The Allahabad HC has directed the Noida authority to provide Ganga water supply for drinking purposes to thousands of people living in the Jaypee Wishtown housing societies in sectors 128, 129 and 130 along the Noida Expressway. The Allahabad High Court said the Noida Authority should provide water connections within two weeks, provided the developer — Jaypee Infratech Limited (JIL) — submits a renewable bank guarantee of Rs 60 crore.
20,000 families are dependent on groundwater
It should be noted that there are around 20,000 families living in these housing towers under the banner of Jaypee Wishtown housing projects located in sector 128, 129, 130, 131, 132, 133 and 134, since 2014. And these families who shifted into their apartments in 2014 onwards, have been dependent on the ground water.
On the demands from the residents, the JIl filed petition in the Allahabad High court that has finally delivered an order to do justice for these families.
Allahabad HC was hearing writ petition by JIL
The order came while the high court bench was hearing a writ petition filed by JIL, which challenged the Authority's demand for external development charges related to the supply of treated Ganga water.
The dispute started due to a concession agreement signed on April 7, 2003, between JIL and the then Taj Expressway Industrial Development Authority (now Yamuna Expressway Industrial Development Authority, or YEIDA), for the construction of the 160km Yamuna Expressway between Noida and Agra.
As part of the agreement, JIL was allotted 25 million sqm for development, including Wish Town spread across sectors 128, 129, 131, 133, 134, and 151 in Noida.
Know all about the main controversy
However, the main controversy is around the Clause 7.2.1(j) of the agreement, which states that external development work like water, electricity, and drainage for developed land released by the authority "shall be by TEA (now YEIDA) without any cost to the concessionaire".
But for the undeveloped land, YEIDA's responsibility was limited to assistance "on best effort basis" without bearing any cost, while internal development was to be carried out by JIL.
In the ptition, the JIL stated that the responsibility of providing water supply rested with YEIDA, and that the developer was only liable for internal infrastructure.
However, the Noida Authoritystated that JIL must bear the cost of water connections for land released after the agreement.
YEIDA issues clarification
In its submission, YEIDA clarified that its obligation was limited to land already developed by Noida or Greater Noida and subsequently transferred. This dispute became big later when — on March 15, 2023 — Noida Authority raised a demand of Rs 140 crore from JIL for water and sewer connections.
But the demand was later reduced by Rs 17 crore, bringing the total to about Rs 123 crore. Moreover, the JIL contested the demand, calling it "absurd" and "cryptic", and argued that the charges had been wrongly calculated on an individual basis rather than under the bulk policy meant for the township.
The JIL also highlighted that in keeping with the concession agreement any liability for external development charges lay with YEIDA.
