Tirupur Water Supply and Sanitation

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Tirupur Water Supply and Sanitation

  1. 1. Seminar 3 Group 1Sara KhoshkarManon AlbarèdeIpsit DashTirupur Water Supply and Sanitation Project1
  2. 2. Article ReviewedROOPA MADHAV2
  3. 3. Tirupur• Dollar City of India /Textile Hub• Indian Domestic Market ₹ 100 Billion, $ 1Billion exports , Net Market worth of ₹ 220Billion• Population Density is 16 000/km2• Very High Floating Population• 1900 units of knit wear industries and manylocal business settlements• Water Supply from Noyyal and Nallar3
  4. 4. ContentsCase Studies•France•USAGroupRecommendationScopeReview of Article•NTADCL•BOOT Contract•Reach•CriticismSummaryWaterGovernancein IndiaStatus ofWater Supplyand SanitationPPP BenefitsGenesis4
  5. 5. Water Governance in India• Basically managed by State Governmentand Local Bodies who adhere to Guidelinesset by National Government• Huge Allocation of Resources in everyBudget ₹ 1526 Billion allocation in 2013Water Supply Sanitation• Rajiv Gandhi NationalDrinking Water MissionGiven the Status of aMission• National Water Policy• National Urban SanitationPolicy• Nirmal Bharat Abhiyaan• Nirmal Gram Puraskar5
  6. 6. Status of Water Supply and SanitationIndian water problem inadequate resources & Inefficient management to subsidize wateravailability and its distribution• Disparity between Rich and Poor : Caste System : Imbalance• Delhi, Mumbai, Chennai among worst 4 cities in Asia in terms ofWater Availability (ADB)• Illegal Tapping – No Maintenance - Inefficient UseSanitation Issues• Sanitation – Not a cultural Priority• Majority of Water Borne Diseases• Community Sanitation still not effective• Commendable Work done by NGOs –• Sulabh International and NRHM (Kalyani)6
  7. 7. PPP Benefits : Water SectorBenefits to Governmentt Benefits to Private Partner• Monetary Help• Ownership and PolicyMaking in hands of Govt• Technical Expertise andEfficient Management• Better Mobilization ofResources and Assets• Policy Level & StatutoryHelp by Govt• Help of Govt in resolvingproblems in LandAcquisiton and Clearnace,Approvals• Financial Security (LimitedAssistance)Types of PPP• Management Contracts• BOOT Build-Own-Operate-Transfer• BROT Build-Rehabilate-Operate-Transfer• DBFO Design-Build-Finance-Operate Examples from India• Tirupur• Ghaziabad• Dewas• Vishakhapatnam 7
  8. 8. Summary 1. NTADCLDespite international recognition as a major export centre forknitwear, Tirupur lacks quality infrastructure• –Domestic water supply is limited to a few hours on alternate days• –Industries do not have access to piped supply• –Depleted ground water in the region•Investment in infrastructure is critical for a future Tirupur•A comprehensive program (TADP) was formulated to address theinfrastructure needs of the town•Lack of budgetary resources prompted local industry to spearheadimplementation of TADP on a commercial format•New Tirupur Area Development Corporation Limited (NTADCL) wasformed as the company to implement the TADP8
  9. 9. Summary 2. BOOT Contract Characteristics of the agreement:• Possibility to extend the concession period (especially ifcosts not recovered)• Possibility to set the prices• Possibility to reallocate the quantities of raw water thatmust be supplied• Possibility to make requests to increase the water drawalrights for the industries• Possibility to use the excess water9
  10. 10. Summary 3. Reach• 56 KM pipelines from Cauvery River• Distribution Network of 350 KM – Delivering185 MLD (Extension to 250 MLD)• 900 Registered Textile Firms, 1.6 MillionResidents• Maintenance of Raw Water and SewerageTreatment plants10
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  12. 12. Summary 4. Criticism Consequences:• Prices not adequately set and incentive to increased wateruse for the industries• Water quality and supply not satisfactory for the villages• Contradictions regarding wastewater recycling• Excess water not attributed to domestic purposes• Less accountability  difficult for regulatory agencies toimpose controls12
  13. 13. Case Study: France (1/3) More than 70% ofwater supplied byprivate companies In theory, high degree of control from themunicipalities but some abuses:– Huge profit margins & over-pricing– Huge losses of water in the piped, paid by the users13
  14. 14. France (2/3) Massive renegotiations of delegation contracts :• In 2009, law introducing a maximal duration of 20years for the contracts concluded before 1995• Consequences:- decrease in the prices (ex: 32% in Millau)- new conditions and demands of results- Systems of bonus/malus- ... New trend of a return to public management14
  15. 15. France (3/3) Tighter control only possible if absence ofcorruption Example of Grenoble:• Concession contract granted toLa Lyonnaise des Eaux in 1989,in exchange of gifts around 3 million€• Contract finally cancelled in 2000• Return to public management15
  16. 16. United States• 85% of water systems operated bymunicipalities and other government bodies• 15 % owned operated by the private-sector• Regulated activity16
  17. 17. United States• Purchase of municipal tapwater by water bottlingcompanies• Why?– Easier access to municipaltap water– Easier to negotiate dealswith city officials– Economic decline– Job creation and increasingtax revenues17
  18. 18. Sacramento, California• July 2009-agreementbetween Nestlé & cityof Sacramento set• Nestlé- 30 milliongallons of the cityswater & 18.9 milliongallons of spring water• Nestlé Pure Life Brand18
  19. 19. Kennebunk, Maine• Summer of 2008, PolandSprings, a subsidiary ofNestlé Waters NorthAmerica• Withdraw 432,000gallons/day of waterfrom local water district• Save Our Water’organized by public toprotest19
  20. 20. Group Recommendations 1• Stricter regulations from the beginning• Monitoring programs and guidelines by anindependent group• Public participation20
  21. 21. Group Recommendations 2• Capping the rights of Private Companies inPPP by Government• Subsidies given to Public should not beeconomically Determined by Market Forces• Reserve Funds by Govt collateral for PPPshould be turned in favor of Public• Gievance Redreasal System + ProperDocumentation = Transparency21
  22. 22. Thank You22

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