Chennai: Tamil Nadu could hope to see better infrastructure with the Asian Development Bank (ADB) approving financing of up to $500 million for a multi-tranche financing facility (MFF) to develop climate-resilient water supply, sewerage and drainage infrastructure in at least 10 cities in the state.
The first tranche of the programme amounting to $169 million will cover Chennai, Coimbatore, Rajapalayam, Tiruchy, Tirunelveli and Vellore. The Board of Directors of the ADB has approved financing of up to $500 million for MFF for 10 cities. “With almost half of the state population living in cities, Tamil Nadu is the most urbanised of India's large states,” said ADB senior urban development specialist Mr Ron Slangen.
The ADB programme will provide direct assistance in these areas as part of its support to the state's Vision Tamil Nadu 2023 to provide universal access to water and sanitation and to develop world-class cities in high-performing industrial corridors.
“Managing this rapid urbanisation is essential for sustaining its economic growth and alleviating poverty. The state suffers from recurring droughts and erratic monsoons linked to climate change resulting in severe water scarcity and urban flooding. ADB's support will help address these complex urban challenges through innovative and climate-resilient investment and deeper institutional support,” he said.
ADB's financing will be provided in three tranches between now and March 2022. It will also install the country's first solar-powered sewage treatment plant on a pilot basis. In addition, it would introduce smart water management systems to reduce non-revenue water and strengthen operational efficiency. Around 4 million people will benefit from piped water and sewerage connections and improved drainage. Beyond physical investments, the programme will boost institutional capacity, public awareness and urban governance as part of a comprehensive approach for developing livable cities.
An ADB technical assistance grant of $1 million will accompany the programme to support capacity building. The period of MFF availability is up to June 30, 2026....