Delhi govt, state bureaucracy now battle over water
A senior DJB official said the delay in funds could impact work on the development and upgradation of sewage treatment plants, rejuvenation of the Yamuna, and the laying and replacement of sewer and water lines.
Water is the subject of the latest instalment of the long-running feud between the union territory’s elected government on one side, and its bureaucracy and the lieutenant governor on the other with Delhi’s Aam Aadmi Party (AAP) government warning of a looming water crisis in the capital, attributing this to finance secretary Ashish Verma for stopping the release of a tranche of funds to the Delhi Jal Board (DJB), and Verma saying that it is wrong to claim that water supply or sewage treatment will stop in the city.

Delhi water and finance minister Atishi has blamed Verma for stopping the second installment of the grant-in-aid and loans to the water utility and demanded his suspension. She has also written to LG VK Saxena asking for his intervention , claiming that the national capital might plunge into a “man-made” water and sanitation crisis in coming days.
Verma said the government only provides loan and grants only for new works and funds for these projects are to be released on basis of progress on ground. “ ₹1,598 crore was already released to DJB in June. Further funds will be released on basis of evidence of progress of works and geotagging for ensuring that public funds are not being misappropriated,” he said.
To be sure, core services are managed by DJB’s own employees and are unlikely to be stopped in the near future. ”Running of water and sewage treatment plants is DJB”s own responsibility. It is wrong to say that water supply or sewage treatment will stop,” explained Verma.
MCD has also faced similar financial crises over the last decade, with delays in payments to contractors, salaries and delays in development projects.
Verma added that the government does not give funds to DJB for payment of salaries or repairs and maintenance. “These are to be met from DJB”s own revenues. The government provides loan and grants only for new work and funds are to be released on basis of progress on the ground.”
LG secretariat officials did not comment on the letter from Atishi.
A senior DJB official said the delay in funds could impact work on the development and upgradation of sewage treatment plants, rejuvenation of the Yamuna, and the laying and replacement of sewer and water lines.
In her letter dated November 21, the water minister has said that it is very alarming that the finance department of the Delhi government has refused to to release the funds that have already been allotted to DJB in the budget 2023-24 passed by the Delhi assembly. “This is routine governance procedure and never in the past has finance department raised so many objections to stall the release of the routine installments of the grant in aid and loan to DJB. Under Verma, finance and planning department have been posing new and different objections each time the previous objection is resolved,” Atishi wrote in the letter, a copy of which has been reviewed by HT.
According to a note from the accounts department of DJB dated November 8, in the 2023-24 budget , ₹4839.50 crore was approved and an installment of ₹1598 crore was released in May 2023. “As on October 31, the pending demand is ₹910 crore but the same can not be disbursed as sufficient funds is not available under respective head of accounts. As per payment schedule, 2nd installment was due in October and accordingly utilisation certificates along with other documents were sent by DJB on September 12, 2023,” according to the document.
The note added that the department was asked to submit work wise details on fund utilisation of the first installment. “Although most of these details have been provided earlier, updated details have been sent again on November 9,” it said.
Of the pending ₹910 crore, ₹440 crore is for water works and ₹470 crore, sewers.
Atishi said in her letter that Verma’s obstructionist tactics have led to a severe resource crunch in the DJB due to which the vendors of DJB have not been paid and have now refused to do even routine maintenance and cleaning work essential for maintaining the water supply and providing a functional drainage system in the capital. “Water tankers are refusing to ply and provide water to the slums of Delhi. This is bound to lead to a public health crisis and an epidemic-like situation in Delhi. It is shocking how an officer alone is holding the whole of Delhi to ransom with his shameful obstructionist tactics,” she added.
She has also alleged that this not the first instance when complaints have come up against finance secretary. “I have myself previously complained about his insubordinate behaviour in the past, and his unwillingness to follow clear, written instructions of the Minister-in-charge.”
The minister said that she had called for a meeting on November 15 with the heads of the urban development and finance departments and DJB to discuss the release of the second instalment of funds to DJB but Verma refused the meeting.
DJB Contractors Welfare Association in a communication to DJB on November 17 has stated that they will stop all ongoing work, including work related to fixing water leakage, maintaining water supply, cleaning sewerage lines, replacing old pipelines among others.
HT reached out to two contractors but they did not comment on the matter.
A DJB official said presently there is no crisis of water supply in the city.
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