Water ministry proposes new policy to regulate commercial use of water

A committee formed by the Ministry of Water Resources River Development and Ganga Rejuvenation on Friday submitted its report on 'the socio-economic impact of commercial exploitation of water by industries.

The major finding by the committee is that in the annual available groundwater, 6% is used for domestic drinking and industrial purposes. Of this, packaged and drinking water units extract 0.1% annually. A large number of licences in states have a significent number of 'over-exploited' groundwater units.

The committee has also issued a few recommendations. Firstly, they have suggested that packaged water industries should be set up on public-private partnership basis to ensure the government's role in a cost-effective manner. 
Secondly, the committee feels that imposing high tax rates on groundwater can be an effective deterrent against its indiscriminate use by industries. It is also recommended amending the Water (Prevention and Control of Pollution) Cess Act, 1977 to discourage wastage of water by industries.

The committee has also suggested that a robust national policy needs to be formulated to regulate the commercial use of water. The Indian Easement Act of 1882 that provides the right to extract groundwater should be amended to meet the present and future demand for water.