The total cost of Damanganga-Pinjal link project including Rehabilitation & Resettlement plan for the project affected people has been worked out to be Rs. 274661 lakh at 2012-13 price level. Annual cost of the project including cost of maintenance of head works, dam appurtenants, power house etc and apportioned annual cost (tentative) of conveyance system beyond Pinjal dam upto Pogaon (Mumbai) works out to be Rs. 37615 lakh. The benefits from domestic water supply and power generation works out to be Rs. 72533 lakh and Rs. 688 lakh respectively. The benefit-cost ratio and the Internal Rate of Return (IRR) of the project works out to be 1.95 and 16.29 % respectively. After extensive survey / study of the project affected families and land acquisition, the Resettlement & Rehabilitation Plan for project affected families was suggested based on the National Resettlement and Rehabilitation Policy 2007 of Ministry of Rural Development, Government of India and also the Resettlement and Rehabilitation Policy of Sardar Sarovar Project of Gujarat. Provision of Rs. 121 Crores has been kept for Environmental Management Plan. The total cost of the Rehabilitation & Resettlement plan for the affected families has been worked out as Rs. 623 Crores. The details of the Environmental Impact Assessment studies and Socio-economic studies of Damanganga-Pinjal link Project are furnished in Chapter 8 and 9 respectively. The Feasibility Report of Damanganga-Pinjal Link project was prepared by NWDA during November, 2004 and circulated to all concerned State Governments and members of Technical Advisory Committee (TAC) of NWDA. Since then continuous efforts were made by National Water Development Agency, Central Water Commission (CWC) and Ministry of Water Resources to arrive at a consensus between the two beneficiary States of Gujarat and Maharashtra. As a result of these efforts, consensus was arrived amongst the Central Government and concerned States of Gujarat and Maharashtra for preparation of Detailed Project Report (DPR) of DamangangaPinjal link project. A tripartite Memorandum of Understanding (MoU) was signed by the states of Gujarat and Maharashtra and the Union Government on 3 rd May, 2010 in the presence of the Hon’ble Prime Minister of India at New Delhi for preparation of Detailed Project Report of Damanganga-Pinjal Link Project. Damanganga-Pinjal Link Project envisages transfer of surplus water of Damanganga basin available at proposed Bhugad and Khargihill dam sites to the Pinjal dam (proposed by Government of Maharashtra across river Pinjal, a tributary of Vaitarna River) from where the combined waters of Damanganga and Pinjal rivers will be taken to Mumbai city to augment its domestic water supply. Before affecting the transfer of water from Damanganga basin it has been ensured that the water requirements of the people in the vicinity of the project for various purposes have been met on priority. The trend of development in the metropolitan city of Greater Mumbai is so fast that it is anticipated that there would be acute shortage of domestic water by the year – 2050. As per the assessment of Municipal Corporation of Greater Mumbai (MCGM) the present domestic water demand for Mumbai City (year 2012) is 4529 MLD (1653 Mm3 ) and the cumulative water supply from all the sources is 3675 MLD (1341 Mm3 ). The projected domestic water demand for Greater Mumbai by the year – 2041 will be 6680 MLD (2438 Mm3 ) and the supply will be 4980 MLD (1818 Mm3 ) (on completion of Gargai and Pinjal projects) leaving a shortage in supply of 1700 MLD (620 Mm3 ). The shortage in water supply will further increase as the demand will reach to 7000 5 MLD (2555 Mm3 ) by the year - 2060 and the cumulative water supply from various sources including from middle Vaitarna, Bhatsa and Gargai projects will remain 4980 MLD (1818 Mm3 ) only. The proposed Damanganga-Pinjal link project has been planned to augment the domestic water supply of Mumbai city which will provide additional 1586 MLD (579 Mm3 ) of water from Bhugad and Khargihill reservoirs of Damanganga basin and about 865 MLD (316 Mm3 ) of water from Pinjal reservoir of Vaitarna basin. Read more at : http://nwda.gov.in/upload/uploadfiles/files/DPR_DP_Ch_1.pdf. The proposed Damanganga-Pinjal Link Project envisages the construction of reservoirs at Bhugad and Khargihill. The gross storage of these two reservoirs will be 426.39 & 460.79 million cubic meters (MCM) and live storage will be 400 & 420.56 MCM, respectively. The FRL will be 163.87 m and 154.52 m, respectively. The reservoirs will be connected by 16.85 km long pressure tunnel of 5.00 m diameter. Another 25.70 km long and 5.25 m diameter tunnel will connect Khargihill and Pinjal reservoirs. The surplus water from Bhugad and Khargihill reservoirs will be transferred through pressure tunnels to Pinjal reservoir for onward transmission to Greater Mumbai. This link canal is proposed to supply 909 MCM water annually to Mumbai City to improve the existing inadequate availability of domestic and industrial water. The project lies partly in the Valsad district of Gujarat and partly in Nasik and Thane districts of Maharashtra. The Bhugad dam site on Damanganga River will intercept 141 km2 catchment area of Gujarat State. It will be located near Bhugad village in the Nasik district and Modushi village in Valsad district. The Khargihill dam will be constructed on the Vagh River near Behapada village in Thane. The Bhugad-Khargihill and Khargihill-Pinjal tunnels lie entirely in Maharashtra.