Cash-strapped Mineral Area Development Authority (Mada), the oldest civic body in the coal town, on Wednesday notified a three-fold increase in water tax effective from the third quarter of the fiscal beginning October.

The public notice issued by Mada, which supplies water from the Damodar to more than 10 lakh residents of Jharia and Katras, follows the decision taken in this regard by the state urban development department on October 9.

Water tax for domestic connection has been increased to Rs 13.50 per 1,000 litres from Rs 4.50 per 1,000 litres. For commercial connections and supply to mining areas, taxes have been hiked to Rs 44 per kilolitre from existing Rs 22 per kilolitre.

At present, Mada has around 15,500 domestic connections and 6,000 commercial ones.

Mada secretary Indresh Shukla said, “Water charges are collected on a quarterly basis. Users will have to pay higher water bills in January next year. The move is aimed at bringing Mada’s water taxes on a par with other agencies supplying water in the area.”

R.P. Sharma, a group C worker at Mada and a member of employee association Pradhikar Karmachari Samanvaya Samiti, said the revision was pending for over 20 years.

“The rates were the lowest in the country,” he added.

Saurabh Sharma, a resident of Manbad in Jharia, termed the move as irrational.

“Such an abrupt increase in tax at a time the supply of water and electricity is pathetic is completely illogical. We will protest against the decision.”

President of Jharia Chamber of Commerce Amit Sahu said there was no point in implementing a three-fold hike in tax at one go. “Mada did not increase water taxes in the last 20 years. There is no logic behind making up for that by carrying out a three-fold hike,” he said.

Currently, Mada supplies water through its Jamadaba-based water treatment complex on the bank of Damodar. The facility comprises two plants — the 12-million-gallons-per-day unit supplies water to Jharia while a 9-million-gallons-per-day plant supplies to Katras.