Tamil Nadu Chief Minister K. Kamaraj inaugurated the Neyyar Left Bank Canal Scheme in Kaliyakkavilai on February 10, 1959, as a landmark symbol of inter-state cooperation with Kerala.
The irrigation project was designed to supply water to 9,000 acres in the Vilavancode taluk of Kanniyakumari district, yielding an estimated 20,000 tonnes of rice annually.
Although an informal understanding existed for Kerala to supply 150 cusecs of water, a formal cost-sharing agreement proposed by Tamil Nadu in 1971 was never finalised.