Industries urge state to reconsider water tariff hike

The recent hike in water cess by the Orissa government has drawn flak from the industries in the state which have urged the government to do a relook at the move.

Industry representatives have argued that the state government's recent spurt in water cess is unjustified and have demanded that the government need to come out with a white paper on the availability of water so that the industries can plan on their projects accordingly.

"The state government needs to have two charges on the use of water by industries- fixed charges and variable charges so that the industries don't have to pay for the water when they are not using it”, said a representative of Arati Steel Ltd.

The industrial users have also stressed on the need for expediting the requisite clearances for allocation of water.

"The allocation of water takes more time and the process is very lengthy. The Single Window system is not functioning at all. Besides, the hike in water tariff announced by the State Cabinet on July 29 last year needs to be reviewed”, JSL Ltd pointed out in a statement.

Balasore Alloys Ltd has also stated that there are delays in getting clearances for surface water withdrawal from the state water resources department.

The Orissa Spnge Iron Manufacturers' Association has termed the water rate in the state as 'excessively high' and has called for a rational rate which will encourage the establishment of industries in the state. It has further stated that the water rates should be made applicable only on actual quantity of water used in the manufacturing process and and not on other uses.

"The water charges for the industry have been recently increased by nearly 750 per cent. The jump is too high and has huge financial impact on the industry. This increase should be reconsidered”, Tata Sponge Iron said in a statement.

The industry leaders voiced their concerns at an interactive session on 'Industrialisation in Orissa: Issues & Challenges', organized here by the Confederation of Indian Industry (CII).