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India's draft Water Policy favours PPP model for water services

The draft water policy unveiled on January 31 emphasizes water use efficiency. (India Water Review file photo)

New Delhi : The Union Government on January 31 released the draft National Water Policy, 2012 which has laid emphasis on the need for a national water framework law, comprehensive legislation for optimum development of inter-State rivers and river valleys, public trust doctrine and amendment of the Indian Easements Act, 1882.

The draft policy has termed water as an "economic good" and supported pricing of water to maximise its value. It has also stipulated need and approaches towards enhancing water availability besides emphasising on water use efficiency.

The Government has been holding consultations with all stakeholders in the water sector for drafting the National Water Policy, which Water Resources Minister Pawan Kumar Bansal has indicated will be unveiled in March 2012.

The first water policy was adopted by National Water Resources Council in 1987. This was revised and updated in April 2002.

The draft policy, which has been posted on the website of Ministry of Water Resources, has been put open for comments till February 29. After carrying necessary modifications, it would be placed before National Water Board and National Water Resources Council for finalization and adoption.

According to the draft policy, the “Service Provider” role of the state should be gradually shifted to that of a regulator of services and facilitator for strengthening the institutions responsible for planning, implementation and management of water resources.

The water related services should be transferred to community and/or private sector with appropriate “Public Private Partnership” model.

The draft policy says a system to evolve benchmarks for water uses for different purposes, i.e., water footprints, and water auditing should be developed to ensure efficient use of water. Project financing has been suggested as a tool to incentivize efficient & economic use of water.

Also, provision of setting up of Water Regulatory Authority and adequate water pricing to incentivize recycle and re-use has been specified.

The draft policy presents a holistic picture of ecological need of the river rather than restricting it to only minimum flow requirement. It states that the ecological needs of the river should be determined recognizing that river flows are characterized by low or no flows, small floods (freshets), large floods and flow variability and should accommodate development needs.

A portion of river flows should be kept aside to meet ecological needs ensuring that the proportional low and high flow releases correspond in time closely to the natural flow regime.

The draft policy also recognizes the need to adapt to climate change scenario in planning and implementation of water resources projects. Coping strategies for designing and management of water resources structures and review of acceptability criteria have been emphasized.

Mapping of the aquifers to know the quantum and quality of ground water resources (replenishable as well as non-replenishable) in the country has been proposed with provision of periodic updation.

The draft policy says Water Users Associations should be given statutory powers to collect and retain a portion of water charges, manage the volumetric quantum of water allotted to them and maintain the distribution system in their jurisdiction.

It also proposes reversal of heavy under-pricing of electricity, which leads to wasteful use of both electricity and water.

The proposal is expected to face some opposition as several state governments have been providing almost free electricity to farmers, a move that has resulted in overdrawal of groundwater across several regions.

The draft policy also recognizes encroachment and diversion of water bodies and emphasizes the need for their restoration with community participation.

It has also proposed setting aside a suitable percentage of the costs of infrastructure development, which along with collected water charges, may be utilized for repair and maintenance. Contract for construction of projects should have inbuilt provision for longer periods of proper maintenance and handing over back the infrastructure in good condition.

The policy says there is a need to remove the large disparity between stipulations for water supply in urban areas and in rural areas to bring equality between rural and urban people.

It has proposed a forum at the national level to deliberate upon issues relating to water and evolve consensus, co-operation and reconciliation amongst party States. A similar mechanism should be established within each State to amicably resolve differences in competing demands for water amongst different users of water, as also between different parts of the State.

Appropriate institutional arrangements for each river basin should be developed to collect and collate all data on regular basis with regard to rainfall, river flows, area irrigated by crops and by source, utilizations for various uses by both surface and ground water and to publish water accounts on 10 daily basis every year for each river basin with appropriate water budgets and water accounts based on the hydrologic balances.

Dwindling water supply in India spurs call for reforms

India has more than 17% of world’s population, but only 4% of its renewable water resources and 2.6% of land area. The nation is reportedly the largest user of groundwater, with 14 of its 20 river basins considered water-stressed.

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