New Delhi: India's fragmented water governance structure, highly subsidised pricing and slow reallocation among sectors can result in water shortage and higher risk of sustained fiscal pressure, Moody's Ratings said on Monday.
In a report, Moody's said allocation frameworks, which govern how water supply is prioritised, priced and distributed across households, industry and agriculture, are becoming a more important determinant of economic resilience in water-stressed systems because they influence how shortages are absorbed and how quickly supply stress translates into fiscal pressure.
