Ponnani model sand purification project generates ₹100 crore revenue for Kerala government
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Kuttippuram
In a major boost to the state exchequer, the innovative Ponnani model sand purification project, implemented under a Public-Private Partnership (PPP) model, has generated approximately ₹100 crore in revenue for the Kerala government. Since its inception in 2017, the landmark programme has successfully processed and distributed over 12 lakh tonnes (1.2 million tonnes) of purified sand to the construction sector.
A sustainable PPP model
Under this pioneering initiative, sand accumulated at river mouths and estuaries is systematically dredged and scientifically purified before being distributed for construction activities. While the private partner invested in and constructed the processing plant and associated infrastructure, the state government retains full authority over pricing. This setup ensures that the government receives a steady stream of revenue through fixed royalty fees on the dredged sand, whilst keeping the final market price regulated.
Environmental and economic benefits
Officials highlight that this eco-friendly initiative serves a vital dual purpose. It ensures a consistent supply of premium-grade construction sand at affordable, fair prices, bringing stability to the regional building industry. At the same time, clearing the heavy sand deposits from river mouths improves the natural water flow, helps prevent localized flooding, and significantly enhances coastal security. This successful model demonstrates how environmental management and economic viability can seamlessly work together.