Storage and Supply

This paper published on the International Environmental Law Research Centre (IELRC) website examines the reasons behind the new project and the institutional, financial and legal aspects of the Tirupur PPP.

It also examines important legal issues such as the right to water, competing interests in water, financing of projects, waste water management and the environmental consequences of the PPP. More particularly, it questions the wisdom of planning a water supply project that seeks to prioritize the needs of a polluting industry over the basic water needs of the region.

The New Tirupur Area Development Corporation Limited (NTADCL) is the first public private partnership, set up in 1995 primarily to supply industrial water to Tirupur, a major export centre for knitwear, in India. This water supply and sewerage project is also the first project to be structured on a commercial format; first concession by a state government to a public limited company to draw raw water for domestic and industrial uses and to collect revenues; the first index-based user charges and direct cost recovery for urban environmental services.

History of Water Privatisation in India

Failure of the public sector to provide water to all or to regulate its use that has formed the basis for those who argue that like other resources, water too must be more efficiently utilised.

National Water Policy 2002

Private sector participation should be encouraged in planning, development and management of water resources projects may help in introducing innovative ideas, generating financial resources and introducing corporate management and improving service efficiency and accountability to users.

Where the debate actually gets polarized is whether bringing in efficiency also means bringing in the private sector? Supporters of privatisation argue private companies are better placed to increase efficiency. Critics say private companies will raise tariffs making water unaffordable.

History of Jusco

Jamshedpur Utilities and Services Company (Jusco) is a wholly-owned subsidiary of Tata Steel, the flagship company of the Tata group, formed in 2003. It is the Tata vehicle in the emerging water sector in the country having the experience of managing water service in Jamshedpur city for over nine decades. According to the JUSCO website (juscoltd.com), JUSCO has been managing the water supply of Jamshedpur for the last 102 years. In addition to Jamshedpur and Mysore, it has water supply operations in Bhopal, Gwalior, Calcutta, Haldia, Muzaffurpur and Chennai. Mysore project is the third consecutive prestigious water project it has won (in 2008) — the other two are both build and operate (BOT) projects in Salt Lake Sector-V, Kolkata and the industrial city of Haldia. These three projects coupled with Jamshedpur have enhanced Jusco's credentials as the largest water supply developer and operator in the country. According to the website jipm.or.jp of the Japan Institute of Plant Maintenance, a public corporation under Japan's Ministry of Economics, Trade & Industry, JIPM gave out Total Productive Maintenance Excellence awards in 2008 to fifty companies all over the world and JUSCO was one of the awardees. According to the website globalwaterawards.com, JUSCO was one of just 4 nominees for the 2008 Water Company of the Year global award.

Problems with existing Vani Vilas Water Works in Mysore: (Source: http://www.mygrapa.blogspot.com/)

Mysore city water supply is suffering from many serious problems. A significant portion of customers do not have meters. Most of the meters are not working properly. There is plenty of leakage all over the city. As a result of these factors, only a small fraction of the water pumped into the city gets billed. Many customers do not pay their water bills. So MCC is collecting only a fraction of the amount due to it. Due to lack of revenue, maintenance of the system is not possible. In many localities, water is supplied once in few days. When it is supplied, the pressure is low. Quality of water supplied is also poor. So poor that one can not help wondering why we are not having epidemics every day! No one knows where all the underground pipes and valves are. As a result, in many cases, one can not even localize the problem. These problems are getting worse with time. After spending Rs. 130 crores of ADB loan to provide 24x7 water supply, we are pumping twice the water into Mysore, but the water problem is increasing. Neither MCC nor the Water Board seem to have the technical expertise required to run the water supply system efficiently. MCC does not have the determination to collect its dues in the face of political pressure. Without outside intervention, the situation will soon become irreparable. It is in need of emergency treatment. The only way out seems to seek the help of competent and experienced professionals. But such help does not come cheap.

Forwarded to the Portal by: Arun Tharakan

"90 % of the Plumbing industry workforce in India not professionally trained" "Lack of professionally trained plumbers a major drawback for country's construction sector"

The lack of plumbing infrastructure and a trained, certified workforce has long plagued the citizens of India, for whom 7.5 percent of deaths each year can be directly attributed to water and sanitation issues. In response, International Association of Plumbing and Mechanical Engineers(IAPMO) is working with the Indian Plumbing Association (IPA) and its training arm, the Indian Institute of Plumbing (IIP), to help the nation make big strides forward in both areas of need. IAPMO- Having already jointly developed the Uniform Plumbing Code-India (UPC-I), an extensive code of plumbing practice (published in February 2008) that will serve the construction sector in India for years to come, the organizations subsequently turned their focus to education and training. The ambitious Plumbing Education to Employment Program-PEEP is a comprehensive industry focused program with structured courses of study to develop plumbing design engineers, plumbing construction managers/supervisors and plumbing installers/repairers.

"Piped dreams". is a report by Lalitha Sridhar, written in November 2003, that examines the issue of quality of drinking water supplied to Indian homes today, and concludes that water quality must become a very serious concern for our public agencies, in order to solve the impending water crisis.

This document presents the draft Delhi Water and Wastewater Reforms Bill (2003) prepared by J Sagar Associates (JSA). The bill provides for constitution of a Regulatory  Commission for the water and wastewater sector, reorganization of the water and wastewater sector, rationalization  of water and wastewater tariff, increase avenues for participation of the private sector in the water and wastewater sector and taking measures conducive to the development and management of the water and wastewater sector in an efficient, commercial, economic and competitive manner in the National Capital Territory of Delhi and for matters connected therewith or incidental thereto.

Delhi jal board act (1998)

The Delhi jal board act, 1998 aims to provide for the establishment of a Board to discharge the functions of water supply, sewerage and sewage disposal and drainage within the National Capital Territory of Delhi and for matters connected therewith. The Government after the issue of the notification under sub-section (3) of Section 1, constituted the Delhi Water Board by notification in the official Gazette.

The term "Operation and Maintenance" has been used as a general concept covering a wide range of activities carried out by utilities, government and communities in order to sustain their services and to maintain existing capital assets.

Microorganisms occur in piped distributions from source water, through contamination during distributions and because of growth. Different organisms may cause a range of adverse health effects. Effective management varies with the organisms and their origin.

Performance improvement planning helps service providers in bringing about incremental improvements in services by applying the principles of commercial orientation and financial viability. This overview paper by the Water and Sanitation Program (WSP) South Asia of the World Bank, explores how such improvements can be undertaken so that they remain sustainable in the long run as well.

This presentation by M G Gopal of the Hyderabad Metropolitan Water Supply and Sewerage Board deals with the water issues faced in the city. The issues presented include – (a) Inter-sectoral allocation (b) Meeting the demand (c) Maintaining quality standards (d) Reducing unaccounted for water (e) Recycle and reuse (f) Promoting rainwater and conservation (g) Implementation of CDS and (f) Is ‘privatisation’, a solution or a disaster?