Karakol to receive 11.2 mn euros to improve water supply system

Bishkek, Dec. 24, 2018. /Kabar/. The city of Karakol will receive a 5.5 million euro loan from the European Bank for Reconstruction and Development and a grant of 5.7 million euros from the Swiss government, press service of the EBRD reported.

It is noted that the funds will be spent on a municipal investment project to improve the water supply system.

The Vodokanal Karakol municipal enterprise will receive a 15-year sovereign loan of 5.5 million euros and a Swiss government grant of 5.7 million euros, which will be used to improve the old water infrastructure installed more than 50 years ago.

The project provides funding for a number of works to improve the water supply system, including renovation of the pipeline network, as well as renewal of operating and process equipment, record keeping system, water storage tank and a pumping station.

After completion of the project, the number of users of the Vodokanal enterprise will increase by 14,000 by 2021. During the project, the EBRD will help to update the client base and optimize the water use tariff system.

The restoration of the existing water supply infrastructure will also have a positive effect on the functioning of the municipal enterprise: water consumption will drop from the current 14 million m3 per year to 1.9 million m3 by 2023. This is important for the sustainable use of groundwater in a country that is included in the list of Central Asian countries most affected by climate change.

All contracts for the supply of equipment will be concluded as a result of an open tender in accordance with the rules and procurement policy of the EBRD. This will provide equal conditions for suppliers, and increase the transparency and cost-effectiveness of the program for improving the water supply infrastructure.

To date, the EBRD has invested more than 660 million euros in the economy of Kyrgyzstan, the majority of investments were aimed at supporting private entrepreneurship. More than 140 million euros were invested in 18 water projects in all the regions of the Kyrgyz Republic.