The Government of India and Asian Development Bank (ADB) signed a $112 million loan to develop water supply infrastructure and strengthen capacities of urban local bodies (ULBs) for improved service delivery in four towns in the state of Jharkhand.

The signatories to the agreement for Jharkhand Urban Water Supply Improvement Project were Mr. Rajat Kumar Mishra, Additional Secretary, Department of Economic Affairs in the Ministry of Finance who signed for the Government of India, and Mr. Takeo Konishi, Country Director of ADB’s India Resident Mission who signed for ADB.

After signing the agreement, Mr. Mishra stated that the project is aligned with Government of Jharkhand’s priority to improve urban services in the state and will ensure continuous, treated piped water supply in the state capital of Ranchi and other three towns of Hussainabad, Jhumri Telaiya, and Medininagar located in economically and socially backward areas.

“The project will be ADB’s first urban project in the state and help establish a model for continuous water supply combined with policy reforms for sustainable operation which can be replicated by other low-income states for providing safe drinking water to urban households as envisaged under national Jal Jeevan Mission,” said Mr. Konishi.

Four water treatment plants, with a combined capacity of 275 million liters per day, will be established in the project towns to provide safe drinking water meeting the national drinking water quality standards. The project will also establish 940 kilometers of water distribution network to provide continuous water supply to about 115,000 households, including those below the poverty line, scheduled caste and scheduled tribe members, and other vulnerable groups.

To ensure sustainability, the project will strengthen the capacity of ULBs on urban service delivery and governance through development of an asset management strategy and training on design and implementation of urban projects. Innovative technologies will be introduced to minimize water losses in water treatment and distribution. The project also includes the use of a supervisory control and data acquisition system for water supply operation, and geographic information system-based asset management in Ranchi.

ADB is committed to achieve a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 68 members-49 from the region.

Loan agreement for urban water infrastructure enables continuous treated piped supply and capacity strengthening in Jharkhand towns. A loan agreement between the Government of India and the Asian Development Bank finances the Jharkhand Urban Water Supply Improvement Project to construct water treatment plants and an extensive distribution network to deliver continuous, treated piped water to about 115,000 households, including vulnerable groups, while strengthening urban local bodies through asset management, training, and adoption of SCADA and GIS technologies for sustainable operation.