Hyderabad, July 24: Hyderabad Metropolitan Water Supply and Sewerage Board (HMWS&SB) is caught between the devil and the deep blue sea. The state government has decided to increase the power tariff from August 1. This would hit the Water Board badly, as it would have to bear an additional burden of Rs 3 to 3.5 crore per month for power consumption. Already, the Water Board is in a severe financial crisis and is not in a position to bear the additional expenditure.
The Water Board therefore, has decided to approach the government to allow them to effect a steep tariff hike or grant a subsidy to bail it out from the financial quagmire.
Presently, HMWS&SB pays Rs 18 crore per month to AP Transco towards power charges for pumping water from the Krishna Drinking Water Phase I and II, to draw 180 MGD of water and 140 MGD from the Singur and Manjira reservoirs.
With the proposed increase in power tariff, the board would have to shell out around Rs 21 crore per month.
For the last seven years, the Water Board has been requesting the state government and the AP Electricity Regulatory Commission (APER C) not to treat it as an industrial consumer. Their contention is that it is not a commercial organisation, as it is supplying potable drinking water to consumers as a social responsibility. The Water Board has been requesting the state government to charge power tariff on par with domestic consumption which is Rs 1.40 per unit. Presently, the power department is levying a charge of Rs 2.70 per unit and with the proposed hike, it would be around Rs 3.25 per unit.
Officials pointed out that a kilolitre of Krishna water costs Rs 25 to Rs 30 as compared to Rs 3.50 per kilolitre in the case of Osman Sagar and Himayath Sagar and Rs 20 each for Singur and Manjira. The power tariff structure should be revised as the the Water Board supplies drinking water and 90 percent of its consumers are under the domestic category, they added.
–Agencies