BMC dismayed by Sena-BJP's refusal to hike in water tariff

The Brihanmumbai Municipal Corporation ( BMC) administration has expressed serious concerns over the ruling Shiv Sena- BJP's reluctance to increase water tariffs. The continual supply at low rates is expected to hamper civic body's future water supply projects in a big way, they said.

While presenting the annual budget for 2011- 12, civic chief Subodh Kumar had strongly stressed on phase- wise increase in tariff for water supply. He said, the operation and maintenance cost of water supply projects currently stands at Rs 287 crore per year. On the completion of future projects like Middle Vaitarana, Gargai and Pinjal, the cost will rise to Rs 544 crore per year. Development of new sources will result in increase in revenue at present tariff.

However, due to increase in operation and maintenance cost to distribute additional water and also due to debt charges, the cost of production will also increase phase- wise. Hence to achieve 100 per cent cost recovery of projects, it would be necessary to increase the tariff for water supply phase- wise, he added.

But barely minutes later, Shiv Sena leader and standing committee chairman Rahul Shevale nipped Kumar's logic for a tariff hike in the bud, as he vehemently refused to a hike and instead put the onus on the central government to help the BMC in its water supply projects. " The centre has aided several municipal corporations like Chennai for their water supply projects like desalination. Similarly if it supports BMC, the people of Mumbai will not suffer from increase in water charges." The ruling alliance had thwarted the administration's several earlier attempts to increase water charges. Due to fear of a political outcry, the administration had deferred its plan to hike water tariff.

The continued refusal of Sena- BJP towards a tariff hike has added to the dismay of civic officials. " Nowhere in the country you get water at such cheap rates. If we continue to supply water at such low rates, our future water supply projects will suffer in a big way," a senior official from hydraulic department said.

The BMC generates water at Rs10.40 per kilo litre, and supplies it to middle- class housing societies at just Rs 3.50. Supply to slums is made at an even cheaper rate due to political pressure.

According to the civic officials, Sena- BJP's refusal to hike water charges is aimed at civic elections due for next year.