The break even cost of treated water from a water treatment plant depends on the capital cost and the operation cost through out its life span. The main capital investments in Garden Reach water works occured in two phases. The operation of first phase was started on 1982 and second phase from 2000.

There is a continuous increase in expenditure for running municipal water supply systems in India. Many water treatment plants of various capacities are being constructed to cope with the increasing water demand. Now the most efficient and cost effective way to supply water to a locality with maximum production cost is to be found out to maximize the benefit from the fund spent.