Water must be priced, not free: India's Chief Economic Adviser advocates at summit

Why in news

Chief Economic Adviser Anantha Nageswaran advocated for the commercial pricing of water as critical infrastructure to ensure sustainable management and urban planning.

Background

The Tamil Nadu Infrastructure Summit 2026 hosted discussions on urban planning and infrastructure. The CEA highlighted that India's Floor Space Index (FSI) is currently lower than global standards.

Facts for Prelims

• FactFloor Space Index (FSI) refers to the ratio of total floor area to the plot area of a building.
• PostAnantha Nageswaran serves as the Chief Economic Adviser (CEA) to the Government of India.
• FactThe summit emphasized treating water as a planned infrastructure rather than a limitless free resource.

For Mains

Q. Discuss the economic and environmental necessity of pricing water as a critical infrastructure in India's urban planning framework.

Dimensions to cover in your answer

• Economic sustainability of water utilities
• Conservation through demand management
• Urban planning and FSI optimization
• Equity in water access for marginalized groups

Keywords: Critical Infrastructure · Demand Management · Sustainable Urbanization · Resource Economics · Floor Space Index

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