Mumbai’s real estate sector has expressed concern over potential disruptions to project execution following the Brihanmumbai Municipal Corporation’s (BMC) decision to suspend water supply to construction sites and impose a 20% water cut on commercial and industrial users amid declining reservoir levels.
The restrictions come as water stocks in Mumbai’s seven lakes have fallen to 10.35% of their total storage capacity, prompting civic authorities to prioritize drinking water requirements and implement emergency conservation measures.
Industry stakeholders said the move, while necessary under prevailing circumstances, could affect construction schedules, increase operational costs and delay project deliveries if the restrictions continue for an extended period.
Kamlesh Thakur, President of NAREDCO Maharashtra and Co-Founder and Managing Director of Srishti Group, said construction activities including concreting, curing, plastering and finishing works rely heavily on uninterrupted water availability.
He noted that prolonged disruptions could impact labour productivity, escalate construction costs and delay the delivery of residential and infrastructure projects. Thakur also called for government support in facilitating access to treated water, streamlining approvals for alternative water sources and providing relief on project timelines where developments are demonstrably affected by the shortage.
Developers said many projects are already exploring alternatives such as treated wastewater, recycled water, rainwater harvesting systems and tanker supplies. However, concerns remain over the availability, affordability and scalability of such options, particularly for affordable and mid-income housing projects.
Shilpin Tater, Managing Director of Superb Realty, said additional expenditure on private water procurement and tanker supplies could place significant pressure on project budgets. He stressed the importance of expanding access to treated and recycled water to ensure continuity of construction activity.
Shraddha Kedia Agarwal, Director of Transcon Developers, said the restrictions are expected to affect project planning, resource allocation and execution schedules, particularly for developments nearing completion. She added that the situation highlights the need for greater integration of sustainable water management practices, including greywater recycling and rainwater harvesting systems.
Dhruman Shah, Promoter of Ariha Group, said uninterrupted water supply remains critical for projects in advanced stages of construction and warned that prolonged restrictions could have cascading effects on project timelines, possession schedules and customer commitments.
Industry representatives have urged civic authorities to accelerate the development of treated-water infrastructure and dedicated distribution networks for non-potable construction use. They also called for coordinated measures to ensure adequate tanker availability and reduce dependence on freshwater resources during periods of water stress.
While supporting the temporary restrictions, developers expressed hope that the measures would be reviewed once monsoon rains improve reservoir levels. They maintained that a long-term strategy combining water conservation, recycling infrastructure and sustainable urban planning would be essential to support Mumbai’s future growth while safeguarding critical resources.
