Mineral water, liquor and beer likely to get costlier in Maharashtra soon
The state has increased water tariff by 25 times for industries that fall under the bracket of breweries, carbonated soft drinks and liquor manufacturersmumbai Updated: Jan 20, 2018 13:07 IST
Packaged mineral water, liquor, beer and ethanol production could get costlier. The state hiked the bulk water tariff for industries that use water as a raw material. The Maharashtra Water Resources Regulatory Authority (MWRRA) has increased the tariff by 25 times for industries that fall under the bracket of breweries, carbonated soft drinks and liquor manufacturers. The revised tariff will come into force from February 1.
The MWRRA is a quasi-judicial body that shoulders the responsibility of equitable water distribution in the state. It sets tariff to allow drawing of water from the state’s water resources and charges cess on it.
According to KP Bakshi, chairman, MWRRA, they set a tariff for these industries to Rs120 per 1,000 litres compared to Rs4.80 for other industries that use water as a cooling agent.
Currently, breweries, mineral water companies, among others, are being charged Rs16 per 1,000 litres, while other industries were charged Rs3.20.
“We have created two different categories within the industrial sector,” said Vinay Kulkarni, Member, MWRRA, Water Resources (Engineering).
Officials said the cost of products could be impacted because the water tariff has been hiked considerably for industries.
“We have done extensive public consultation and have come up with the new tariff. The water tariffs are hiked for all the types of consumers — household, agriculture and industries,” said Bakshi. The tariff revision was last done in 2010, Bakshi added.
Meanwhile, Mumbai is not affected by the change in tariff as the Brihanmumbai Municipal Corporation (BMC) owns its dams. The MWRRA has marginally increased the tariff for municipal corporations with a population of more than 50 lakh by 16% of the 25 paisa standard rate. “The impact on Mumbai would be very little. Now, it is up to the corporation to absorb the impact of the new tariff or pass it on to the end user,” Kulkarni said. Of the dams that supply water to Mumbai, only Bhatsa dam is owned by the state, and the BMC has pooled in funds to build that dam and hence the cess to be levied will be lower, officials added.