Punjab Vs Haryana Over Rs 2,300-Crore Infra: What Is Malwa Canal Project?

Last Updated:June 21, 2026, 13:16 IST

The Malwa Canal Project is a ₹2,300-crore infrastructure initiative proposed by the Punjab government

Punjab and Haryana clashed recently over Punjab’s proposed Malwa Canal Project. This long-standing river-sharing feud escalated into a major political and administrative standoff at the 22nd Standing Committee meeting of the Northern Zonal Council (NZC).

News18 explains.

WHAT IS THE MALWA CANAL PROJECT?

The Malwa Canal Project is a ₹2,300-crore infrastructure initiative proposed by the Punjab government. It is the first major canal project planned in the state since India’s independence. The conflict between Punjab and Haryana stems from a long-standing battle over river water sharing. Haryana opposes the project due to concerns over water availability and allocations, escalating tensions at regional forums like the Northern Zonal Council (NZC).

The Malwa Canal is a planned 150-kilometre-long irrigation canal designed to supply water to the drought-prone and water-stressed southern Malwa region of Punjab. It will originate from the Harike Headworks on the Sutlej River in Ferozepur. It will run parallel to the existing Sirhind Feeder and Rajasthan Feeder canals. It terminates at Warring Khera village in the Muktsar district, near the Haryana border.

The canal is planned to be 50 feet wide, 12.5 feet deep, and hold a carrying capacity of 2,000 cusecs of water. It aims to irrigate nearly 2 lakh acres of agricultural land. It will particularly help during the heavy Kharif paddy-sowing season when existing canals cannot cope with demand.

WHAT HAPPENED AT RECENT MEETING?

During the high-level regional meeting, the conflict escalated over two major points of friction:

The Demand for the DPR: Haryana has raised serious objections regarding where Punjab will source the 2,000 cusecs of water. Haryana officials formally confronted Punjab, demanding full access to the Detailed Project Report (DPR) and technical blueprints of the Malwa Canal. Haryana insists it will not permit the project to move forward without reviewing how the canal alters downstream flow. Haryana argues that if Punjab claims it has no surplus water to fulfill older water-sharing commitments, it cannot logically have enough water to fill a massive new canal.

The Sourcing Paradox: Haryana argued that if Punjab consistently claims it does not have a “single drop of surplus water" to share via the legally-mandated Sutlej-Yamuna Link (SYL) canal, it cannot logically justify finding 2,000 cusecs of water to feed its own new massive canal project. The dispute is highly political because it mirrors the decades-old Sutlej-Yamuna Link (SYL) canal conflict. Haryana has long demanded the completion of the SYL canal so it can receive its legally allocated share of Ravi-Beas waters from Punjab. Punjab has consistently blocked the SYL canal, claiming it does not have a single drop of spare water to share. Haryana views Punjab’s construction of the Malwa Canal as a hypocritical hoarding of water that could otherwise fulfill shared downstream allocations managed by the Bhakra Beas Management Board (BBMB).

LOCAL AND INTERNAL PUSHBACK

Beyond Haryana’s geopolitical objections, the project faces internal resistance within Punjab itself from environmentalists and local farmers. Critics point out that the canal alignment requires cutting down heavy forest covers along its path. Local farmers have filed hundreds of objections against land acquisition, fearing the canal will render existing private lift irrigation pumps useless and trigger severe waterlogging in adjoining fields.

CENTRE STEPS IN

Due to the intense friction between the two states, the Central Government has stepped in.

During the Northern Zonal Council standing committee meeting, the Centre set a one-month deadline for both states to find a cooperative solution regarding the canal project and broader water management issues.

PUNJAB’S DEFENCE

Punjab turned the blame onto federal bodies and water data accuracy. Punjab countered by openly questioning the assessment methodologies and reservoir data provided by the Bhakra Beas Management Board (BBMB).

Punjab argued that central agencies lack accurate, real-time measurements of the water actually available in northern reservoirs. They assert that the Malwa Canal utilizes internal allocations intended strictly to save its own failing, drought-hit agricultural zones.

About the Author

Manjiri Joshi

At the news desk for 20 years, the story of her life has revolved around finding pun, facts while reporting, on radio, heading a daily newspaper desk, teaching mass media students to now editing speci...Read More

News explainers Punjab Vs Haryana Over Rs 2,300-Crore Infra: What Is Malwa Canal Project?

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