4 Aug 11: Water board has put a proposal before the state government to increase its tariff rates, particularly for the consumers under commercial category. Since the board is incurring high expenditure in bringing Krishna water to city and distributing it to the people, it has taken this decision.
The board is earning Rs. 40 crore as revenue per month form water bills and new connections, but its expenditure is Rs.52 crore per month. It is spending Rs.24 per kiloliter of Krishna water it is bringing in to the city. But the water is being distributed at only Rs.6 per KL to 7 lakh domestic consumers and commercial consumers, providing Rs. 18 per KL as subsidy. As commercial consumers are enjoying this subsidy and making profits, the board has decided to increase the tariff for them.
The short of funds in the board has affected its electricity bills too. Huge amount of electricity bills are said to be pending form the side of water board. In this regard, the water board has requested the AP Electricity Regulatory Commission to reduce the power tariff form Rs.3.95 per unit to Rs.1.20 per unit, keeping in view the heavy costs involved in pumping Krishna water to the consumers.
Source: Deccan Chronicle