President Nana Addo Dankwa Akufo Addo over the weekend cut the sod for the project to begin after years of being on the drawing broad since in the 1960s.
The project when completed would alleviate challenges the farmers in Talensi District face such as irrigation, hydroelectric power generation and flood control from Bagre Dam in Burkina Faso.
The historic project is being executed by the China Sinhydro Company and it is expected to be completed in four years two months.
Speaking at the function, President Nana Addo said the project was in fulfillment of the ruling New Patriotic Party's (NPP) promise to the people of the region during the 2016 electioneering campaign to as a matter of urgency control perennial flooding in the area which often result in the destruction of properties and loss of lives.
The farmers could not hide their appreciation because to them the project would create jobs for the teeming mass of youth as a result of the availability of water for all-year round agriculture and other employable activities.
The overlord of Mamprugu Traditional Area, Naa Bohagu Abdulai Mahami Sheriga noted that the project would boost rice production and help revive the Pwalugu Tomatoe factory which is currently defunct and finally alleviate poverty in the region.
The Upper East Region is the poorest region in Ghana but the current government says it is doing everything possible to reduce poverty through its “one village one dam policy”.