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Hike in water charges on the anvil

The increase in water and other taxes was proposed long back by the Thane Municipal Corporation (TMC) as it has been incurring heavy losses. In the next meeting, this topic will be discussed and if approved, residents will have to cough up more.

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The increase in water and other taxes was proposed long back by the Thane Municipal Corporation since it has been incurring heavy losses
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Come June 1 and Thanekars may have to pay increased property, water and other taxes. The proposal was tabled for discussion in the general body meeting on Wednesday and chances are that taxes will be hiked.

The increase in water and other taxes was proposed long back by the Thane Municipal Corporation (TMC) as it has been incurring heavy losses. In the next meeting, this topic will be discussed and if approved, residents will have to cough up more.

Sandeep Malvi, deputy civic chief, said, "The annual expenditure of the water department is around Rs250 crore, whereas the earning are just Rs110 crore. The rate of purchasing water from other sources too has gone up and hence increasing water charges is unavoidable."

If this hike is approved, the corporation stands to earn around Rs30 crore annually. The daily water requirement of the city is 410 million litre daily. STEM water distribution and infrastructure company, a joint venture of three civic bodies and zilla parishad, has increased supply rates by nearly Rs1,000 per MLD. This comes into effect from July.

"The revision in supply charges by the private body has forced the civic body to increase water charges. Earlier, the corporation paid Rs6,500 for every MLD, which goes up to Rs7,500 after the increase in supply charges," said a civic official.

TMC is not only incurring huge losses, but has also failed to meet the revenue target of the last financial year. If the water charges are not increased, additional expenditure towards water procurement and supply management would just add to its existing woes and it will incur additional loss of Rs15 crore.

Activist Rajiv Datta, who has been taking up water issues of the city said, "As the private supplier has increased the supply charges, the hike in water charges is justified. But at the same time, in wake of increasing population, the TMC should also take step to generate alternative sources of water supply to meet the requirements of the population of around 20 lakh."

He added, "The TMC collects good amount of money from developers to ensure uninterrupted water, but that money is used for some other purpose."

Meanwhile, nod for increase in property transfer fees, certificate fees and others is also on cards.

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