ADB grants $ 128 m for Greater Colombo Water and Wastewater Management program

The Asian Development Bank (ADB) has agreed to provide $ 128 million for the implementation of the Greater Colombo Water and Wastewater Management Improvement Investment Program to provide safe water and full sanitation coverage in the capital city area.

Country Director of the ADB’s Sri Lanka Resident Mission Sri Widowati Thursday signed the grant agreement on behalf of ADB while Dr. R.H.S. Samaratunga, Secretary to the Treasury, Ministry of Finance, signed for the Government of Sri Lanka.

Widowati said the investment program would improve Colombo city dwellers’ quality of life and would cater to the increasing demand in the city for improved water and wastewater services.

Colombo’s piped water supply system and piped sewerage system was built more than 100 years ago and no longer fully meets today’s needs. The water system upgrade is expected to bring 24/7 water supply to Colombo city by reducing non-revenue water to less than 20%.

The project will also improve the sewer system in Colombo city and will support the Government to construct a wastewater treatment plant for the Colombo city southern catchment.

ADB’s Multi-tranche Financing Facility (MFF) – totalling $ 300 million – will fund 20% of the $ 1.5 billion investment plan for water and sanitation in Greater Colombo.

The first loan of $ 84 million was made in 2012 and the second loan of $ 88 million in 2013. This is the third and last phase of the MFF.

This third phase will construct a new sewer system in un-served areas of Kirulapone. The proposed wastewater treatment plant will improve effluent water quality of the Wellawatta sea outfall. These works will be undertaken by the Colombo Municipal Council.

The third phase will also support the National Water Supply and Drainage Board to complete non-revenue water reduction program commenced under the previous phases.