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Maharashtra govt hikes water tariff for agriculture, domestic and industrial sectors

Tariff for agriculture and domestic use increased by 17 per cent; for industries hike is 50 per cent

Maharashtra, Water Tariff, Agriculture, Farmers, Maha water tariff hiked, Indian Express The agriculture sector has been offered 50 per cent incentive by mandating the use of drip irrigation and becoming part water users’ association that would help offset the 17 per cent hike. (Representational)

The state government on Friday announced 17 per cent hike in bulk water tariff sourced from dams for agriculture and domestic sectors and 50 per cent for industries. The decision comes with provisions to ensure that the increase in tariff does not impact the consumer beyond Re 1 to Rs 1.50 a month per family, said the Maharashtra Water Resources Regulatory Authority Chairman, K P Bakshi. The hike would be enforced from February 1.

Water tariff for individual farmers for kharif, rabi and summer crops per 1,000 litres is 4.5 paise, 9 paise and 13.50 paise, respectively. If farmers become part of the water users’ association and adopt drip irrigation, they would get 50 per cent concession in the tariff, said an official. Rates for industrial use water directly sourced from dams, for mineral water and breweries, per 1,000 litres would will be Rs 120. Earlier, it was Rs 16 per 1,000 litres. Tariff for non-luxurious segment industries would be Rs 4.80 per 1,000 litres.

Industries might invite penalty of one-and-a-half times of the new tariff if they withdraw excess water that would calculated on the basis of utility and production. The state has allocated 10 per cent water for industries, 40 for agriculture and 60 per cent for domestic use. The water drawn from dams for domestic (drinking purposes) by gram panchayats, municipal councils and municipal corporations would invite a standard rate per 1,000 litres at 15 paise, 18 paise and 25 paise, respectively.

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The government has recommended installation of water treatment plants to local bodies. Recycled water can be sold to industries and agriculture sector to generate revenue that would help cushion the hike and sustain the operation cost, officials said.

The agriculture sector has been offered 50 per cent incentive by mandating the use of drip irrigation and becoming part water users’ association that would help offset the 17 per cent hike. Industries using recycled water would be given 25 per cent incentive on the new tariff.

Festive offer

Bakshi, announced the new bulk water tariff rates, along with revised allocations of water where highest priority is accorded to drinking water, agriculture and industries. The revised tariff will help the government mop up an additional revenue, from the current Rs 650 crore to Rs 10,086 crore. The ministry of water resources, the nodal department responsible for sectoral and equitable water allocation, had set a target of Rs 14,000 crore. But after consultation with the stakeholders, including domestic, agriculture and industries sectors, it was decided that the course correction cannot exceed Rs 10,086 crore.

A senior officer in the water resources ministry said: “The objective of the water tariff hike is not to mobilise higher revenue. Moreover, the state government has taken the decision to offset the increase in the agriculture sector in the next five years to ensure that the farmers are not impacted.”

First uploaded on: 20-01-2018 at 08:59 IST
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