India’s water policy: Between scarcity, reform, and a sustainable future

India’s water paradox is stark. Each year, nearly 4,000 cubic kilometres of rain falls, but most of it arrives in a few short monsoon weeks and quickly runs off. Groundwater, which sustains over 85% of rural households, is being depleted at alarming rates. NASA’s GRACE satellites show water tables in northwestern India sinking by up to 4 cm annually. Already, nearly 600 million Indians face high to extreme water stress. If demand continues unchecked, it will double by 2030—potentially cutting India’s GDP by 6%. This makes water governance not just an environmental issue, but a question of economic resilience, food security, and public health.

How water policies have evolved

Water has shaped India’s civilisation from Indus Valley hydraulic systems to colonial canal irrigation. Yet modern policies have struggled to keep pace with rising demand and climate variability.

• National Water Policy (1987): The first attempt at a comprehensive strategy, focused on expanding irrigation and universal drinking water access. It faltered due to weak state cooperation.
  

• NWP (2002): Marked a shift recognising water as an economic good, emphasising decentralisation, and promoting participatory approaches.
  

• NWP (2012): Went further by embedding the Public Trust Doctrine, treating water as a shared resource, and advocating integrated management.
  

• Recent schemes: AMRUT (2015) to expand urban supply, Jal Jeevan Mission (2019) to deliver tap water to every rural household, and Atal Bhujal Yojana (2019) to promote community-led groundwater management.

Despite these milestones, the governance landscape remains fragmented, split across ministries, agencies like the Central Water Commission (CWC) and Central Ground Water Board (CGWB), and states with their own patchy water policies. Furthermore, while 13 states have their own State Water Policies, the lack of coordination often results in duplication or contradictory approaches. The absence of strong River Basin Authorities has also limited basin-wide planning, despite its repeated recommendation.

What the evidence shows

Singh and Goyal’s review draws on government and satellite data to expose three persistent gaps in the policy:

1. Over-optimistic availability estimates: Policies often assume more water than actually exists, leading to unsustainable irrigation expansion.

2. Weak enforcement: The Water Cess Act aimed at curbing industrial pollution, but low rates and lax compliance undermined it.

3. Equity gaps: Women, marginalised groups, and small farmers remain excluded from water governance, even though they bear the greatest brunt of scarcity.

Groundwater data from the Central Ground Water Board (2017 vs 2020) highlights the danger: in states like Punjab, Rajasthan, and Haryana, extraction outpaces recharge, creating long-term deficits. Meanwhile, river basin agencies remain stalled, interstate disputes intensify, and urban water bodies shrink. Additionally, groundwater legislation remains patchy across states, even though this resource underpins drinking water for nearly 80% of rural households.

Technology as a game-changer: The promise of AI

One of the strongest contributions of the review is its focus on Artificial Intelligence (AI) and smart technologies as game changers. Across Asia, 29 billion cubic metres of water are lost annually to leaks—enough to sustain 150 million people. AI-driven systems can detect and prevent leaks, optimise distribution, monitor water quality in real time, and forecast drought risks.

India has already begun experimenting. AI can:

• Detect and prevent leaks across municipal supply networks.

• Optimise distribution by predicting demand patterns.

• Monitor water quality in real time, issuing alerts on contamination.

• Provide predictive analytics for drought resilience and irrigation planning.

India has already piloted such models. In Tiruchirappalli, Tamil Nadu, AI-based systems are being deployed to minimise drinking water losses. Similarly, the DST-Intel collaborative initiative is testing AI for real-time river water quality monitoring. These experiments could hold the key to scaling smarter management nationwide.

Learning from the past: A global perspective

The Indian case is not unique. Thailand’s National Water Vision aims for equitable use by 2025, while the Philippines’ Clean Water Act (2004) shifted focus from supply to quality. Singapore, often cited as a global model, has embraced smart sensors and AI to oversee its entire urban water cycle. The lesson is clear: success lies in combining robust policy with cutting-edge technology, strong institutions, and participatory governance.

