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7. It is the allegation of the petitioners that in 2002-03, the State of Karnataka granted unilateral sanction and approval to respondent No. 4 to construct and operate a Mini Hydel Power Project to generate 4.5 Mega Watts power using the water of RDS without the consent of the State of Andhra Pradesh. An agreement was entered into between the State of Karnataka (respondent No. 2) and Sree Swarna Energy Limited--a private Company (respondent No. 4) on September 26, 2003. The action was taken by respondent No. 2 - State of Karnataka illegally and unlawfully with a view to oblige respondent No.4. Apart from the State of Andhra Pradesh, approval or consent of other riparian State, i.e. the State of Maharashtra was also not taken nor was the matter referred to Central Electrical Authority (CEA) or to Central Water Commission (CWC). As the lowest riparian State, the State of Andhra Pradesh will suffer the most. Moreover, the execution of the Power Project was entrusted to a private agency. It was alleged that one Mr. Y.V. Subba Reddy, who is the Managing Director of the Company is co-brother of Dr. Y.S. Rajasekhar Reddy, Hon'ble the Chief Minister of the State of Andhra Pradesh. Thus, the project has been entrusted to respondent No. 4 with a view to oblige the said respondent. The Power Project would remain in operation for a period of thirty years from the date of commissioning of the power house and as per the term in the agreement, thereafter it would be handed over to the State of Karnataka. But in the agreement itself, there is a stipulation for renewal at the option of the company for a further period of twenty years. Thus, virtually, the power project has been assigned to an individual operator and put in the hands of private- management for a period of half a century.

12. On merits, it was contended that the grievance raised by the petitioners that the Mini Hydel Power Project would consume water is totally unfounded and ill-conceived. The scheme contemplates production of electricity on the run-off-the-river technology which involves `no consumptive utilization of water' at all.

13. The scheme works thus;

"a. A separate canal would be cut at a distance of about 120 metres above the Rajolibanda Diversion.

b. It is the surplus water which would be utilized under the Mini Hydel Scheme.

"Whether the State of Karnataka is entitled to construct Mini Hydel Power Project from the common bondage of Rajolibanda Diversion Scheme without the consent of State of Andhra Pradesh?"

47. Thus, the question of construction of Mini Hydel Project, challenged in the present proceedings, is very much before the Tribunal constituted under the Act and the matter is sub judice. It also appears that the State of Andhra Pradesh prayed for interim relief in respect of above issue by filing Interim Application No. 8 of 2006 before the Tribunal. One of the prayers in I.A. 8 of 2006 related to `Rajolibanda Anicut Mini Hydel Scheme' and injunction was sought restraining the State of Karnataka from constructing or proceeding with the said project. The Tribunal, however, did not grant interim relief by an order dated November 15, 2006.

"10. The question related to Clarification III was dealt with in paragraph 7 of the said order. It is pointed out by Mr. Gupta that the Tungabhadra Board mentioned in paragraph 2.1 of the said order was not in control of the Rajolibanda Diversion Canal. It seems that this may be through oversight or due to absence of specific information being made available to this Tribunal. It may be a case that this part of the river being in the mid stream may not be within the control of the Tungabhadra Board, though, however, the release of water for the Diversion Canal is regulated by the said Board, but then it would make no difference because of the reasoning given in paragraph 7.1 of the said order. The Hydel Power Scheme, as it appears at the moment, for diversion of water to the Hydel Power Canal at Rajolibanda, proposes to utilize electronic sensors, which would not operate until the level of water is 15 cm above he anicut. The depth of the sill level of Rajolibanda Diversion Canal being 1082 ft. compared to the crest level of the anicut at 1090 ft. is sufficient at the moment to divert sufficient water in Rajolibanda Diversion Canal for the purpose and object it was conceived and constructed to enable AP to receive major part of the water through Rajolibanda Diversion Canal. Even if the sill level of the Hydel Power Canal is at 1083 ft., it will not operate until the water level is 15 cm above 1090 ft. If it is so from the argument made by Mr. Holla, it does not seem that there will be any effect on the diversion of water in Rajolibanda Diversion Canal. If the water level is 15 cm above he anicut, then there will be sufficient water to cater both to Rajolibanda Diversion Canal and the Hydel Power Canal. If it is up to 15 cm; no water will flow to the Hydel Power Canal but if it is above 15 cm, then water would have gone directly to the mainstream and it would be so going both over the anicut and through the Hydel Power Canal since this diversion joins Krishna ultimately downstream the anicut.