Water Act 1974: Sections 39 and 40 – Mandatory Annual Report and Audit of Accounts

Water Act 1974

Water Act 1974

Water Act 1974 : India faces growing challenges of water pollution, resource depletion, and sustainable water management. To address these issues, the Water (Prevention and Control of Pollution) Act, 1974 was enacted as one of the earliest comprehensive legislations in the country aimed at maintaining and restoring the wholesomeness of water.

While the Act primarily focuses on preventing water pollution and empowering the Central and State Pollution Control Boards, it also ensures accountability, transparency, and financial discipline through its provisions. In this regard, Sections 39 and 40 of the Water Act, 1974 hold significant importance.


Water Act 1974

Section 39: Annual Report

Section 39 mandates that:

  • Both the Central Pollution Control Board (CPCB) and every State Pollution Control Board (SPCB) must prepare an annual report every year.
  • This report should include details of the activities carried out during the year, steps taken for prevention and control of water pollution, and progress made in implementing pollution control programs.
  • Once prepared, the annual report must be submitted to the Central or State Government, as the case may be.
  • The Government is required to lay the report before Parliament or the State Legislature.

👉 Current Relevance (2025):
These reports are crucial for policy evaluation. For example, the CPCB’s annual reports today highlight progress on projects like the Namami Gange Programme, National Water Quality Monitoring Programme, and state-level water pollution initiatives, reflecting the real-time effectiveness of water governance.


Water Act 1974

Section 40: Audit of Accounts

Section 40 provides for strict financial accountability of Pollution Control Boards:

  • Both CPCB and SPCBs are required to maintain proper accounts of income and expenditure.
  • Their accounts are audited annually by the Comptroller and Auditor General of India (CAG).
  • The audited accounts, along with the CAG’s report, are submitted to the respective Government.
  • Finally, these are presented before Parliament or the State Legislature.

👉 Current Relevance (2025):
With increasing funding under national clean water projects and climate resilience programs, this provision ensures that public funds are not misused and remain dedicated to pollution control, monitoring, and infrastructure.


Water Act 1974

Importance of Sections 39 and 40

  1. Transparency: Ensures the public and government are aware of pollution control activities and outcomes.
  2. Accountability: Identifies gaps or negligence in board operations.
  3. Financial Discipline: Prevents misuse of government funds and ensures effective utilization.
  4. Policy Improvement: Annual and audit reports provide data that help governments improve future environmental policies.
  5. Public Awareness: Reports laid before legislatures indirectly inform the public about the seriousness of water conservation efforts.

Conclusion

Sections 39 and 40 of the Water Act, 1974 go beyond legal formalities — they strengthen the framework of good governance in environmental protection. Annual reports (Section 39) make Pollution Control Boards answerable for their performance, while financial audits (Section 40) ensure discipline in fund management. Together, they uphold the principles of accountability, transparency, and sustainability, which are critical in 2025 as India balances development with the urgent need for clean and safe water resources.

Save The Water Resourcs,

Save The Earth,

Save The Living Beings !!


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