China had set aside Rmb53.87bn for the huge south-to-north water diversion project by the end of April, according to the head of the project office Zhang Jiyao. That figure was Rmb8.2bn more than the previously announced total of Rmb45.67bn given last November.

Zhang said several key projects along the eastern route had already been completed. The Danjiangkou Dam in Hubei province, the source of diverted water along the central route, is still under construction. About 330,000 people in the reservoir area will be relocated to neighbouring places.

The huge water diversion project is designed to divert water from the Yangtze River and its tributaries to the dry north. It consists of an eastern, central and western route; the eastern and central routes are already under construction, while the most controversial western route is still at the planning stage.

Construction on the eastern route began in December 2002, and on the central route in December 2003. The eastern route should be ready for water diversion to Jiangsu and Shandong provinces in 2013, and the central route will be ready to pump water to Beijing a year later, according to the project office.