Section 46(5) in The U.P. Water Supply and Sewerage Act, 1975
(5)Where the Nigam has borrowed any sum for advancing loans to a Jal Sansthan or a local body for water supply and sewerage services, the Nigam shall transfer such loans to such Jal Sansthan or local body at such terms and rates of interest, in such amount and subject to such conditions of repayment as the Nigam and Jal Sansthan or the local body may by agreement provide, for the efficient promotion, execution, operation and maintenance of water supply and sewerage services in its area.
