To prevent a future water crisis driven by a surge in hyperscale data centres and industrial growth, the Vizag Development Council has proposed a massive ₹23,000 crore infrastructure project to double the city's water storage capacity.

  • Proposal to increase water storage from 32 TMC to over 60 TMC to support industrial growth.
  • Investment of ₹15,000 to ₹23,000 crore sought for expanding Yeleru reservoir and creating five new balancing reservoirs.
  • Daily water demand projected to jump from ~40 crore litres to over 150 crore litres.

The city of Visakhapatnam is standing at a critical juncture where its ambitions of becoming a global tech and industrial hub are colliding with the reality of water scarcity. The Vizag Development Council has submitted a high-stakes proposal to Andhra Pradesh Chief Minister N. Chandrababu Naidu, requesting a budget of up to ₹23,000 crore to overhaul the region's water storage infrastructure.

Currently, the city relies on a storage capacity of approximately 32.4 TMC, distributed across the Yeleru, Raiwada, and Tatipudi reservoirs. However, the rapid influx of hyperscale data centres, green hydrogen plants, and heavy manufacturing units—with projected power capacities of up to 9 GW—is expected to push the annual water requirement beyond 60 TMC.

Why This Matters

BozokMedia analysis shows that the viability of Visakhapatnam's industrial roadmap is tethered to its water security. Data centres are notorious for their immense water consumption for cooling systems. Without a strategic expansion of storage, the city risks a systemic failure where industrial growth outstrips natural resources, potentially leading to groundwater depletion and conflicts between civic and corporate water needs.

The proposed three-pronged strategy involves restoring existing water sources through desilting and bund strengthening, expanding the Yeleru reservoir to a total capacity of 40 TMC, and constructing five new balancing reservoirs of 5 TMC each. These new structures would require an expansive land footprint of 10,000 to 12,500 acres.

"Visakhapatnam doesn’t have the sufficient storage facility of water for present needs... storing the water here is the present task we have to focus on."

The plan aims to leverage the Polavaram Left Main Canal, which brings 23.44 TMC of water annually to the district. Currently, due to a lack of intermediate storage, a significant portion of monsoon floodwaters simply runs off into the sea. The proposed reservoirs would capture this waste, ensuring a year-round supply for the burgeoning industrial sector.

MetricCurrent StatusProjected Need
Total Storage Capacity~32.4 TMC60+ TMC
Daily Water Demand33-40 Crore Litres150+ Crore Litres
Infrastructure FocusExisting ReservoirsYeleru Expansion + 5 New Reservoirs
Did You Know?: Hyperscale data centres can consume millions of gallons of water daily for cooling, a process known as 'water cooling' which is critical to prevent server overheating.

Frequently Asked Questions

1. What is the estimated cost of the proposed water project?
The Vizag Development Council has sought between ₹15,000 crore and ₹23,000 crore for the expansion.

2. Why is the Yeleru reservoir being expanded?
The expansion aims to increase its capacity to 40 TMC to help bridge the gap between current storage and the projected 60 TMC requirement.