New Delhi, Sep 19 (IANS): The Union Cabinet on Wednesday approved the revised cost estimate of Rs 3,466 crore for the Dam Rehabilitation and Improvement Project (DRIP), with the World Bank funding the major part of it, an official said.

The original cost estimate for the project was Rs 2,100 crore, a statement said.

The project is aimed at improving the safety and operational performance of selected existing dams and mitigate risks to ensure the safety of the downstream population and property.

Of the total amount, the World Bank would fund Rs 2,628 crore and states under the project or the implementing agencies would provide Rs 747 crore, while the balance of Rs 91 crore would be given by the Central Water Commission (CWC), as per the statement.

"The CCEA also gave its ex-post facto approval for two-year time extension from July 1, 2018 to June 30, 2020," said the Ministry of Water Resources' statement.

The scheme envisages rehabilitation of 198 existing dam projects located in seven states -- Kerala, Madhya Pradesh, Odisha, Tamil Nadu, Karnataka, Jharkhand (Damodar Valley Corporation) and Uttarakhand (Uttarakhand Jal Vidyut Nigam Limited).

The project includes three components, the first being rehabilitation of a dam and its appurtenant structures, followed by institutional strengthening and project management.

"Originally, the total cost of DRIP was Rs 2,100 crore with state component of Rs 1,968 crore and Central component of Rs 132 crore," the statement said, adding: "Initially, it was a six-year project which commenced on April 18, 2012 with a scheduled closing on June 30, 2018."

The project implementation was granted in-principle approval for two years' extension in 2017 by the Ministry of Water Resources, River Development and Ganga Rejuvenation and the World Bank, with a revised closure date of the project by June 30, 2020.