Armenia gets 23m dollars from World Bank to improve water supplies

Armenia gets 23m dollars from World Bank to improve water supplies

Arminfo
9 Jul 04

YEREVAN

Armvodokanal [Armenian water canal] and the World Bank have signed a
credit programme to the tune of 23m dollars for 40 years to restore
Armenia’s system of water supplies, the head of the Armenian State
Committee for Water Resources, Andranik Andreasyan, told reporters at
a press conference today.

The programme aims to choose a new operator in the system of water
supplies. The French company [Water Utility] Saur was chosen as a new
operator in a tender. The State Committee for Water Resources is
planning to submit the package of the credit programme during the
autumn session of the Armenian National Assembly.

Moreover, two programmes of the German KfW bank to the tune of 94m
euros are being prepared for the Armenian water supplies company Nor
Akunk that operates in Armavir Region. For the implementation of the
first programme which envisages restoration work in Armavir Region,
the German government will allocate a 14m-euro credit. The second
programme, designed for restoration work in the country’s Lori and
Shirak Regions, will be carried out stage-by-stage. The overall
funding of the programme is 80m euros, and 25m euros will be
channelled into the implementation of the first stage.

Andreasyan said that due to the need for massive work in these areas,
the government of Germany has decided to allocate one third of the 25
euros (about 8m dollars) as a grant.

The security problem in all operating reservoirs will be resolved with
the World Bank’s new credit programme amounting to 7.5m dollars, the
head of the Armenian State Committee for Water Resources, Andranik
Andreasyan, told reporters at the press conference today.

The programme will be a continuation of the already implemented World
Bank programme to maintain security in strategic reservoirs, he
said. Andreasyan also said that a programme of developing irrigation
systems is being prepared at the moment. He said that for the time
being, 54 leading organizations are operating in the country’s
irrigation system, whereas only one big company Dzhirar is engaged in
water supplies.

New tariffs have been established for services in the irrigation
system at present, Andreasyan said. Thus, one cubic metre of
irrigation water in Yerevan is 90 drams and 100 drams outside the
capital. The difference in tariffs is explained by the fact that 45
pumping stations, which consume great amounts of energy, are operating
in rural areas.

From: Emil Lazarian | Ararat NewsPress