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ADB offers 275 mln USD loan to help Bangladesh to continue water supply upgrades

Xinhua, July 18, 2016 Adjust font size:

The Asian Development Bank (ADB) and the Bangladeshi government have signed a 275 million U.S. dollars loan agreement for further improving and expanding water supply system in Dhaka.

Mohammad Mejbahuddin, senior secretary of Bangladesh's Economic Relations Division (ERD), and Kazuhiko Higuchi, country director of Bangladesh Resident Mission of ADB, signed the agreements here on Sunday.

Dhaka city is expanding fast, and demand for safe drinking water is rising rapidly,said Kazuhiko Higuchi.This project will help over 7 million people in Dhaka get access to safe, regular, and affordable water services.

Earlier, ADB provided the Dhaka Water Supply and Sewerage Authority (DWASA) with 400 million U.S. dollars for improving water supply system in Dhaka but physical water losses still needs to be reduced to further improve service delivery in many areas.

According to a statement of the bank, the new ADB assistance under the Dhaka Water Supply Network Improvement Project will be used to rehabilitate water distribution pipelines and set up new district metered areas, with about 5,000 new and legalized connections established in low income communities, and 229,000 connections upgraded for households and communities.

The new project is targeting 24-hour piped water supplies to an additional 6.5 million people in the new district metered areas by 2022, with non revenue water losses cut to below 10 percent from the current approximate rate of around 30 percent, it said.

A range of actions will be taken to boost the capacity of staff to manage and operate the network effectively, including providing training for around 700 staff, with 30 percent of them women, it added.

ADB said assistance will also be given to help the Dhaka Water Supply and Sewerage Authority (DWASA) prepare an operational and financial improvement plan and to increase public awareness on water conservation.

It said Dhakas demand for water is expected to rise from 2,144 million liters a day in 2015 to around 2,616 million liters a day in 2020, and although the supply authority is taking steps to expand capacity with ADBs help, it will not be enough to meet the projected needs without a substantial cut in ongoing losses.

Climate change, including rising sea levels that could increase salinization of ground and surface water, is also expected to reduce available potable water, it added. Endit