IFC Helps Improve Water Supply and Wastewater Treatment Services in India

Sep 21, 2011

IFC, a member of the World Bank Group, has provided a $5 million loan to Indian water services company, Vishwa Infrastructures and Services Private Limited, to help increase access to water and improve sewage treatment in two midsized Indian towns.

Vishwa Utilities Private Limited, a subsidiary, has partnered with Khandwa Municipal Corporation in Madhya Pradesh to help bring reliable water supply to Khandwa’s 200,000 residents by investing in water transmission, treatment, distribution, billing, and collection services. The project is part of the Indian national government’s Urban Infrastructure Development Scheme for small and medium towns. In Kolhapur in Maharashtra, Vishwa has a long-term wastewater treatment concession with Kolhapur Municipal Corporation under the government’s National River Conservation Program.
 
The projects are among the first few water and wastewater public-private partnerships in India. "IFC’s global expertise in water will be invaluable to the success of these projects and will help us partner with globally experienced players in water-network management," said Yerra Srinivas, Managing Director, Vishwa Infrastructures and Services Private Limited.
 
India faces severe water scarcity and needs immediate improvements in managing its water-distribution network more efficiently. Improvements in wastewater treatment are also needed urgently to enhance quality and access of basic sanitation services for better hygiene and to curb contamination of rivers, which are the primary source of drinking water for the majority of India’s population. The Indian government has requested the World Bank Group to focus on water as part of its overall infrastructure-building initiatives.
 
"Improving water quality and access are key strategic priorities for IFC in India. Improved, reliable, and clean water supply will become available to Khandwa residents and better wastewater treatment will reduce the disposal of untreated effluent in the river in Kolhapur," said Anita George, IFC’s Infrastructure Director for Asia. "IFC is keen to participate in similar projects and is currently in discussion with other players to undertake water infrastructure development in India."
 

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