Section 162(1) in Andhra Pradesh Panchayat Raj Act, 1994
(1)Notwithstanding anything in this Act and subject to the rules made in this behalf, two or more Gram Panchayats may, -(i)construct and maintain water works for supply of water for washing and bathing purposes and protected water for drinking purposes from a common source, and(ii)entrust to [Mandal Praja Parishad] [Substituted 'Mandal Parishad' by Act No. 41 of 2006, dated 23.9.2006.] with its consent and on such terms as may be agreed upon the management of any institution or the execution or maintenance of any work.