Bulk Water Tariff Orders – Godavari River – Classification of Industries for different tariffs.
Justice in Every Drop of Water taken from Godavari for liquor production – Bombay HC Rebukes Arbitrary Water Bills
Godavari River – Demand Notices – Faulty Assumptions that all lifted water used for raw material for liquor production
Bulk Water Tariff Orders – Classification of Industries for different tariffs.
Sections 11(d) & (u) of the Maharashtra Water Resources Regulatory Authority Act, 2005.
Two categories of industries – process and raw material – are based on actual use of water by an industrial unit. However, the water charges could be levied only upon ascertaining the actual proportion of water used by industries as raw material for the final product as opposed to the extent of water actually used for other processes.
On 19.5.1995, the permission to utilize 30 lakh litres of water per day for agricultural purposes from Godavari river was given to the petitioner, under Section 70 of the Maharashtra Land Revenue Code.
In 1999, the petitioner started the distillery manufacturing unit in Dharmabad District Nanded and lifted water of the river for manufacturing ethanol and IMFL.
On 1.2.2003, the Collector granted permission to the petitioner for 8 lakh litres water per day for industrial purpose, under Section 70 of the MLRC, at the rate of Re.1/- per cubic meter of water.
In 2005, the Maharashtra Water Resources Regulatory Authority Act, 2005, came into force and the respondent no.2 appellate authority was established.
In 2013, Babhali dam was constructed about 4 km upstream from the place of water lifting of the petitioner.
From 2014 to 2018, the petitioner paid increased rate at Rs.10 per CuM under protest.
On 11.1.2018, the respondent no.2 issued Bulk Water Tariff Water Order revising the rates for domestic, industrial and commercial use in the State.
By the notification dated 31.7.2018 under the Maharashtra Irrigation Act, 1976, the river came in the jurisdiction of the respondent no.2.
On 14.12.2018, the respondent no.4 Sub-Divisional Engineer informed that 2018 Bulk Water Tariff Order is applied to the petitioner and water lifting point was wholly within the jurisdiction of the respondent nos.4 and 5.
On 31.12.2018, the Respondent No.5 Executive Engineer issued demand notice for Rs.14.12 crores for November, 2018, treating the petitioner as raw material process industry.
On 10.1.2019, further notice increasing demand to Rs.20.75 crores was issued.
On 21.3.2022, respondent no.2 issued Bulk Water Tariff Order and industries were classified as process, industries using water as raw material in manufacturing and domes use in industrial units.
On 5.8.2022, the respondent no.5 issued fresh demand notice for Rs.232.07 crores for November, 2018 to June 2022.
Bulk Water Tariff Orders of 2018 and 2022
HELD that there is dispute about use of water for raw material – petitioner claimed usage of 2% and respondents claimed at 80%. However, the respondents have not undertaken any exercise to ascertain the extent to which the water use for raw material and the extent of water use for other purposes like washing, cooling, etc. during manufacturing process. In the absence of such inquiry, the act of issuing demand notices and water bills is arbitrary and unsustainable.
Judgment dated 26.9.2025 of the High Court of Bombay, Bench at Aurangabad, in Writ Petition No.2733 of 2025 of United Spirits Limited and another Vs. State of Maharashtra and others
