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Hyderabad to face 100% water tariff hike

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Deccan Chronicle              30.08.2013

Hyderabad to face 100% water tariff hike

Picture for representational purpose only.

Hyderabad: Industries and commercial establishments in and around the city should brace for a steep hike in drinking water tariff as the Hyderabad Water Board has proposed a 100 per cent hike. However, domestic consumers will be spared.

Department officials will make a detailed presentation to Chief Minister Kiran Kumar Reddy regarding the necessity to hike the tariff.

The CM’s approval is mandatory to revise tariffs as he is the chairman of the Water Board. “We are expecting to meet the Chief Minister within a week,” said a senior official.

The Water Board, which hopes to raise Rs 600 crore through the tariff hike, has blamed the electricity tariff hike and FSA charges in power bills for compelling it to propose the tariff hike.

Sources said that the Board’s expenditure has crossed Rs 1,000 crore against its annual income of Rs 750 crore. The establishment charges are all set to go up due to the pay revision. Water tariff had been hiked for consumers of all categories in December 2011.

The Board consumes huge electricity to pump Krishna, Manjira and Singur water to the city and its electricity dues have touched nearly Rs 300 crore.

Highly placed sources told DC that Water Board officials have also proposed an “annual automatic tariff revision” for all category consumers in addition to the main proposal of 100 per cent increase in water tariff for industrial and commercial consumers.

There are 1,500 industrial and water-based industrial connections that together pay nearly Rs 220 crore water bills every year. The Board wants to collect over Rs 440 through the hike.