India’s water and wastewater sector continues to expand through major public programmes, new treatment capacity and growing investment in reuse, desalination and digital water management. Union Budget 2026–27 allocations for the Ministry of Housing and Urban Affairs and Ministry of Jal Shakti provide continued support for urban water supply, rural drinking water, sanitation and river-rejuvenation programmes.

Progress under AMRUT and AMRUT 2.0 includes millions of household tap connections, extensive pipeline development and additional water-treatment, sewage-treatment and reuse capacity. The Jal Jeevan Mission has also expanded rural tap-water coverage, while sanitation programmes are supporting liquid-waste management and decentralised treatment infrastructure.

Large water-supply projects are progressing across several states, alongside increased attention to non-revenue water reduction, smart metering, network monitoring and 24×7 supply systems. These measures indicate a gradual shift from capacity creation alone towards improved efficiency and operational performance.

Wastewater infrastructure is also seeing significant investment, including sewerage projects, STPs, greywater management and pipeline rehabilitation. New technologies such as advanced biological treatment and trenchless sewer rehabilitation are increasingly being considered for urban applications

Desalination remains an important growth segment, particularly in coastal states. Major projects under construction in Tamil Nadu and Gujarat are expanding seawater-treatment capacity, while research into lower-energy and solar-assisted desalination technologies points towards a stronger sustainability focus.

Overall, the sector is moving towards a more integrated model combining water supply, wastewater treatment, reuse, digital monitoring, resource efficiency and alternative water sources.