Water tax cannot be hiked by 5 percent this time; Kerala to write to Centre

THIRUVANANTHAPURAM: Kerala will inform the Centre that it won't be able to implement the central proposal to increase the water tax by five percent per year this time. Kerala is planning to write to the Centre as it believes that the implementation of the proposal will be a double blow in the wake of the recent hike of water tax by Rs 10 per kiloliter (1000 litres).

The water tax was raised in 2021 and 2022 as a means of complying with the central government's additional lending policy. Since it is a central directive, the state cannot take a decision on its own. The state government has decided to write a letter to the Centre explaining the situation.

On Saturday, the Water Authority submitted a report to Water Resources Minister Roshy Augustine that the hike proposed by the Centre should be implemented by April 1. However, the minister directed not to implement the 5 percent hike immediately and to report the situation to the Centre.