Since branded mineral water is available for anything between Rs 12 and Rs 15 a litre, the difference in cost between the water provided by BMC and private manufacturers will now be thin.

But deputy mayor Gopal Shetty is hopeful that people would prefer BMC's mineral water even if it were nearly as costly as branded mineral water. His contention: ``The BMC is known to provide top-quality water.''

A rough estimate worked out by officials of the water supply department showed that if BMC sells mineral water at Rs 10 per bottle, it would make nearly Rs one crore every year. This, after providing land and electricity free to the company which will bottle the water.

Shetty said Bhandup complex, from where treated water is supplied to the city, will be provided to thebottling agency. ``The huge complex is lying unused, and providing land free won't cost anything extra to BMC,'' he explained. The plant for further treating the water and adding preservatives will be carried out by the contractor at his own cost.

But estimates say bottling a litre of water will cost the manufacturer Rs four. BMC will be paid Rs two per bottle, plus Rupee one as sewerage charge, and Rs three has been estimated as the manufacturer's profit and the distribution cost.

At present, BMC gets two paise per litre from the treated water supplied to mineral water-manufacturing companies and one paisa per litre as sewerage tax.

Shetty informed that tenders would be invited next week for bottling water, and production could start in a month's time.

Four months ago, the BMC had announced with much fanfare that it would make mineral water available to the people for Rs three per bottle. But just four months down the line, it has realised that the water will not be that cheap.