Toward practical IWRM

Integrated Water Resource Management (IWRM) has long been the buzzword in policy circles. But as the review points out, its lofty goals often falter in practice. The authors advocate a more Practical IWRM approach—decentralised, context-specific, and participatory. Instead of one-size-fits-all solutions, policies must recognise the diverse water challenges of Rajasthan’s arid districts, Himalayan springs, and deltaic Bengal.

Civil society, too, plays a critical role. NGOs and local user groups can bridge gaps in technical capacity, ensure accountability, and push for community-driven solutions.

Key recommendations for a water-secure future

The review does not stop at identifying challenges—it lays out a roadmap for India’s water-secure future. The authors argue that reforms must be multi-pronged, combining institutional restructuring, technological adoption, legal safeguards, and community engagement.

• Build stronger institutions and river basin authorities: One of the most urgent reforms is institutional restructuring. At present, overlapping jurisdictions among ministries and agencies create inefficiencies. A shift toward river basin–based management frameworks is critical. Instead of fragmented political boundaries, water management should follow ecological realities. Basin authorities with clear mandates on allocation, pollution control, and conservation can help resolve conflicts and improve accountability.

• Legislate and protect groundwater: Groundwater, which sustains nearly 85% of India’s rural population, remains poorly governed. Few states have enacted comprehensive groundwater laws, leading to unchecked extraction. The authors call for nationwide groundwater legislation that regulates withdrawals, ensures equitable access, and mandates recharge efforts. Without such reform, India risks exhausting its most vital reserve.

• Rethink water economics: Pricing and pollution control: India’s current water tariffs—particularly for industries—ignore the true costs of overuse and pollution. The review advocates restructured water pricing that reflects both opportunity costs and environmental damages. This includes imposing effluent charges and pollution taxes on industries. Strengthening the Water Cess Act and enforcing zero-discharge norms for wastewater would discourage overuse and incentivise cleaner technologies.

• Harness technology, especially AI and IoT: Technology is no longer optional—it is essential. Artificial Intelligence can track leaks, forecast demand, and monitor quality in real time. Internet of Things (IoT) sensors can transform irrigation efficiency and municipal water supply. Pilot projects in Tamil Nadu and Trichy already showcase these benefits. The authors recommend mainstreaming AI and IoT in both rural and urban water systems, supported by government–private sector collaborations.

• Empower communities and civil society: Top-down policies alone cannot solve India’s water crisis. Community-led models—like the Atal Bhujal Yojana—have demonstrated the power of local stewardship. The review emphasises community management of water systems, which lowers costs, improves adoption of new technologies, and ensures better maintenance. Civil society groups can also play watchdog roles, preventing political interference and ensuring fairness in distribution.

• Integrate equity and sustainability at the core: Beyond technical fixes, water governance must prioritise equity. Women, smallholder farmers, and marginalised groups remain disproportionately affected by scarcity and poor quality. Policies must mainstream gender equity and social inclusion, ensuring that reforms do not exacerbate inequalities but instead enhance resilience for the most vulnerable.

• National Water Policy 2025 and beyond: As India considers a new National Water Policy, the authors suggest it should be forward-looking and climate-responsive. This means embedding climate risk assessments, focusing on long-term sustainability, and aligning national targets with the UN Sustainable Development Goals (SDGs). A water-secure India, they argue, must be one that balances human consumption with environmental preservation.

Conclusion: A race against time

India’s water story is a paradox—abundant annual rainfall yet one of the most water-stressed nations. The challenge is not merely physical scarcity but poor governance, weak enforcement, and fragmented institutions. Yet, the path forward is visible: smarter policies, integrated management, technological innovation, and community participation.

As the review reminds us, quoting Thomas Fuller, “We never know the worth of water till the well is dry.” India’s wells—literal and metaphorical—are running low. Whether the country can reform in time will determine not just its water security, but also its food systems, public health, and economic resilience.