Highlights Jal Jeevan Mission allocated Rs 67,670 crore in 2026-27, almost four times the revised estimate for 2025-26.  So far, no funds have been released to states under the scheme in 2025-26. Underutilisation of funds seen in schemes like Swachh Bharat Mission - Gramin, Namami Gange, and PM Krishi Sinchai Yojana. About 75% of districts are water stressed/water scarce.  Surface and groundwater pollution persists, despite improvements in recent years.

The Ministry of Jal Shakti is responsible for the development and maintenance of water resources in India.[i]  It is also responsible for ensuring drinking water supply and sanitation in rural India.¹

The Ministry has two Departments – the Department of Drinking Water and Sanitation (DDWS) and the Department of Water Resources, River Development, and Ganga Rejuvenation (DoWR).¹  DDWS is responsible for providing drinking water and sanitation facilities to rural India.[ii]  DoWR is responsible for setting policies for the conservation and management of water resources.  It is also responsible for monitoring water resources, tackling water pollution, and addressing inter-state and transboundary water issues.[iii]

This note analyses the expenditure by the Ministry of Jal Shakti and the implementation of key schemes.  It also discusses some important issues related to water resources and their governance in India. 

Overview of Finances

In 2026-27, the Ministry of Jal Shakti has been allocated Rs 94,808 crore, 5% lower than the budget allocation in 2025-26 (Rs 99,503 crore).  Since 2017-18, the majority of the Ministry’s budget has been allocated towards the DDWS, which implements the Jal Jeevan Mission (JJM) and the Swachh Bharat Mission - Grameen (SBM-G).  However, in 2025-26, the revised estimate for spending on JJM is 75% less than the budget estimate.  Spending on other key schemes has also been less at the revised stage in 2025-26, such as SBM-G (50% less than budget estimate), Pradhan Mantri Krishi Sinchai Yojana (20% less), and the river interlinking programme (25% less).  This has caused the revised estimate for the Ministry’s expenditure to be 58% less than the budget estimate.

Table 1:  Budget allocation to the Ministry of Jal Shakti (in Rs crore)

Department	2024-25 Actual	2025-26 RE	2026-27 BE	% change from 25-26 RE to 26-27 BE
Drinking Water and Sanitation	25,853	23,031	74,895	225%
Of which,
JJM	22,615	17,000	67,670	298%
SBM-G	3,613	6,000	7,192	20%
Water Resources	20,867	18,406	19,913	8%
Of which,
PMKSY	6,088	6,621	8,260	25%
Namami Gange	1,922	2,976	3,400	14%
River Interlinking	1,955	1,808	1,907	5%
ABY	594	613	0.13	-100%
Total	46,720	41,437	94,808	129%

Note: BE is budget estimate and RE is revised estimate.
Source: Demands for Grants 2026-27, Ministry of Jal Shakti; PRS.

Despite lower revised estimates of expenditure, the 2026-27 budget allocation for most schemes implemented by the Ministry is similar to the 2025-26 budget estimates.    

Key Schemes

As of 2022, in India, 90% of water was used for irrigation, 7% for domestic purposes, and the rest for industrial use.[iv]  Domestic use include water for drinking, cooking, washing, and sanitation.  The Ministry of Jal Shakti implements several schemes to provide sufficient water to meet these requirements.

Jal Jeevan Mission

The Jal Jeevan Mission (JJM), launched in 2019, aims to provide every rural household a functional tap connection (FHTC).[v]  Initially implemented for the period from 2019-24, the scheme has been extended till December 2028.[vi]  Since 2021-22, allocation towards JJM has accounted for around 70% of the Ministry’s total budget every year.

JJM has been allocated Rs 67,670 crore in 2026-27, 1% more than the budget estimate for 2025-26.  In 2026-27, it is the second largest centrally sponsored scheme after the rural employment guarantee scheme.  In 2025-26, the revised estimate for spending on the scheme (Rs 17,000 crore) is 75% less than the budget allocation (Rs 67,000 crore).  This is the lowest expenditure on the scheme in any year since 2020-21.  As per the Union Budget 2026-27, this can be explained by a lower requirement for grants-in-aid to state governments.[vii]  Actual expenditure was 68% less than budgeted in 2024-25.