Projects approved for ₹49 cr out of ₹120 cr allotted by Centre for Wayanad relief: State to Kerala High Court

The Kerala government told the High Court that it has approved projects worth ₹49.65 crores out of the ₹120 crores allocated by the Central government towards rehabilitation efforts in Wayanad district which was devasted by landslides last year [In Re: Prevention and Management of Natural Disasters in Kerala]

The State's Disaster Management Department informed the High Court of the same in an affidavit submitted before a Bench of Justices AK Jayasankaran Nambiar and Jobin Sebastian.

The Bench has been monitoring rehabilitation efforts following the devastating July 2024 landslide in Wayanad district.

The affidavit said the ₹120 crore was permitted to be used for rehabilitation without following the standard State Disaster Response Fund/National Disaster Response Fund (SDRF/NDRF) guidelines after an order from the Court.

"By the intervention of this Hon'ble Court the Central Government had granted permission to utilize an amount of Rs. 120 Crores for the purpose of Wayanad rehabilitation works, without adhering to the guidelines prescribed under the SDR/NDRF. This decision was taken in view of the fact that the Central Government was not willing to approve any other form of financial assistance for this specific requirement at that point in time," the affidavit stated.

A list of 18 proposed projects amounting to ₹104.67 crore was enclosed with the affidavit, out of which it was informed that administrative sanction had already been granted to five projects worth ₹24.05 crore and two more projects worth ₹25.6 crore by the State Executive Committee on July 18, 2025.

The State further informed the Court that funding from the Special Assistance to States for Capital Investment Scheme (SASCI) was also being utilised for rehabilitation.

₹529.5 crores has been made available under SASCI in the form of a 50-year interest-free loan. Of this, the administration has already approved the use for ₹322.94 crores for Wayanad projects, the Court was told.

The State also clarified that since the SDRF and Chief Minister's Distress Relief Fund (CMDRF) were non-lapsable, time-sensitive projects were being prioritised under the SASCI scheme.

Highlighting ongoing challenges, the State also explained that the actual cost of certain projects had increased after grant of sanction. For instance, the Public Works Department (PWD), which was initially sanctioned ₹12 crores under SASCI, had sought an additional ₹11 crore for the construction of three school buildings.

Since SASCI guidelines prohibit additional funding once sanctioned, the excess amount would have to be met from the ₹120 crore, if permitted by the Court. The State submitted that more such revision requests were likely to come from other departments.

Additionally, the State submitted that it has decided to reallocate ₹116.15 crore from the Kerala State Disaster Management Authority Interest Treasury Savings Bank (KSDMA ITSB) account to the official head of account meant for flood and disaster recovery.

The Court, which is monitoring rehabilitation efforts following the devastating July 2024 landslide in Wayanad district, posted the matter for consideration on August 13 after noting that the Central government had not yet clarified its stand on the loan waiver issue despite previous directions.