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Karnataka Orders L&T Blacklisted Over Slow Renukasagar Water Works

The decision is meant to force completion of a Renukasagar drinking‑water scheme serving 388 habitations with trial runs due by December 2026.

Overview

  • Rural Development and Panchayat Raj Minister Eshwar B Khandre directed officials on Wednesday, November 11, to blacklist Larsen & Toubro after a Jal Jeevan Mission review at Vikas Soudha found persistent delays.
  • Officials told the meeting that L&T had not begun procurement of water pipes, had failed to deploy sufficient workforce, was laying under 500 metres of pipeline per day, and had not been submitting progress reports.
  • Khandre ordered final notices be issued to other contractors who are delaying work and made clear that delays caused by pending forest clearances would be the only acceptable exceptions.
  • Department officials were told to demand detailed week‑wise plans from contractors for pipe procurement, laying, hydro testing and trial runs, and to aim to complete trial runs for villages not held up by forest approvals by December 2026.
  • The escalation comes as parts of Karnataka face drinking‑water stress and contractors have flagged unpaid bills and funding issues that officials say have hampered execution and could affect project pace.