India, home to 18% of the global population, faces severe water stress with only 4% of fresh surface water. This blog explores the challenges of groundwater regulation, sustainable usage, and the impacts of climate change.
The Indian Meteorological Department highlights trends in rainfall distribution across India. In 2023, approximately 14 per cent of districts received no rainfall, while 17 per cent experienced a significant deficit. Conversely, around 13 per cent faced some deficit, while an astonishing 31 per cent had excessively heavy rains, leading to crop cycle disruption and severe flooding during non-monsoon months. Furthermore, India’s urban areas face severe water management challenges, struggling with shortages despite adequate rainfall due to poor management and rapid urbanisation. It is estimated that by 2050, 30 major Indian cities with a population of over 550 million will be under grave water risk.
These factors have led to an increase in the reliance on groundwater, making it essential for India’s socio-economic development. This reliance has been reinforced by favourable government policies such as subsidised electricity costs. India extracts about 240 billion cubic meters annually, making it the largest groundwater extractor worldwide. Groundwater is responsible for meeting 62% of India’s irrigation needs, 85% of rural domestic demands, and over 50% of urban water requirements.
Groundwater, Agriculture and Society
Groundwater played a pivotal role in spurring the Green Revolution and making India a food-secure nation. The adoption of groundwater irrigation pumps started gaining popularity in the 1980s as a means to complement the canal network, particularly in the Northwestern States of Punjab and Haryana. This contributed towards increasing the production of crops in the dry season and reducing the sensitivity of crops to weather variability, which in turn expedited the installation of groundwater pumps.
There are over 20 million groundwater irrigation pumps in the country. Farmers across all agro-climatic zones have become increasingly dependent on groundwater due to the growing unpredictability of rainfall caused by climate change. This dependence is primarily because farmers find wells reliable when canal water is available, even during dry spells or drought years.
India relies on groundwater irrigation to produce staple grain crops that provide over half of the calories consumed by its over 1.3 billion people.
Additionally, increased access to groundwater has had many positive social implications. Historically, access to water in India has been a means of discrimination against marginalised groups such as Dalits and Adivasis. Earlier, irrigation facilities were limited to advantaged social groups within canal command areas, reinforcing their dominance. With time, the decrease in groundwater extraction costs has democratised its access, providing a more equitable distribution.
However, this democratisation has led to overexploitation, causing a decline in water levels, which has reduced tubewell yields and increased pumping costs and greenhouse gas emissions.
Overexploitation and Regulation of Groundwater
The benefits of groundwater have also led to its over-exploitation. In the past 50 years, groundwater usage has increased by approximately 500%. The Central Groundwater Board of India estimates that 11% of the administrative blocks in India extract more water than is replenished, and in 14% of blocks, groundwater extraction is more than more than 70% of the recharge. This has alarming economic consequences: poverty rates tend to be 9-10% higher in districts where groundwater tables have fallen below 8 meters. If current trends persist, at least 25 % of India’s agriculture would per cent of India’s agriculture will be adversely impacted.
In light of the increasing demand for groundwater, the Government of India set up the Central Ground Water Authority (CGWA) in 1996 under the Environmental Protection Act of 1986. The CGWA oversees groundwater extraction for industries, infrastructure, mining, and commercial-scale drinking purposes. Industrial and commercial users pay groundwater extraction charges to the CGWA, which is used to recharge groundwater. In order to ensure the enforcement of the directives of the CGWA, it has been brought under the purview of the National Green Tribunal. Following the implementation of this model, many state governments have set up similar authorities to regulate groundwater use.
However, at the national and state levels, the national and state-level groundwater regulatory setup of India does not cover groundwater use for agriculture, even though it accounts for 90% of groundwater extraction.
Innovative Community-led Groundwater Management
Current policies and interventions to counter groundwater over-exploitation have predominantly focused on supply-side measures such as rainwater harvesting and aquifer recharging. Significant efforts have been made by state departments, research institutes, and corporate social responsibility (CSR) activities. The Government of India’s flagship programme, MGNREGA, emphasises rainwater harvesting and aquifer recharge. However, evidence indicates that a combined approach incorporating supply and demand-side interventions is more effective.
Case studies in Rajasthan, Telangana, and Andhra Pradesh, supported by the World Bank, reveal the importance of conjunctive use of surface and groundwater, proper regulation of borewell drilling, and adopting water-efficient irrigation technologies. For instance, interventions in Rajasthan have led to an average decline in groundwater depletion rates by 20%, with significant shifts towards low water-intensive crops and increased use of micro-irrigation systems.
Furthermore, as implemented in Rajasthan, innovative policy measures, such as rural feeder segregation for regulated power supply to agriculture, can mitigate groundwater over-extraction. The case of Nalgonda in Telangana demonstrates the effectiveness of participatory groundwater management, which helped transition a village from ‘Critical’ to ‘Safe’ groundwater status through systematic aquifer mapping and controlled drilling. Financial incentives and market-oriented approaches promoting climate-smart crops and technologies also show promise in reducing groundwater dependence. However, political sensitivities and policy distortions, such as widespread electricity subsidies, continue to pose significant challenges. Ultimately, a coordinated effort involving national and state policies, improved market access, and community-centred governance is essential for sustainable groundwater management in India.
Additionally, a community-centric approach is crucial. Seamless information transfer on groundwater levels and quality from the government to stakeholders is vital. Imposing higher energy costs for groundwater extraction by large farmers can discourage overuse. Regularly enhancing the Minimum Support Price (MSP) for low water-intensive crops like millets and ensuring their consistent procurement will promote crop diversification. Strictly implementing effluent treatment plants and water recycling in industries and urban areas is necessary to prevent contamination. Establishing rural water treatment facilities through participatory governance will also help manage local resources effectively.
Way forwards: Integrating Demand-Side Solutions and Community Engagement
India’s groundwater landscape presents significant challenges due to over-exploitation and climate change. Groundwater is crucial for agriculture, urban needs, and socio-economic development, but its unsustainable use threatens future availability. Current policies focus mainly on supply-side measures like rainwater harvesting and aquifer recharging, but evidence suggests that integrating demand-side interventions is more effective.
Case studies in Rajasthan, Telangana, and Andhra Pradesh highlight the success of combining these approaches. Innovative policies, participatory management, and community-centred governance are essential for sustainable groundwater management. Raising awareness, improving information transfer, and implementing stricter regulations on water usage are vital steps.
A coordinated effort involving national and state policies, market access, and community involvement is necessary to ensure long-term water security and resilience against climate change, balancing technological, regulatory, and community-based strategies for sustainable groundwater use.
Author’s Bio: Subhomay Saha is a student of the Post Graduate Programme in Management at the Indian School of Business, Class of 2025. He holds an undergraduate degree in Geology from Hansraj College, Delhi University, and a postgraduate degree in Labour Studies and Practices from the Tata Institute of Social Sciences, Mumbai. Subhomay has worked in different parts of the country in the areas of malnutrition, migration, rural livelihoods, and climate change. He has collaborated with organisations such as Tata Trusts, Swaniti Global, and KPMG India Ltd.
DISCLAIMER : The views expressed in this blog/article are author’s personal.