ADB funds wastewater projects of Darkhan city in Mongolia

The Asian Development Bank (ADB) has agreed to provide a $18.5m loan to Darkhan city in Mongolia for improvement of its wastewater infrastructure and services.

The assistance package from ADB, including two loans and one technical assistance grant, is aimed at improving the living standards of the Mongolian city.

ADB has provided $9.05m as a concessional loan, while $9.45m will be funded by the bank’s ordinary capital resources.

Both loans will have 25 years repayment period, which can be extended for a further five years.

The technical assistance grant for $400,000 will add to the project sustainability, by strengthening institutional, managerial and operational capacity of the city’s water and wastewater services.

A modern wastewater treatment plant will be constructed under the project, which will have a base operating capacity of 16,000m³ daily.

The loan will also be used to replace 1,800m of sewer pipes and rehabilitate two existing pumping stations, in an effort to upgrade the outdated wastewater management system in the city.

Around 40% of the city’s urban population resides in ger (traditional tent) areas and use pit latrines, which lead to soil and groundwater pollution, ADB said.

Almost 60% of the urban population, comprising more than 45,000 residents, will benefit from the facilities. The entire upgrade is expected to benefit an additional 17,000 residents by 2020, the company said.

Due to be completed by 2018, the project will improve the environment of the Kharaa River and water quality in the region, thereby improving public health and reducing the risks of waterborne diseases.

Improvement of the wastewater management system is also likely to boost the local economy by allowing more scope for urban and industrial expansion.