Following the success of the Illupur check dam, the Water Resources Department (WRD) has proposed a ₹22-crore project to construct another check dam across the Kosasthalaiyar at Lakshmivilasapuram, 20 km upstream of the Poondi reservoir. This initiative aims to retain surface water flow for 3-4 km upstream and improve groundwater levels by up to 3 meters.
Benefiting nearly 5,000 residents in surrounding villages, the new dam will store approximately 30 million cubic feet of water, aiding in drinking water supply, agriculture, and animal husbandry. With a flood discharge capacity of 55,000 cubic feet per second, the dam is expected to bring significant ecological and economic benefits to the region, enhancing agricultural productivity and sustainable groundwater management.