BWSSB proposes one-time settlement scheme to recover ₹701 crore arrears in Bengaluru, offers to waive off interest and penalty 

Offers to waive off interest and penalty.

The Bangalore Water Supply and Sewerage Board (BWSSB) is planning to implement a one-time settlement (OTS) scheme to recover pending arrears of ₹701.72 crore in Bengaluru. This initiative aims to alleviate the financial strain on the BWSSB.

The OTS scheme proposes waiving off interest and penalty on overdue amounts, allowing 4,90,207 consumers, including the Bruhat Bengaluru Mahanagara Palike (BBMP), government of Karnataka, Central Government, industries, statutory bodies and others to clear their principal dues.

BWSSB Chairman V. Ram Prasath Manohar told The Hindu, “The arrears as on April 7 stood at ₹439.03 crore, with penalty and interest adding up to ₹262.68 crore. The current liabilities stand at ₹701.72 crore. We have decided to waive off the interest and penalty, and submitted a proposal to the government. The final decision will be made by the Finance Department, and we hope to recover the liabilities in the coming months.“       

According to data provided by the BWSSB, the highest pending arrears, excluding interest and penalties, is by domestic users, standing at ₹185.48 crore.

Pending arrears of the government of Karnataka amount to ₹56.04 crore, Central Government is ₹22.92 crore, BBMP is ₹7.63 crore, and non-domestic consumers is ₹78.35 crore.  

“The OTS scheme will only increase our source of income and help us sustain ourselves financially, which is for the welfare of the consumers,” Mr. Manohar added.

This announcement comes after Deputy Chief Minister D. K. Shivakumar hinted that Bengaluru may see a marginal increase in water tariff, as the Karnataka government is considering a hike of 1 paise.