Announcement of Fifteen Million Dollars Loan for Urban Water Supply Project in Tanzania on December 27, 1976

•World Bank 1818 H Street, N.W., Washington, D.C. 20433, U.S.A. • Telephone: (202) 393-6360 BANK NEWS RELEASE NO. 77/44 DECEMBER 27, 1976 $15_MILLION_LOAN_FOR_URBAN_WATER_SUPPLY_PROJECT_IN_TANZANIA The World Bank today announced the approval of a loan of $15 million for an urban water supply project in Morogoro in Tanzania. Morogoro is a rapidly expanding city with a population of 39,000. The existing water supply in the city is inadequate. An expansion of tbe water system is urgently needed to cope with the expected increase in de~and caused by growth of industry and population. The project being assisted by the World Bank will help to meet the • growing water supply requirements of the city up to 1986. includes the construction of an earth dam on the Ngrengere 1iver to retain 10 million cubic meters of water at full capacity, transmission pipelines, The project treatment and pumping stations, and other production facilities. The project will make up the deficits faced by Morogoro's present population and provide adequate water to an additional 27,000 people up to 1986. It will increase sevenfold the amount of water available to institutions and industry, including a proposed major industrial estate. It will also provide management advisory services to the Ministry of Water and expand the training facilities operated by this Ministry in Dar es Salaam. The project is expected to be completed in 1981 at a total estimated cost of $19.2 million. The Bank loan of $15 million is for 20 years, in- cluding 4-1/2 years of grace. The loan will carry interest 8.7% • •• NOTE: Money figures are expressed in U.S. dollar equivalents. FORM NO. 1121 (5-76) T E C HN I CA L DA T A PROJECT: COUNTRY: Urban Water Supply Tanzania • TOTAL COST: $ 19 . 2 mi 11 ion BANK FINANCING: $15 million loan for 20 years including 4-1/2 years grace with interest at 8.7% per annum. OTHER FINANCING: Government of Tanzania IMPLEMENTING ORGANIZATION: The Ministry of Water, Energy and Minerals, Tancot House, City Drive, P.O. Box 9153, Dar es Salaam, Tanzania. PROJECT OESCRIPTION: An earth dam across the Ngerengere river near Morogoro with tower intake, culvert and spillway. The dam will retain 10 million cubic meters of water at full capacity; production facilities including trans- missio·n pipelines, treatment and punping stations, storage reservoirs and reticulation. extension in Morogoro; supply of new vehicles for the urban·water supply unit in Morogo , the strengthening of Tanzania urban water supply institutions through the provision of management advfsory services and training. PROCUREMENT: Construction of new facilities in Moro~oro wi 11 involve a total of 5 main contracts including 2 contracts for civil works and 3 contracts for equipment supply. Contracts under $100,000 up to an aggregate value of $500,000 will be awarded in'accordance with local procedures satisfactory to the Bank. All contracts over $100,000 to be financed by the Bank loan will be awarded on the basis of international competitive bidding in accordance with the Bank's guidelines on procurement. A preference of 15%, o·r the applicable customs duty, whichever is lower, will be applied to the bids of local manufacturers for equipment supply contracts. A preference of 7.5% will be applied to bids from local civil works contractors. CONSULTANTS: The firm of Sir Alexander Gibb and Partners, United Kingdom and Kenya has been engage.d by the Government to do deta i 1ed engineering for the Morogoro water system. They will serve consulting engineers for project implementation in Morogoro. No firm or individuals have been identified for the management advisory services. ESTIMATED COMPLETION DATE: 1980 • - 0 -