Maharashtra Urban Water Supply, Sanitation & Reuse Program (MUWREP)

Maharashtra Urban Water Supply, Sanitation & Reuse Program (MUWREP) 

 A Transformational Urban Water Initiative for Maharashtra

The Maharashtra Urban Water Supply, Sanitation & Reuse Program (MUWREP) is a flagship, reform-linked investment program of the Government of Maharashtra, supported by the World Bank Group, and anchored institutionally by MITRA.
MUWREP is designed to fundamentally improve urban water security, wastewater management, and reuse outcomes—particularly in small and medium cities—while enabling long-term financial sustainability and private capital participation.

Why MUWREP?

Maharashtra is among India’s most urbanized and industrialized states. Rapid urban growth has placed intense pressure on water supply, sewerage, and wastewater systems. While major investments have been made under AMRUT 2.0 and Nagarotthan, critical gaps remain:

• 3,036 MLD gap in wastewater treatment capacity
• Inadequate sewerage networks and under-utilized assets
• Limited reuse of treated wastewater, despite rising industrial demand
• High Non-Revenue Water (NRW) and weak cost recovery
• Institutional capacity constraints in Urban Local Bodies (ULBs)

Unchecked, these gaps translate into river pollution, water stress, and fiscal vulnerability of cities. MUWREP directly addresses these challenges through an integrated, outcome-oriented approach.

 Program Vision

To achieve universal, high-quality urban water and sanitation services in Maharashtra, while transforming wastewater into a productive economic resource through reuse and circular economy solutions.

Program Objectives

MUWREP pursues five interlinked objectives:

1. Reduce river pollution by expanding wastewater collection, treatment, and compliant discharge
2. Improve service quality and reliability of urban water supply and sanitation
3. Scale up treated wastewater reuse, especially for industrial and non-potable uses
4. Enable circular economy solutions, including sludge-to-energy and manure
5. Strengthen institutional and financial capacity of cities for sustainable O&M

What MUWREP Will Do (Program Components)

1. Integrated Wastewater Management

• Sewerage networks and treatment plants (centralized and decentralized)
• Technology-neutral designs focused on life-cycle cost efficiency
• Performance-linked Design–Build–Operate (DBO) contracts (15 years)

2. Treated Wastewater Reuse

• Infrastructure for reuse conveyance and offtake
• Industrial and bulk-user reuse models
• Revenue generation to support long-term O&M sustainability

3. Water Supply Service Improvement

• NRW reduction and network optimization
• Metering, pressure management, and service reliability
• Household service quality improvements (not bulk augmentation)

4. Sludge & Resource Recovery

• 100% sludge reuse targets
• Biogas, organic manure, and energy recovery
• Mandatory circular economy components in project design

5. Institutional & Financial Reforms

• Strengthening ULB planning, procurement, and contract management
• Life-Cycle Costing-based project evaluation
• Cost recovery, tariff rationalization, and financial discipline

Financing & Scale

• Total Program Size: USD 715 million
• World Bank (IBRD): USD 500 million
• Government of Maharashtra: USD 215 million (30% counterpart funding)

The program leverages blended finance, including:

• State and central government convergence (AMRUT, Nagarotthan)
• Private capital through PPPs, annuity models, and pooled bonds
• Support for MUINFRA as a state-level financial intermediary

Cities Covered

• Municipal Councils (A, B, C)
• Municipal Corporations (primarily C & D class)
• Focus on cities not fully covered or inadequately funded under existing schemes

Priority is given to cities with:

• Technically ready DPRs
• High pollution-reduction or reuse potential
• Willingness to implement reforms and innovative models

Implementation Architecture

MUWREP follows a clear, accountable governance structure:

• Program Management Units (PMUs)
  • MITRA – financial structuring & private capital mobilization
  • DMA – administrative coordination
  • MJP – technical oversight and execution support
• Project Implementation Units (PIUs)
  • Located within ULBs or MJP/DMA regional offices
• Dedicated Program Director at state level for focused leadership

How MUWREP Is Different

• No duplication of AMRUT or Nagarotthan investments
• Focus on asset optimization, not just new construction
• Payment linked to performance and outcomes, not inputs
• Strong emphasis on reuse-driven revenues
• Brings global best practices and World Bank standards to project design, procurement, and execution

Strategic Impact for Maharashtra

• Cleaner rivers and improved urban environments
• Enhanced water security for people and industry
• Financially stronger and more professional urban institutions
• New opportunities for private investment in urban infrastructure
• Alignment with Maharashtra’s Treated Wastewater Reuse Policy (2025) and climate resilience goals

MUWREP represents Maharashtra’s shift from infrastructure creation to service delivery, sustainability, and economic value creation in the urban water sector.