ADB is helping India expand and improve water and sanitation systems in peripheral areas of Kolkata city. The first tranche under the program will help restore the original production capacity of two water treatment plants, and install sewer pipes, pump stations, and 2,300 sewerage connections. It will also help the Kolkata Municipal Corporation put together a long-term cost recovery and subsidy plan.
|Project Name||Kolkata Environmental Improvement Investment Program - Tranche 1|
|Project Type / Modality of Assistance||Loan
|Source of Funding / Amount||
|Strategic Agendas||Environmentally sustainable growth
Inclusive economic growth
|Drivers of Change||Gender Equity and Mainstreaming
Governance and capacity development
Private sector development
|Sector / Subsector||
Water and other urban infrastructure and services / Urban sewerage - Urban water supply
|Gender Equity and Mainstreaming||Effective gender mainstreaming|
Kolkata is the largest city in the state of West Bengal and the seventh largest in India. It has a population of 4.5 million and contributes at least 13% of West Bengal''s gross domestic product. The city is and will remain the dominant commercial and financial hub in the state. Although its livability has improved, the quality of basic urban services remains below national standards. The gap is particularly noticeable in water supply and sewerage services in regard to coverage, continuity, and quality. This affects the city''s ability to attract investment, facilitate trade, and create jobs, as well as its productivity, its competitiveness, and, most importantly, its quality of life and welfare. Investment and policy gaps hinder how effectively and efficiently institutions deliver services, and how well the policy framework creates an enabling environment for better service delivery and sustainability. These limitations have been manageable, but Kolkata''s expanding economy and deficient investment and maintenance over the years have made narrowing the gaps more urgent. The Kolkata Municipal Corporation (KMC), created to administer the city under the KMC Act in 1980, is responsible for delivering water and sewerage services. The Asian Development Bank (ADB) has been working with KMC since 2000, but only regarding sewerage. The partnership has yielded good results. KMC has a strategy, sector road map, policy framework, and investment plan to address gaps in operational efficiency, institutional effectiveness, policy, and sustainability. The investment program combines physical and other investments. KMC wants ADB to continue its role as a key financing and advisory partner.
The Project proposed for financing under the Periodic Financing Request will deliver three outputs:
(i) Inefficient water supply assets rehabilitated;
(ii) Sewerage and extension to peripheral areas continued; and
(iii) Financial and project management capacity further developed.
|Project Rationale and Linkage to Country/Regional Strategy||Water supply and sewerage services in Kolkata have excelled the national average, particularly in terms of quality, continuity, and coverage. The city also has a good, low-cost sewage treatment system. However, service provision is not uniform across the city and is increasingly strained by economic expansion. Service is better in the city center than in the periphery. This is both a problem and an opportunity. The problem is that the number of vulnerable households has grown rapidly in the periphery as the population has declined in the center, which is subserviced. The opportunity arises from the KMC''s ability to generate revenues from a still-large population with higher income in the center, with which to fund investment in the periphery. The city has worked hard to narrow service disparities. Efforts started with two loans provided in 2000 and 2006 for the Kolkata Environmental Improvement Project (KEIP), which financed the renovation of 564 kilometers (km) of the sewer drain network and the rehabilitation of three sewage treatment plants, raising the percentage of the population with direct sewer connection from 31% in 2001 to 43% in 2011. The service coverage for water supply is higher than for sewerage, but disparities between central and peripheral areas remain, particularly in service continuity. Unless addressed rapidly, these disparities will widen as population shifts from the center to the periphery.|
|Impact||Improved water supply, sewerage, and drainage service quality and operational sustainability in select areas of KMC|
|Description of Outcome||Improved operational efficiency and coverage of water supply, sewerage, drainage services in selected areas of KMC.|
|Progress Toward Outcome||All contract packages have been awarded under the Project nearing completion.|
|Description of Project Outputs||
Inefficient water supply assets rehabilitated.
Sewerage extension to peripheral areas continued.
