying of R.C.C. including cost of
reinforcement etc. The estimated cost in this head is Rs.199.65 lakhs.

(iii) Sub -estimate for the underground power house including upstream and
downstream valves: Under this head, provision have been made for the
underground excavation with disposal of all material as directed, providing
and laying RCC including cost of reinforcement bars, providing glass panels,
mosaic floor, anchor bars for grouting, steel doors and windows, steel
ladders, sanitary and water supply, cost of telecommunications, paintings
and white washing on walls and doors and windows etc. The cost has been
worked out as Rs. 558.86 lakhs .

(iv) Sub-estimate for ventilation tunnel: This estimate has been worked out as
Rs. 4.26 lakhs which includes the cost of underground excavation for the
ventilation tunnel and providing rock bolting and grouting.

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(v) Sub-estimate for the tail race tunnel: Under this sub- estimate the provisions
have been kept for the underground excavation in hard rock by blasting,
providing and placing M 150 grade concrete for lining, drilling of grout holes,
providing temporary and permanent steel supports, cost of cement pressure
grouting etc. which comes to Rs. 349.85 lakhs.

(vi) Sub-estimate for the approach bridge: The cost under this head is worked
out as Rs. 86.34 lakhs which includes the provision of excavation in hard and
soft rock, providing and laying of RCC including the cost of reinforcement
bars, providing steel N-trussed bridge and extra cost for additional lift of
excavated material.

(vii) Sub -estimate for the tail race outfall structure: This includes the cost of
excavation in hard rock, providing and laying of RCC including the cost of
reinforcement bars, providing trash rack panel, G.I. pipe railing, fabrication
and erection of service gates alongwith hoisting arrangement, providing and
fixing of gantry crane, M.S. ladder including G.I. pipe railing etc. The cost has
been worked out as Rs. 83.27 lakhs.

(viii) Sub -estimate for control and power cable tunnel: The cost under this sub-
estimate has been worked out as Rs. 9.92 lakhs which includes the cost of
excavation in hard rock, providing M 150 grade concrete, rock bolting and
other miscellaneous items such as portal structures, lighting and drainage
arrangements etc.

(b) For Power House No.2

(i) Sub-estimate for the power house and penstock: This sub -estimate includes
the cost of drilling by diamond core drilling, excavation in hard rock, grouting,
cost of cement for consolidation grouting, providing and laying R.C.C.
including the cost of reinforcement bars, steel lining for penstock, embedded
metal works for draft tube, cost of draft tube and penstock gates, ventilation
and air conditioning arrangements, steel stairs, mosaic floors, steel roof
truss, doors and windows etc. The cost has been worked out to be Rs.
375.79 lakhs.

(ii) Sub-estimate for tunnel and surge tank: Under this head, provisions have
been made for the underground excavation for the tunnel and the surge tank,
RCC lining in tunnel and surge tank including the cost of reinforcement,
drilling of grout holes, cost of cement for grouting and other miscellaneous
items such as air vent, temporary lighting etc. The cost under this sub-
estimate is Rs. 708.28 lakhs.

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12.2.3.3 'M' Plantation

Provision of plantation in and around the power house and along the approach
road to both the power houses has been made under this sub-head which works
out to be Rs. 1.33 lakhs.

12.2.3.4 'P' Maintenance

Maintenance cost has been kept as 1% of the I-Works excluding 'A' Preliminary,
'B' Land and 'Q' Special T&P. The estimated cost is Rs. 44.31 lakhs only.

12.2.3.5 'S' Power plant electrical works

Under this sub-head, costs of all the electrical equipments required for
generation and transmission of power from both the power houses have been
made. This includes the cost of preliminary expenses on design and consultancy
work, generating plant i.e. turbines, generation and its accessories including its
transportation and erection charges, auxiliary equipment like electric overload
crane, lifts, gantry crane for draft tube gates, cost of butterfly valves, cost of draft
tube gates and its erection charges, cost of transformers, circuit breakers,
isolators etc. and other miscellaneous equipment for transformer yard & switch
yard and cost of construction of transmission line of about 30 km.

The cost has been estimated under this sub-head as Rs. 1949.73 lakhs.

12.2.3.6 'Y' Losses on stock

Loss of suspense @ 1/4% on I-Works excluding the cost on 'A' 'B' and 'Q' has
been made under this estimate, which works out as Rs. 11.19 lakhs.

