The Odisha government has officially notified the 'Policy on Reuse of Treated Used Water (TUW) of Urban Odisha, 2026', establishing a comprehensive and time-bound framework to transform used water from a waste by-product into a valuable economic asset.
Addressing Water Stress
The policy comes in response to increasing seasonal and spatial water scarcity across urban centers in the state. Currently, Odisha generates approximately 1,104 million liters per day (MLD) of used water, but only about 190 MLD is treated, highlighting a significant gap in treatment and reuse.
Ambitious Targets
Under the policy, the state aims to achieve 100% collection and treatment of used water across all urban local bodies (ULBs) by 2047. A target has been set to reuse at least 20% of treated water by 2030, with a further scale-up to a minimum of 50% reuse by 2036.
The policy promotes the utilization of treated water across multiple sectors to reduce dependence on freshwater sources. These include municipal and institutional uses such as road washing, firefighting, sanitation, and gardening.
Incentive Mechanisms
To encourage adoption, the state has introduced an innovative TUW Tariff Model, ensuring treated used water is priced lower than potable water. Incentive mechanisms include water credits for farmers, tariff rebates, and viability gap funding support for industries. Residential societies using treated water for flushing and landscaping will also receive rebates. The policy provides for performance-linked incentives and disincentives to ensure compliance and sustained reuse.
Governance Structure
A multi-tier governance structure has been instituted for effective implementation. A state high-powered committee will act as the apex body for policy oversight and pricing decisions, supported by a state-level technical committee and a dedicated TUW cell.
At the district level, coordination committees will facilitate local execution and demand aggregation. The Housing and Urban Development Department will regulate standards and implementation, according to a department statement.
Immediate Action
Notably, the policy mandates that in cities where sewerage systems and sewage treatment plants are already operational, at least 20% reuse must be achieved within six months of the notification. In cities where infrastructure is under development, reuse targets will apply within six months of commissioning. Officials said the policy is aligned with the national framework on safe reuse of treated water and the objectives of AMRUT 2.0.
