India may become water scarce country by 2025: Report

  • PTI, Mumbai
  • Updated: May 24, 2015 17:14 IST

Although India is set to become water scarce country by 2025 due to demand-supply mis-match, the water sector is expected to see investment of $13 billion from overseas players in the next few years, a new study has said.

"India's demand for water is expected to exceed all current sources of supply and the country is set to become water scarce country by 2025.

"With increasing household income and increasing contributions from the service and industrial sectors, the water demand in the domestic and industrial sectors increasing substantially," says a study conducted by EA Water, a leading consulting firm in water sector.

Nearly 70% of country's irrigation and 80% of domestic water use comes from groundwater, which is rapidly getting depleted.

However, overseas players from Canada, Israel, Germany, Italy, United States, China and Belgium sees big investment opportunity worth USD 13 billion in the domestic water sector.

The industry is expected to receive Rs 18,000 crore in the next three years, the report said.

The country provides huge opportunities across the spectrum in infrastructure development for water supply and wastewater management.

The industrial market is going to be the big opportunity till 2020, with growth in wastewater recycling and industrial water treatment, the report said.

Maharashtra is emerging as a hub for the water sector.

Over 12 international companies have already set up design and engineering centers in Mumbai and Pune.

At present, there are more than 1,200 companies dealing in water and wastewater treatment in the state, mainly cater to the small and medium sector.

Pune and Nashik are going to be large hubs for manufacturing and fabrication industry in pumps, instrumentation and monitoring equipment.

A centralised wastewater treatment and recycling plants is under planning stage for Mumbai and Pune city, the report said.

With Modi government's planned investments in the water sector through the Ganga River Cleaning project, the Smart Cities initiative and the Swachh Bharat campaign, the industry is also hopeful of creating over 1 million jobs, it said.

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