The Sindh government has issued a notification for a new metering system to monitor underground water extraction, consumption, and distribution in Karachi, aiming to tackle the city’s severe water shortage.
Mayor Murtaza Wahab confirmed the implementation of the underground water tax across various sectors in Karachi Division and surrounding areas. The tax will affect corporations, commercial entities, water bottling and packaging companies, and educational institutions that utilize underground water.
The metering system will also apply to hotels, restaurants, manufacturing and processing industries, societies, cooperative societies, residential complexes, apartments, flats, and high-rises. Individual residential houses are excluded from this measure.
Mayor Wahab revealed the installation of digital meters in industrial areas will start on August 1st to prevent water theft. Despite requests from the Trade Development Authority CEO Zubeir Motiwala to exempt industrial areas, the government has finalized a policy for underground water extraction in the commercial sector. The metering system is expected to generate annual revenue of one billion rupees.
Karachi receives 550 million gallons of water daily at a cost of 4.5 billion rupees, but the Water Board only collects 1.5 billion rupees from billing. Currently, 5,500 water tankers operate in the city, with 3,200 registered to curb water theft. An additional 2,300 tankers will be registered soon.
