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Indian sewage treatment plant sector set for growth through 2018

February 27, 2014

<photocredit>Daniel Berehulak/Getty Images Asia Pac/Thinkstock</photocredit>

The municipal sewage treatment plants sector in India is a cause for concern because of specific factors at play that prevent facilities from functioning efficiently and at their full capacity, a new report on the current state of the industry has revealed. However, changes  are expected over the next few years that will improve the quality of municipal sewage treatment services in the country.

At present, almost half of the municipal wastewater treatment plants in India are operated by small and medium-sized companies, which results in market fragmentation and challenges for regulatory compliance and oversight. The Central Pollution Control Board of India has stated that municipal sewage treatment plants are capable of meeting the needs of each region if working at a full capacity but technical problems and frequent sewage overflows prevent them from operating efficiently.

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Over the next few years the market is likely to go through a process of consolidation, allowing large players to take a leading role and improve the efficiency of the systems at work. This is likely to lead to growth in the industry, according to the report published by Research and Markets. Through 2018, the wastewater treatment plants market in India is predicted to grow at an average annual rate of 15 percent in terms of industry revenues. A robust growth rate is also expected in terms of volume, as the rise in population and increasing urbanization will push up demand for sewage treatment over the next few years, the report found.