During the British rule in India, Mullaperiyar Dam was constructed with Periyar river as its source. The dam was actually built by the British under the coordination of Benny Cook. According to history Mullaperiyar dam was actually built to divert water from the west-flowing Periyar River toward the east. As per the 999-year lease period that was issued on the dam, the Tamil Nadu govt was given authority over operating the dam. According to the lease the rights over all the water of Mullaperiyar dam and its catchment areas was given for an annual rent of Rs.40,000. Mullaperiyar Dam caters to the needs of mainly five districts in Tamil Nadu namely Theni, Madurai, Sivaganga, Ramanathapuram, and Dindigul. This amounts to around 60,000 hectares of land. Water is brought to Tamil Nadu-Kerala border through a 1.6 km long tunnel and is then made to flow through open canals to Churuliyar river and then to Vaigai dam in Tamil Nadu.
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