Even as India strides confidently towards becoming the world’s third largest economy, it still hasn’t figured out how to get the basics of a decent life delivered to the vast majority of its population. The recent deaths in Indore – all 25 of them – from drinking sewage infected water are not an aberration. As Kushagra Bhardwaj points out in this piece, the overwhelming majority of India’s population does not have access to clean drinking water. Consequently, the incidence of water borne diseases – diseases which not just Europe & America but also most of Asia eradicated 50 years ago – have soared in India in recent decades. Even more worryingly, this issue is not confined to a few states of India; it is a pan-India issue cutting across geographies and across political divides. Mr Bhardwaj says:

“According to a report by Down to Earth published by the Centre for Science and Environment, from January 2025 to January 7, 2026, at least 34 people died and 5,500 people fell ill across 26 cities, including 16 state capitals, spanning 22 states…after drinking sewage-contaminated piped drinking water.”

To understand the speed at which India has gone backwards on this front, Mr Bhardwaj has studded his article with several excellent infographics which we would strongly encourage you to read & reference. In case you are too busy to do so, here are 3 points which hit us hard:

  • Only 6% of urban Indian families get drinkable quality water from the tap whereas 62% use some form of modern filtration equipment at home.
  • The number of Indians annually infected by Hepatitis A has risen 10x in the last 5 years. The jump in the incidence of Cholera in India over the same period is 5x.
  • Relatively prosperous Indian states like Kerala, Tamilnadu and Karnataka feature prominently among states afflicted by disease infected water.
So why is the Indian state failing so comprehensively to deliver such a basic human need? Mr Bhardwarj’s piece points to three issues (all 3 of which are hard to rectify).

Firstly, the way the main water feeder pipes have been constructed in Indian cities puts them in close proximity to sewage pipes. Mr Bhardwaj writes:

“Water pipelines running in close proximity to sewage-carrying pipelines significantly increase the risk of contamination. “The most critical point of pollution occurs when feeder mains pass through multiple areas, crisscrossing storm water drains and sewage lines,” Thippeswamy says. “When these lines crisscross, the joints are vulnerable.” Historically, when Indian cities were developed, artificial drains were designed to carry the stormwater from rooftops, streets and roads to natural drains or water bodies to prevent flooding of local areas. However, today, in most cities, these stormwater drains are filled with filth, which often comes into contact with drinking water supply lines, leading to contamination.

However, multiple experts have highlighted that one of the greatest drawbacks of our water supply system remains intermittent supply. In most cities, water is often supplied twice or thrice a day, usually during specified timings. “When no water is being supplied, there is low pressure in the pipeline. It allows outer contaminants to enter the pipeline during this time. Surrounding groundwater, if mixed with the raw sewage, can enter the drinking water system through cracks and loose joints. This is called back siphonage or intrusion,” Subrata Chakraborty, Director, Water Program at the Delhi-based Centre for Science and Environment, told DH.”

The second challenge arises from the sequence in which water pipes and sewage lines have been laid in India. Ideally, the water pipes should be ABOVE the sewage lines with a gap of 0.5m between the two pipes. However, in India the water pipes were laid many years BEFORE the sewage lines. This creates a major structural challenge when it comes to installing sewage lines. Mr Bhardwaj explains:

“The challenge stems from the order in which the infrastructure is developed. “Almost all urban local bodies have some drinking water supply system,” Subrata explains. “But not all areas of these cities are covered under sewer line systems. So, drinking water lines are already there. Now, when you need to lay down sewer lines, engineers first need to identify the drinking water line and go below it.” Implementing this requires tools, training and documentation, resources that most cities lack.”

Thirdly, Indian politicians prefer to prioritise capex over maintenance because the capex is tangible, do-able, can be shown to the voters and also creates scope for exercising patronage. As a result of this the unglamourous but essential work of maintaining water pipes is usually overlooked by the local and state governments. In fact, so poor is our maintenance of water-related infrastructure that in many cities the government actually does not know where the water pipes are:

“Vishwanath Srikantaiah, popularly known as the Rain Man of Bengaluru, highlighted another problem about the ageing underground infrastructure. “The typical lifespan of pipes is around 30-40 years. However, there is no publicly available database storing information about these pipelines. It is usually only when some incidents happen that they are changed or repaired.” Asset replacement requires funds that cities often claim they lack. “Some amount is earmarked for asset replacement They start with the oldest pipelines, gradually replacing them,” Thippeswamy says. “But finances are always limited.””

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Note: The above material is neither investment research, nor financial advice. Marcellus does not seek payment for or business from this publication in any shape or form. The information provided is intended for educational purposes only. Marcellus Investment Managers is regulated by the Securities and Exchange Board of India (SEBI) and is also an FME (Non-Retail) with the International Financial Services Centres Authority (IFSCA) as a provider of Portfolio Management Services. Additionally, Marcellus is also registered with US Securities and Exchange Commission (“US SEC”) as an Investment Advisor.



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