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WORLD BANK EARMARKS US$ 20 MILLION TO ARMENIA
A1+
[12:12 pm] 31 October, 2008
The World Bank's Board of Directors today approved a US$20 million
credit for additional financing for the Armenia Municipal Water and
Wastewater Project (MWWP). The additional financing will support the
government's efforts in scaling up activities implemented under the
ongoing program of water system rehabilitation and improvements,
including an extension of the ongoing management contract between
the Armenia Water and Wastewater Company (AWSC), the water utility
in charge of the project, and an international water supply utility
operator.
Armenia has achieved considerable progress in efficiently delivering
safe and continuous water to its citizens. Reforms in water management
supported under the Bank-funded Municipal Development, Municipal Water
and Wastewater, and Yerevan Water and Wastewater Projects have led
to improved supply, quality, and financial viability of the water
utilities. The need for additional funding from the Bank to scale
up the on-going project was anticipated at appraisal of the project
and the management contract was prepared on the basis of a six year
program. The additional financing will therefore fund extension of
the management contract and the remaining investments identified
earlier. It will contribute towards meeting the huge investment needs
of the Armenian water supply sector.
"Citizens across Armenia have long awaited improvements in their
water supply," said Jonathan Kamkwalala, Leader of the World Bank
team designing the project. "The investment program under the
on-going project has largely proceeded on track, and the repair and
rehabilitation program for AWSC water supply systems has already
resulted in improved water quality and increased availability of
clean and safe water supply in areas participating in the project."
He continued "As an example, the weighted average daily hours of
drinking water availability has increased from 6 hours in 2004, to 12.2
hours in 2008, while the water safety and quality also improved in the
same period in the areas where the project has been implemented. The
institutional and financial performance of AWSC has notably improved as
a result of the project, however, there remain significant investment
needs in the sector. That's why the Bank will continue supporting
the government in reforming the water and wastewater services."
The Additional Financing will support three main components: (i)
AWSC Management Strengthening by providing funding for continuation
of the management contract for additional two years; (ii) AWSC
Investments by funding institutional and financial capacity building,
procurement of equipment and machinery to improve the operations
of AWSC, rehabilitation and improvement of chemical and biological
laboratories, and assistance to AWSC's training activities; and
(iii) Investments in Branch Systems by providing funding for the
replacement of deteriorated treatment and chlorination equipment;
procurement and installation of pressure loggers, pipes and fittings,
and design and civil works for network rehabilitation.
Armenia joined the World Bank in 1992 and IDA in 1993. Commitments
to date total approximately US $1.076 billion for 49 operations.
The credit is provided on "hardened' IDA terms with a maturity of 20
years, and a grace period of 10 years included. Armenia has been in
the process of graduating from IDA since July 1, 2006.
A1+
[12:12 pm] 31 October, 2008
The World Bank's Board of Directors today approved a US$20 million
credit for additional financing for the Armenia Municipal Water and
Wastewater Project (MWWP). The additional financing will support the
government's efforts in scaling up activities implemented under the
ongoing program of water system rehabilitation and improvements,
including an extension of the ongoing management contract between
the Armenia Water and Wastewater Company (AWSC), the water utility
in charge of the project, and an international water supply utility
operator.
Armenia has achieved considerable progress in efficiently delivering
safe and continuous water to its citizens. Reforms in water management
supported under the Bank-funded Municipal Development, Municipal Water
and Wastewater, and Yerevan Water and Wastewater Projects have led
to improved supply, quality, and financial viability of the water
utilities. The need for additional funding from the Bank to scale
up the on-going project was anticipated at appraisal of the project
and the management contract was prepared on the basis of a six year
program. The additional financing will therefore fund extension of
the management contract and the remaining investments identified
earlier. It will contribute towards meeting the huge investment needs
of the Armenian water supply sector.
"Citizens across Armenia have long awaited improvements in their
water supply," said Jonathan Kamkwalala, Leader of the World Bank
team designing the project. "The investment program under the
on-going project has largely proceeded on track, and the repair and
rehabilitation program for AWSC water supply systems has already
resulted in improved water quality and increased availability of
clean and safe water supply in areas participating in the project."
He continued "As an example, the weighted average daily hours of
drinking water availability has increased from 6 hours in 2004, to 12.2
hours in 2008, while the water safety and quality also improved in the
same period in the areas where the project has been implemented. The
institutional and financial performance of AWSC has notably improved as
a result of the project, however, there remain significant investment
needs in the sector. That's why the Bank will continue supporting
the government in reforming the water and wastewater services."
The Additional Financing will support three main components: (i)
AWSC Management Strengthening by providing funding for continuation
of the management contract for additional two years; (ii) AWSC
Investments by funding institutional and financial capacity building,
procurement of equipment and machinery to improve the operations
of AWSC, rehabilitation and improvement of chemical and biological
laboratories, and assistance to AWSC's training activities; and
(iii) Investments in Branch Systems by providing funding for the
replacement of deteriorated treatment and chlorination equipment;
procurement and installation of pressure loggers, pipes and fittings,
and design and civil works for network rehabilitation.
Armenia joined the World Bank in 1992 and IDA in 1993. Commitments
to date total approximately US $1.076 billion for 49 operations.
The credit is provided on "hardened' IDA terms with a maturity of 20
years, and a grace period of 10 years included. Armenia has been in
the process of graduating from IDA since July 1, 2006.