ADB loan to upgrade sewage, drainage, and water supply systems in 3 TN districts
The Centre and the Asian Development Bank (ADB) on Tuesday (December 27) signed a $125 million loan to develop climate-resilient sewage collection and treatment, and drainage and water supply systems, in three cities of Tamil Nadu.
The tranche 3 loan covers Coimbatore, Madurai, and Thoothukudi districts.
The signatories to the tranche 3 loan for Tamil Nadu Urban Flagship Investment Program were Rajat Kumar Mishra, additional secretary, Department of Economic Affairs in the Ministry of Finance who signed for the Government of India, and Hoe Yun Jeong, Officer-in-Charge of ADB’s India Resident Mission who signed for the ADB.
Third and last tranche of $500 million loan
The financing is the third and the last tranche of the $500 million multi-tranche financing facility (MFF) for the programme approved by the ADB in 2018 to build priority water supply, sewerage, and drainage infrastructure in strategic industrial corridors across 10 cities in the state.
After signing the loan agreement, Mishra said that the ADB financing would help ensure universal access to basic water and sanitation services and improve resilience against floods in the project target areas which are also the industrial hubs of Tamil Nadu.
Also read: Tamil Nadu accounts for 15% of all factories in India, says RBI report
“Through this project, ADB continues to support developing and improving urban services in the state by deploying new approaches such as build and operate modality, automatic meters for bulk water users, and real-time monitoring through supervisory control and data acquisition systems,” said Jeong. “
ADB’s urban investments are aligned to support strategic industrial corridor development in Tamil Nadu,” he added.
Coimbatore, Madurai, and Thoothukudi to benefit
The financing will support the development of two sewage treatment plants in Coimbatore with 529 km of sewage collection pipelines, help in the installation of 14 pump-and-lift stations and building of 14 km of sewage pumping mains. In Thoothukudi, a climate-resilient stormwater drainage system will be developed.
In Madurai, the project will support the commissioning of 813 km of new water supply distribution pipelines that will connect 163,958 households to 115 newly-established district metered areas with smart water features to reduce non-revenue water.
In Coimbatore and Madurai, two all-female self-help groups will be trained on the benefits of household connection to sewage collection systems, water conservation, sanitation, and health and hygiene.
