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Tuesday, Jul 01, 2008
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Minister hints at hike in water charge

Special Correspondent

N.K. Premachandran says KWA’s revenues are sufficient only to pay its power bills.

THIRUVANANTHAPURAM: Water Resources Minister N.K. Premachandran told the Assembly on Monday that the Kerala Water Authority’s finances pointed to the need for an increase in water charges. However, the government had not taken a decision. It was making all efforts to bring down losses from leakages and realise arrears.

The Minister was replying to the debate on the demands for grants for Water Supply and Sanitation, and Irrigation.

Mr. Premachandran said that water charges were last revised in 1999. Now the KWA’s revenues were sufficient only to pay for power, not to speak of maintenance costs and salaries. The power bills totalled Rs.136 core a year.

He said that water charges were the lowest in Kerala compared to Chennai, Bangalore and Hyderabad. For ten kiolitres of water, the KWA charged only Rs.20 where as it was Rs.50 in Chennai and Rs.90 in Hyderabad.

The KWA had managed to reduce supply system losses from 33 per cent to 29 per cent. It was making efforts to collect realisable arrears totalling Rs.290 crore.

The Minister said that clearance for projects costing Rs.550 crore under special projects assisted by National Bank for Agriculture and Rural Development had become a certainty. The KWA and the government had put up the projects in a short span of time for assistance. They were projects which had been remaining incomplete for more than one and a half decades (after the LIC withdrew assistance). The government was planning a total investment of Rs.4,500 crore in water supply, mainly to complete pending projects by 2010-11.

He said the government would be presenting its revised water policy before the House during this session. It was working on a master plan for drinking water. It had planned to form river basin and wetland authorities to protect water bodies. The management structure of the KWA was to be revamped.

In the irrigation sector, participatory water management was proposed to be extended to more areas after amendment to the laws. The revamping of lift irrigation projects was also on the anvil.

Later, the House passed the demands for grants totalling Rs.1,012.52 crore.

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