Project description
and objectives:
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Proposal to co-finance with the Kaunas Water Company and the EU Cohesion Fund
(formerly ISPA) programme for improvements to water and waste-water services
in the City of Kaunas. Phase Two of the Kaunas Water and Environment Project
complements an ongoing water and waste-water improvement programme that
started in 1995 which is known as Phase One.
The project aims to improve water and waste-water services in the City of
Kaunas by co-financing a facility to remove iron from the potable water supply
and to undertake network extensions and rehabilitation. The Kaunas Water
Company and the EU's Instrument for Structural Policies for Pre-accession
(ISPA) Facility will co-finance secondary treatment capacity for the
waste-water treatment plant.
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Transition
impact:
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This is the first loan to a water and waste-water utility in Lithuania without
a sovereign guarantee. It will demonstrate to other cities and banks that
self-financing municipal services can be financed without recourse to
sovereign or full municipal financial guarantees.
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The client:
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Kaunas Water Company
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EBRD
finance:
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Loan of US$ 12.5 million (€14.7 million) plus an extension of the loan by €5.0
million in total €19.7 million.
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Total project cost:
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Total project costs are estimated at €53.3 million.
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Environmental impact:
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The project has been screened B/0, requiring an environmental analysis of the
proposed investment programme. Further investment in improving drinking water
and effluent will significantly contribute to reducing negative environmental
impact and will reduce public health hazards and pollution of surface water
sources in the city of Kaunas.
The environmental analysis will provide information on the environmental
impact associated with the physical investments in construction,
commissioning, operation and maintenance of iron removal facilities,
rehabilitation and extension of drinking water distribution networks,
biological waste-water treatment and extension of sewerage collection
networks. It will also cover protection for workers' health and safety,
procedures and copies of environmental permits, approvals and agreements and
compliance with standards of adequacy. In addition, it will identify the best
way to improve information and communication with the public. No separate
environmental audit is required at this stage.
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Technical
cooperation:
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TC funding will be used to finance:
-
completion of a feasibility study for some of the investment components;
-
institutional development for the Kaunas Water Company and the City of Kaunas.
For consultant opportunities for projects financed by technical cooperation
funds, visit procurement
of consultants.
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EBRD contact:
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Ieva Grauzinyte, Operation Leader: grauzini@ebrd.com
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Procurement or tendering
opportunities:
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Visit EBRD Procurement
Enquiries: Tel: +44 20 7338 6794; Fax: +44 20 7338 7472, Email: procurement@ebrd.com
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General
enquiries:
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EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168; Fax: +44 20 7338 7380
Email: projectenquiries@ebrd.com
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