Mumbai News: BMC Increases Water Tax By 8%

Mumbai News: BMC Increases Water Tax By 8%

The civic body has not increased the water tax since 2020, owing to the Covid-19 pandemic

Kalpesh MhamunkarUpdated: Friday, November 17, 2023, 08:54 PM IST
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Representational photo | File

Mumbai: The BMC administration has approved an 8% increase in water charges in Mumbai. The BMC had not increased the water tax since 2020, owing to the Covid-19 pandemic.

BMC Administrator Dr Iqbal Singh Chahal has accepted the proposal made by the hydraulic department. Now, BMC can collect the revised water tax from June 16.

Reasons for increase in charges

According to a proposal made by the hydraulic department, they have to spend so much on administration charges. Royalty amounts need to be paid to the state government for fetching Bhatsa dam water, maintenance of machines, walls of the dams and electricity charges.

Officers of the hydraulic department said that they have not received a copy of the approved proposal. Once they get it, an advertisement will be issued in the newspapers mentioning rates to make citizens aware.

The BMC supplies 3,950 million liter water per day to the Mumbaikars. There are seven lakes in Mumbai which have a total storage of around 14.50 lakh million litres of water. The BMC administration spends thousands of crores of rupees every year on the maintenance of dams, water supply lines, water purification process and security of the dams.

The civic body charges different rates to different entities where domestic users have to pay a nominal rate and relatively higher charges for the industrial purposes and water selling companies.

In 2012, the BMC Standing Committee had given rights to administration to increase the water tax not more than at the rate of 8% every year. Accordingly, every year from June 16, the administration implements water tax hike. But considering Covid-19 pandemic, taxes were not changed in 2020-21 and 2021-22.

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