“Public-private partnership works better in water sector”
T. Ramakrishnan
CHENNAI: Public-private partnership, not privatisation, is workable in the water sector, according to Thierry Mallet, Chief Executive Officer, Degremont Suez, a constituent of Suez, the French multinational group working in water and wastewater treatment.
Asked whether urban water service agencies in India required institutional changes, Mr Mallet, citing his organisation’s experience worldwide, said in most cases, it was public-private partnership that worked better, as the local authorities always retained control over pricing and zones to be served, while the private partners chipped in with technology and technical know-how. But, basically, “water [supply] needs to be subsidised,” he said, in an interview with The H
indu.
“Even in the European system, huge subsidies from the European Union are going to countries like Spain, Portugal and Greece to improve wastewater system or to do drinking water projects. For instance, we are right now working on a desalination project for Barcelona in which investment is, up to 75 per cent, in the form of subsidy from the European Union,” Mr. Mallet said.
The first stage was to invest in the water sector. But, full recovery of the cost was not possible. Only a part, or at least the operating cost, should be recovered. As the service improved, the recovery could go up.
Mr. Mallet was here on Thursday to take part in the inauguration of the Chembarampakkam water treatment plant of 530 million litres a day (MLD), designed, built and operated by Degremont Limited, an Indian subsidiary. He and A. Vidyavathsal, Chief Operating Officer, Degremont Limited, referred to their organisation’s record in wastewater treatment and drinking water supply projects. The group is operating nearly 15-16 plants in India. Asked about the Chembarampakkam treatment plant, he cited less energy consumption and chemical-free application as among its special features. The other highlights were world-class technology and the use of the technology through the local engineering team.
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