World Bank provides $80 million to improve water supply and sanitation services

The World Bank’s Board of Executive Directors today approved an $80 million project to help Nepal improve the delivery of water and sanitation services and promote integrated water resources management.

“This project aims to strengthen the delivery of water and sanitation services at the local level by building the capacity of municipalities and thereby supporting Nepal’s historic transition to federalism, while at the same time addressing critical gaps in water and sanitation infrastructure that hinder Nepal’s economic progress,” said World Bank country director for Maldives, Nepal, and Sri Lanka Faris Hadad-Zervos.

The Water Sector Governance and Infrastructure Support Project will be implemented in strategic towns and rural municipalities in Karnali and Sudurpashchim provinces. Both provinces have low access to water supply and sanitation services, a higher incidence of poverty, and are vulnerable to climate change.

The project will help the local governments develop viable institutions to deliver water supply and sanitation services sustainably and efficiently, a press note issued by the multilateral development partner reads. The project will also strengthen the accountability of the sector to customers by building the monitoring and regulatory capacity of provincial and federal government agencies in the sector, it reads, adding that these will be complemented by investments in construction and rehabilitation of vital water supply and sanitation infrastructure, as well as water-quality surveillance facilities and monitoring systems.

“Through this project, we look forward to supporting the government of Nepal’s efforts to transform the water and sanitation by applying best practices in climate resilience, gender equality, social inclusion and citizen engagement – all of which are essential for delivering effective, equitable and inclusive services to local communities,” said Water Resources specialist and the Task Team Leader for the Project Feriha Mukuve Mugisha.

ADB boosting access to urban water and sanitation

The Board of Directors of the Asian Development Bank (ADB) has approved a loan of $130 million to improve access to community-managed water supply and sanitation in 20 urban municipalities of Nepal.
"Unmanaged rapid urban growth and lack of improved water supply and sanitation have led to environmental degradation, public health risks, rising urban poverty, and increased vulnerability to climate change and natural hazards,” said ADB senior Urban Development Specialist Alexandra Vogl. “Building on the experience of three previous ADB projects, the project will finance climate-resilient and accessible water supply and sanitation infrastructure and strengthen capacity in the communities and utility operators to deliver services over the long term.”
Nepal has made strong efforts to improve access to water supply and sanitation, increasing coverage since 2000. However, in 2016, only 34 per cent of water supply was reported to be safe and 15 per cent met the national water quality standards. More efforts are also needed to improve sanitation, given that only 34 per cent of urban households have septic tanks and only 15 per cent have sewer connections. Overall, municipalities lack funds and skilled personnel to provide cost-effective services.
Since 2000, ADB has successfully supported the government in improving water supply and sanitation services based on a community-driven cost-sharing approach in 70 small towns through three projects, introducing continuous water supply and household connections, and subsidising water services to poor and vulnerable households.
The new project will support the installation or repair of 1,600-km of water supply pipes and 15 water treatment plants each with an estimated capacity of 600,000 liters a day. This will result in 66,000 households being connected to piped water. About 8,000 toilets will also be constructed along with 20 public toilets suitable for both genders and the disabled. Among other activities, the project will construct two wastewater treatment plants and 30 km of storm water drainage.
The project will also prepare water, sanitation, and hygiene plans for all project municipalities; support local water user associations and committees; train staff; and carry out awareness campaigns on water conservation and hygiene behaviour.
Poor and vulnerable households will be covered through subsidised connections to the piped water supply. Women will benefit in particular from less time spent on collecting and managing water and from opportunities for work, training, project consultations, and participation in the 20 water users’ and sanitation committees that will be set up. 
The total cost of the project is $178.5 million, of which the government and beneficiaries will contribute $48.5 million. The targeted completion date for the project is October 2023.
ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 67 members – 48 from the region. In 2017, ADB operations totaled $32.2 billion, including $11.9 billion in cofinancing.