The Hindu : Andhra Pradesh / Hyderabad News : SHGs, private partners to run mineral water plants

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Wednesday, Aug 12, 2009
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Andhra Pradesh

Andhra Pradesh - Hyderabad

SHGs, private partners to run mineral water plants

Ravi Reddy

Rural Development Department preparing ground for signing of memorandum of understanding

Programme likely to be launched on August 15
SHGs to be trained in quality control, promotion

HYDERABAD: The Rural Development Department is preparing a foolproof document that will ensure the self-help groups to earn decent revenue by undertaking key functions in management of mineral water plants.

Now that the State government has decided that private partners will establish the Reverse Osmosis (RO) plants in the rural areas, the Rural Development officials are busy preparing a template for the memorandum of understanding (MoU), the village organisations (federation of thrift groups in each village) will sign with the private partners.

Phased manner

The government has fixed August 15 as the date for launch of the ambitious programme to supply mineral water to the rural areas in a phased manner. To begin with one village in each mandal will be identified, which will be gradually extended to other villages.

Officials initially toyed with the idea of raising loans to fund the mineral water plants to be established by the thrift groups. A government committee subsequently felt that private partners could be roped in to set up the plants.

Accordingly, the empanelled agencies will now bring the investment as well as the technology. Once the agencies are identified, they will in turn enter into a MoU with the village organisations to render other services.

Service charges

According to Principal Secretary (Rural Development) K. Raju, self-help groups will be trained in quality control, promotion, campaign and management of plants that include collection of user charges. “Once the MoU is signed between the private partners and the SHGs, the latter will get service charges for the services they render,” he said.

Mr. Raju said the SHGs may find it difficult to maintain the plants because the technical aspects involved in its day-to-day functioning. “Instead, they will take up activities that will provide them gainful employment. At least five to six educated thrift group members will get employment,” he said.

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Andhra Pradesh