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Miscellaneous·2012·Easy

You are involved in setting up a water supply project in a remote area. Full recovery of cost is impossible in any case. The income levels in the area are low and 25% of the population is below poverty line (BPL). When a decision has to be taken on pricing you would...

You are involved in setting up a water supply project in a remote area. Full recovery of cost is impossible in any case. The income levels in the area are low and 25% of the population is below poverty line (BPL). When a decision has to be taken on pricing you would...

Options

  1. a.

    Recommend that the supply of water be free of charge in all respects.

  2. b.

    Recommend that the users pay a one time fixed sum for the installation of taps and the usage of water be free.

  3. c.

    Recommend that a fixed monthly charge be levied only on the non-BPL families and for BPL families water should be free.

    Correct answer
  4. d.

    Recommend that the users pay a charge based on the consumption of water with differentiated charges for non-BPL and BPL families.

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