The agreement, signed in Durban on Saturday at the 17th United Nations Framework Convention on Climate Change meeting (COP-17), will see KwaZulu-Natal's largest water utility using the funds to build new and upgrade existing bulk water infrastructure.
The infrastructure includes bulk potable water pipelines, water treatment works, and pumping and service reservoirs that will connect to the supply systems of the municipalities of Durban, the South Coast, North Coast and Msunduzi (Pietermaritzburg).
New water connections to "unserved areas" were also planned in some municipalities. The finance provided is the first loan to be made to a South African water board by the EIB, the long-term lending institution of the European Union owned by its member states.
Umgeni Water acting CE Nica Gevers said the loan would complement the financial support provided to the Trans-Caledon Tunnel Authority and funding for the eThekwini metropolitan municipality for related water projects, such as the construction of the Spring Grove Dam in the Midlands, and the replacement of water mains and installation of new pipelines for improved efficiency of the water supply system in the eThekwini region. Read the full report here.
Source: Edward West, Business Day.
