The Madhya Pradesh government has admitted that the first build-own-transfer (BOT) based private industrial water supply project of the state is running into rough weather. The project is faulty and the company responsible for it — MSK Projects (India) Ltd — is unable to supply the required quantity to industrial areas in Dewas, some 148 km west of Bhopal.
The project lifts water from the Narmada, 128 km from Dewas at Nemawar village, and carries it through 600 mm pipelines to Nagda Hills. From there, it is supplied to industrial areas in Dewas.
The company, on the other hand, is saying that it is supplying sufficient water to industries but they are not lifting the available water. Data available with Business Standard reveals that on an average the company has supplied around three million litres per day(mld) of water to the industrial area during the period from October 2009 to March 2010.
Madhya Pradesh State Industrial Development Corporation (MPSIDC) MD Praveen Garg said, “We have found that there were mistakes and technical problems in the project. They have not used Glass Reinforced Vinylester pipes but used pipes with poor strength instead. As a result, the water pressure either bursts the pipes or causes leakage. In our last meeting with the company officials recently, we have asked them to change the pipes and improve the supply as soon as possible. We are expecting the issue to be resolved soon.”
However, a company official said the project was operational and supplying sufficient water to the industrial areas. The only problem was that a few locals damaged pipelines and the industry was not lifting water as it had committed.
Data submitted by the company to MPSIDC as on April 24 reveals that as many as 144 agreements were executed for water supply between MSK and Dewas industries for supply of 10.47 mld water against the total installed capacity of the project of 23 mld. The company has supplied 7,044.32 kilolitres (kl)/day of water to 109 industries and 2,173.30 kl/day water is yet to be supplied to a few more industries. A government source and technical expert close to the operations of the project said on condition of anonymity, “It would take a huge cost and time to reassure water for Dewas industrial areas. The company has not used proper material for supply pipeline and as a result its supply is restricted to 3-4 mld, though combined demand of industry and local municipal corporation stands at 10 mld.”
Industrialists have also brought it to the notice of the district administration and MPSIDC but to no avail.
“We are paying Rs 26.50/kl for water supply but we have not been supplied sufficient water since the commencement of the project. Fortunately, we have our own water sources, which are working otherwise there would have been severe water crisis for the Dewas industries. Our requirement is 12 mld, they supply hardly 3-4 mld to industries and 4-5 mld to the town as there is no alternative arrangement of water here,” honorary secretary of Dewas Industries’ Association Ashok Khandelia told Business Standard telephonically.
There are also reports that local residents on the way of the pipeline damage it. “We have reports that locals damage the pipeline in some areas through which it passes but that is a trivial issue,”Garg said.
Dewas has some big industries like Ranbaxy, Tata International, EID Parry, S.Kumars, Tata Holset and a large number of soya industries which require large quantities of water.
Originally proposed at 60 mld capacity, the project was later curtailed to 23 mld and the term of the project has been increased from 15 years to 30 years. After 30 years the project will be handed over to MPSIDC that shares one per cent revenue in it.
