The World Bank's series of six reports on water management in India could not have been better timed. The drought in parts of Rajasthan, Gujarat, Andhra Pradesh and elsewhere has amply demonstrated the scarcity value of water. Though renewable, this natural resource is bound to come under further strain because of fresh demand from the growing population, increasing urbanisation and industrialisation. So far, agriculture was the dominant water-consumer, accounting for as much as 83 per cent of it. But it will now have to face competition from other rapidly expanding sectors.
At the macro level, the country's overall water budget does not spell any alarm as yet. For, the total average annual availability of water from rainfall and snow melting is enough to meet the requirement. But this is a simplistic way of looking at the issue. The real handicap lies in distribution and use through an utterly inefficient delivery system, and misplaced pricing policies devoid of any inherent disincentives for curbing overuse. Also wanting is the institutional and legal framework for proper allocation of water to different sectors and ensuring compliance among sectors and regions with what is apportioned. Most of these lacunae can be attributed to a flawed approach towards water development since Independence. Programmes have so far been target- and supply-driven, besides being government-dominated, ignoring the involvement of users in the pricing, maintenance and operation of the water delivery system.
The recipe for fundamental reforms offered by the World Bank reports is quite comprehensive though not entirely new. It lays stress on charging water tariff on volumetric basis and involving stakeholders in looking after the water distribution system. Both these concepts are part of the national water policy adopted in 1987 in the wake of one of the worst-ever droughts. The policy clearly lays down that water should be priced in such a manner as to convey its scarcity value. It also places equally strong emphasis on leaving the water delivery mechanism to the users without any financial or other involvement of the state. However, while the pricing part of the policy has conveniently been ignored for political reasons, the concept of user involvement has been tried out only on a limited scale. Its success rate has been fairly encouraging though in its present form it does not ensure full economic viability of water harnessing and distribution systems, which is a pre-requisite for wooing private investment in this sector. Thus the policy has remained mostly on paper.
Some important legal reforms are a must to regulate the use of surface as well as ground water and settle longstanding inter-state water sharing disputes. The existing river boards law and the inter-state river disputes law have totally failed to serve the intended purpose. The present provisions for allowing unlimited access to an owner to the water underneath his land, too, are archaic and need to be changed. As suggested by the World Bank, the laws should be amended in this respect to enable the Centre to play a more meaningful role in this field. It is worth discussing if, in view of the inter-state disputes, water should be declared a national asset under the complete jurisdiction of the Centre.