The Union budget presented in Parliament on Thursday has provided an allocation of Rs. 150 crore for a neighbourhood development project at Kudankulam in Tamil Nadu, where a 2000 MW nuclear power plant is coming up.

The provision follows the Tamil Nadu government’s announcement of a Rs. 500 crore development plan for the region around Kudankulam. A note in the budget document stated that the allocation would be used to provide relief and rehabilitation to “project-affected” people of the area.