Existing AIBP criteria for funding is as follows
The continuation of AIBP was approved by the Cabinet in September, 2013 and new guidelines were circulated in October, 2013. The central assistance will be in the form of central grant for new and ongoing projects which will be:
(i) 90% central assistance (CA) of project cost (works Component) in case of special category States, and KBK region of Odisha.
(ii) 75 % CA of project cost in Special Area i.e. Major/medium projects benefiting drought prone area, desert prone area, tribal area and flood prone area in non special category states and
(iii) 25% CA of project cost in case of Non-special category States except for (ii) above. Could be enhanced upto 50% for new projects subject to condition that the States actually carry out water sector reforms
The balance funds are to be arranged by the State Government from its own resources.
During a financial year, the sanctioned grant will be released in two instalments:
(i) For projects receiving 25% CA, 90% (as 1st Instalment) after release of at least of 50% of State Share. And balance 10% (2nd Instalment) after obtaining the UC of minimum of 50% of CA released earlier; and
(ii) For projects receiving higher than 50 % CA, 50% (1st Instalment) after the State Releases its full Share and 50% (2nd Instalment) same as above.
MoU between Central and State Government has also been slightly modified with insertion of the para for the CAD works.