NADB funds construction of desalination facility in Baja California, Mexico

North American Development Bank (NADB) has approved a loan of $22m to GS Inima Environment for the construction of a desalination plant in the city of Ensenada in Baja California, Mexico.

Once operational, the facility is expected to supply 5.7 million gallons per day of potable water to meet the growing demands of the Mexican city.

Under a 20-year contract, GS Inima Environment will also be responsible for the operations of the plant.

The project, which was certified by Border Environment Cooperation Commission (BECC) in December 2012, is expected to involve a total investment of $48m, NADB said.

NADB managing director Geronimo Gutiérrez said: "NADB is pleased to provide its first financing for a desalination plant.

"As groundwater resources become increasingly strained, collaborating with federal, state and local governments in finding the necessary solutions to provide safe water for human consumption is a priority for the bank."

Comisión Estatal de Servicios Públicos (CESPE), a local utility serving the region, receives most of its water supply from four separate aquifers.

Studies conducted by the state water utility Comisión Estatal del Agua (CEA) and federal water agency CONAGUA have revealed that dry climate and depletion of groundwater had necessitated setting up a desalination plant to meet the regional requirements.