12.2.3.7 Establishment

This cost is the 10% of th e I-Works excluding 'B' Land of the estimate. The
amount under this provision is Rs. 452.84 lakhs.

12.2.3.8 Ordinary T&P

A provision of 1% cost of -IWork has been kept under this sub-head, which is
amounting to Rs. 45.28 lakhs.

12.2.3.9 Indirect charges

1% charges on I-Works have been kept under this sub -head as indirect charges,
which amounts to Rs. 45.28 lakhs.

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The total estimated cost under the head Unit-III Power has been worked out as
Rs. 5071.86 lakhs. General abstract of cost of Unit - III is given in Table No. 12.3

12.3 Ken command

The item wise cost of canals under Ken command has been worked out using
quantities given in the project report of the proposed Ken Multi-purpose Project
prepared by Madhya Pradesh Water Resources Department. The rates at
April,1994 price level have been worked out based on the USR (April, 1991) of
Madhya Pradesh Water Resources Department after considering escalation at
the rate of 10% per annum. The estimated cost of canal under Ken command
comes to Rs.554.11 Crore. General abstract of cost of Ken command is given in
Table No. 12.4.

Table. 12.3
Unit - III : 'Power ' - General abstract of cost

Sl. Item Amount (Rs. in lakhs)

No.
DIRECT CHARGES
A Works
'A' Preliminary 41.82
'J' Power plant civil works (Total for PH-I 2480.07
and PH-2)
'M' Plantation 1.33
'P' Maintenance 44.31
'S'Power plant electrical works 1949.73
'Y' Losses on stock 11.19
Total of A Works 4528.45
II Establishment 452.84
III Ordinary tools and plants 45.28
Total direct charges 5026.58
IV Indirect Charges 45.28
Grand Total 5071.86

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 Table -12.4
Ken Command General abstract of cost

Item Amount (Rs. in lakhs)

Works
'A' Preliminary 478.67
'B' Land 743.70
'D' Regulators 157.08
'E' Falls 41.32
'F' Cross Drainage Works 2371.97
'G' Bridges 237.07
'H' Escapes 199.46
'J' Power Plant Civil Works 522.59
'K' Buildings 1141.54
'L' Earthwork and canal lining 18712.71
'M' Plantation 22.97
'N' Tanks and reservoirs 1272.01
'O' Miscellaneous 1058.05
'P' Maintenance 481.25
'Q' Special T&P 1023.07
'R' Communications 497.78
'S' Power Plant and electrical system 1032.90
'U' Distributaries, minors and sub-minors 18652.87
'V' Water courses and field channels 910.82
'W’ Drainage 113.67
'Y' Losses on stock 118.57
Establishment cost @ 10% of I-Works 4904.64
less 'B' Land
Ordinary T&P@ 1% of I-Works 497.90
Total Receipt & Recoveries (-) 299.42
Total Indirect Charges 518.12
Grand Total 55411.32

12.4 Betwa command

The command area identified for the four projects in upper Betwa sub basin
namely Neemkheda dam, Richhan dam, Barari barrage and Kesari dam are
termed as Betwa command of K-B link project. Cost of each of these projects
have been estimated on notional basis considering unit cost of Rs.35,000 per
hectare area irrigated. This is shown in Table -12.5. Different project reports
prepared by the State Government have been referred for estimating the unit
cost per hectare area irrigated.

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 Table -12.5
Estimated cost of projects under Betwa command

Sl. Name of projects Annual Estimated cost

No. irrigation(ha) (Rs. in lakhs)
1 Barari barrage 44355.50 30453.15
2 Neemkheda dam 1053 368.55
3 Richhan dam 36828 12889.80
4 Kesari dam 1840 644.00
Total 44355.50

Thus the total cost of these four projects comes to Rs. 443.55 crores.

12.5 Recurring and non-recurring expenditures on Tools and Plants

Recurring and non-recurring expenses on ordinary and special tools and plants
for unit-I, unit-II and unit-III have been worked out. All the expenditures in the
running and maintenance of vehicles and special tools and plants are taken in
recurring accounts and the capital costs of all vehicles and equipments for
construction purposes are charged to non-recurring expenditure.

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