Financial and project management capacity further developed.
|Status of Implementation Progress (Outputs, Activities, and Issues)||22.17 kms of sewerage - drainage pipes laid.House connections are being progressively provided with the laying of sewerage network. 870 house connections provided so far.Water production capacity restored to 1,478 mld4 km of trunk main laid.Works for non revenue water reduction in the pilot area is under progress. District Metering areas (DMAs) identified. 6 DMAs completed and commissioned. 92 kms of water supply pipes laid till now.The household water meters are being installed in the identified district metering areas of the pilot area. 7,395 household water meters installed so far.The draft notification is under preparation.Being complied with.Ongoing. Staff has attended FIDIC, gender training, disbursement and WLM trainings to date.|
|Geographical Location||Behala, Garden Reach Water Works, Kolkata, Palta, Santoshpur|
|Summary of Environmental and Social Aspects|
|Environmental Aspects||All subprojects in Tranche 1 were appraised and IEEs with EMPs were prepared in compliance with the SPS, 2009. No significant environmental impacts are anticipated for the proposed subprojects and there are no sensitive or protected areas in or around the proposed facilities. Any foreseen impacts are readily mitigated through proper facility design, sitting, and good construction practices as documented in the EMP.|
|Involuntary Resettlement||The proposed sub projects under Tranche 1 will avoid significant IR impacts. Impacts are limited to potential short-term temporary impacts. All Tranche 1 subprojects were appraised and RP/ DDRs prepared in accordance with SPS, 2009.|
|Indigenous Peoples||There are no impacts to IPs anticipated.|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design||Consultations have been held throughout the planning and design stage with Mayor, PMU, KMC officials, and state government departments like Pollution Control Board (PCB). Walk through informal discussions have been held with the local community along the proposed transmission stretch to assess the kind of impacts.|
|During Project Implementation||The design and technique adopted by KMC has helped address and mitigate potential social issues associated with works. However, information disclosure is an integral part of safeguards planning during project implementation. Consultations and information disclosure will be carried out at different stages of the project cycle. Consultation measures envisaged for the project are: (i) KMC will inform through its officials and contractor about the construction schedule to minimize the temporary impacts; (ii) PMU will ensure that the affected people's if any will be identified and informed about the assistance to be provided for any temporary loss of livelihood; and (iii) attempts will be made to ensure that vulnerable groups, if any, will understand the process and that their specific needs will be taken in to consideration.|
|Consulting Services||Kolkata Environmental Improvement Investment Program (KEIIP) recruited four consulting firms, i.e. (i) program management consultants; (ii) design and supervision consultants; (iii) public communication and social development consultants; and (iv) GIS-based management system consultant Phase 1, using the quality-and-cost-based selection method with a quality-cost ratio of 90:10 in accordance with ADB's Guidelines on the Use of Consultants (2013, as amended from time to time).|
|Procurement||Procurement of civil works carried out in accordance with ADB's Procurement Guidelines (2013, as amended from time to time).|
|Responsible ADB Officer||Majumder, Sourav|
|Responsible ADB Department||South Asia Department|
|Responsible ADB Division||India Resident Mission|
Kolkata Municipal Corporation
5, S.N.Banerjee Road
Kolkata 700 013, India
|MRM||14 Aug 2012|
|Approval||22 Oct 2013|
|Last Review Mission||-|
|Last PDS Update||02 Dec 2020|
|Approval||Signing Date||Effectivity Date||Closing|
|22 Oct 2013||03 Mar 2014||30 May 2014||30 Jun 2019||30 Jun 2020||07 Jan 2021|
|Financing Plan||Loan Utilization|
|Total (Amount in US$ million)||Date||ADB||Others||Net Percentage|
|Project Cost||140.00||Cumulative Contract Awards|
|ADB||100.00||22 Oct 2013||69.50||0.00||100%|
|Cofinancing||0.00||22 Oct 2013||69.50||0.00||100%|
|Status of Covenants|
Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.
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Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.
Evaluation Documents See also: Independent Evaluation
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|Tender Title||Type||Status||Posting Date||Deadline|
|Loan No. 3053-IND: Kolkata Environmental Improvement Investment Program - Tranche 1||Prequalified applicants||Archived||04 Feb 2014|
|Contract Title||Approval Number||Contract Date||Contractor||Contractor Address||Executing Agency||Contract Description||Total Contract Amount (US$)||Contract Amount Financed by ADB (US$)|
|SUPPLY AND INSTALLATION OF HARDWARE AND SOFTWARE FOR PROJECT ACCOUNTING SYSTEM FOR KEIIP||Loan 3053||27 Sep 2017||SIFY TECHNOLOGIES LIMITED||2ND FLR, TIDEL PARK NO. 4, RAJIV GANDHI SALAI, TARAMANI, CHENNAI-600113, TN INDIA||Kolkata Municipal Corporation||SUPPLY OF GOODS||1,230,773.00||906,235.00|
|Title||Document Type||Document Date|
|Kolkata Environmental Improvement Investment Program - Tranche 1: Procurement Plan||Procurement Plans||Feb 2016|