Azerbaijan, Baku, Nov. 20 / Trend , N.Ismayilova /
A new system of water supply and sewerage system will be created in Nakhchivan in 2014 within the second tranche of the Asian Development Bank (ADB) to the amount of $ 300 million to improve water and sanitation services in Azerbaijan, the ADB report said on Saturday.
"It is planned to implement two components - the construction of 162.6 kilometer-water distribution networks and 136.5 kilometer-sewer networks within this subproject," the statement said. "At present, the tender documentation is under preparation within the subproject. These operations may begin in the second quarter of 2012 and finish within two years."
According to the information, the main goal of the subproject is to improve access to safe, reliable and sustainable water supply and sewerage system in Nakhchivan.
"About 80 percent of the population is provided with water in Nakhichevan," the bank's report said. However, the vast majority do not get high quality drinking water."
The first phase of the subproject includes the preparation of contract documents, tendering, bid evaluation and conclusion of contract. It is assumed that two contracts will be concluded within the second tranche.
The construction work in Nakhchivan has been already launched within the first tranche of the MFF investment program.
The Azerbaijani government allocated $30.8 million to finance the construction of 38.3-kilometer water supply lines and 40.1 kilometer-sewerage lines in Nakhchivan. It is assumed that these operations will be completed in mid 2012. The work within the second tranche will cover all other water supply and sewerage lines of the city.
According to the ADB expectations, the second tranche will be approved by the bank's management by late 2011.
The loan funds primarily will be directed to complete the work within the system to improve water supply and sanitation in Agdash, Goychay and Nakhchivan, and it is planned to expand the project in Beylagan at the expense of the remaining funds.
According to the information posted at the bank's website, the second tranche is expected to be approved on Dec. 9.
At present, ADB has financed two projects to improve water and sewerage systems. The first loan worth $ 30 million was allocated in 2004 to restore the water supply system in Goychay and Nakhchivan with its total cost worth $39.9 million. The office said that the term of the project will expire on June 30, 2011.
Under the loan agreement, the ADB's first tranche loan of $75 million was allocated. The Azerbaijani government is providing $25 million.
The ADB Board of Directors approved MFF in the amount of $ 600 million in September 2009. The ADB Board of Directors plans to consider approval of the third tranche worth $ 175 million on Dec. 31, 2012.
MFF become the basis for an 8-year collaboration between ADB and the Azerbaijani government, given the phased investment, support by a clear strategy and reform program for water supply and sanitation.
The AICO Consulting Ltd / European Consultans Organization is the consultant of Azersu on water project.