Urban water sector reforms in India: financing infrastructure development through market–based financing and private–public partnerships
A huge population size, a rapidly growing economy and increasing levels of urbanization, coupled with the dwindling sources of freshwater, have made management of urban water supply one of the most important priorities in the development agenda of India. Water supply in India is mainly a responsibility of the individual state governments which in turn delegate powers to the urban local bodies for provision of water and sanitation services to people at the city level. Water utilities in India are grappling with the problem of poor and ageing infrastructure, high levels of unaccounted-for water, intermittent supplies, poor water quality and low tariff rates. This paper aims to explore the water sector reform in India and uses examples from the states of Karnataka and Tamil Nadu to highlight the use of private-public partnerships and pooled financing mechanisms to augment water supply.