The National Perspective Plan (NPP) was prepared by the then Ministry of Irrigation (now Ministry of Jal Shakti) in August 1980 for water resources development through inter basin transfer of water, for transferring water from water surplus basins to water-deficit basins. Under the NPP, the National Water Development Agency (NWDA) has identified 30 links (16 under Peninsular Component & 14 under Himalayan Component) for preparation of Feasibility Reports.
- River linking will be a solution to recurring droughts in Bundelkhand region.
- ]It will curb the rate of farmers suicide and will ensure them stable livelihood by providing sustainable means of irrigation (6 lakh hec of land) and reducing excessive dependence on groundwater.
- It will not only accelerate the water conservation by construction of multipurpose dam but will also produce 75MW of electricity and will supply drinking water to 13 lakh people.
- It will provide employment during the execution of the project.
- The afforestation programme could be implemented on canal banks resulting in environmental improvement.
- The communication system will improve because of canal roads and CD works raising marketing opportunities.
- The formation of the reservoirs will help tourism development, fish and aquaculture, bird sanctuaries etc.
- Construction of Daudhan dam will result into submergence of 10% of critical tiger habitat of MP’s Panna Tiger Reserve that will adversely affect the tiger conservation efforts.
- Height of the dam (77 meters) will affect the nesting sites of vulture.
- Construction of one of the barrages inside the Ken Gharial Sanctuary will adversely affect the sustainability of the sanctuary.
Submergence by Daudhan and Makodia reservoirs will result into displacement of 20,000 people of the bundelkhand region and will give rise to rehabilitation issues.