Section 11(h) in The Maharashtra Water Resources Regulatory Authority Act, 2005
(h)to lay down the criteria for modification in Entitlements for the diversion, storage and use of the surface and sub-surface waters of the State. These criteria shall among others, include the following:-(i)Aggregate Bulk Water Entitlements will be considered as Bulk Water Entitlements under the provisions of this Act except that they shall not be a usufructuary right and will only be adjusted by the Authority if there is a compensating change, under the provisions of this Act, to any component Bulk Water Entitlement that comprise part of the Aggregate Bulk Water Entitlement;(ii)in the event that any Water user Entity wishes to use its category priority to mandate a change in the use or volume of any Entitlement, that entity shall demonstrate in a public hearing before the Authority, that it has exhausted all attempts to conserve, increase efficiency and manage its demand of water within its Entitlement and has exhausted all opportunities to increase its Entitlement through a transfer within the voluntary, market based economy. If, after such a public hearing, the Authority deems such a mandated transfer, on either an annual or permanent basis, to be legal and necessary in the interest of the people of the State, the Authority shall then determine a fair and just compensation as determined by the market value of the water resource, to be paid to the Entitlement holder by the entity exercising the mandated user category preference;
