JAIPUR – In a symbolic move born out of desperation, contractors for Rajasthan’s Public Health Engineering Department (PHED) have turned to divine intervention to resolve a crippling financial deadlock with the state government. On the third day of their indefinite protest at Jal Bhawan, the headquarters of the water department in Jaipur, members of the All Rajasthan P.H.E.D. Contractor Union (ARPCA) gathered at the complex’s temple to recite the Hanuman Chalisa.
The contractors claim that the “system has gone dry,” leaving them with no choice but to pray for the government’s “sensitivity” to return after multiple administrative assurances proved hollow.
A Massive Debt: The ₹4,500 Crore Crisis
The protest, which began as a “Mahaparao” (indefinite sit-in) on April 13, 2026, stems from a massive accumulation of unpaid dues that has brought state-wide water projects to a grinding halt. According to union leaders, the total outstanding debt from the department now stands at approximately ₹4,500 crore.
The financial crisis is divided into several key sectors:
- Jal Jeevan Mission (JJM): Approximately ₹2,600 crore in payments has been pending for the last 33 months.
- Amrut 2.0: Dues exceeding ₹900 crore remain unpaid.
- GST Reimbursements: Nearly ₹1,000 crore in GST, which contractors have already paid out of pocket, has not been reimbursed by the department.
Contractors on the Brink of Collapse
The prolonged delay has triggered a domino effect across the state’s infrastructure. Contractors report that they are now unable to pay laborers or staff, leading to severe distress for hundreds of families.
- Credit Freeze: Suppliers of construction materials have stopped providing goods on credit due to the mounting debt.
- Bank Pressure: Many contractors are on the verge of defaulting on heavy bank loans taken to complete projects, facing mounting interest and loss of social reputation.
- Stalled Projects: The “slow pace” of development has transitioned into a total shutdown in several areas, threatening the water supply of “thirsty Rajasthan”.
Ultimatum: Seven Days to Solution or State-Wide Shutdown
During a press conference at the Pink City Press Club, the union issued a final warning to the state government. If the pending payments are not deposited directly into their bank accounts within seven days, the agitation will escalate to a state-wide disruption.
The union has announced that on April 21, 2026, all PHED pump houses across Rajasthan will be shut down for two hours as a mark of protest. Contractors warned that if the government continues to ignore their “marve” (pathetic) condition, a complete shutdown of water projects will follow, which could leave the entire state without water.
“When the contractors who quench the thirst of Rajasthan are themselves struggling for a morsel of food, how can the state’s development continue?” questioned the union during the protest.