Announcement of Nine Million Dollars Credit for Water Supply and Sanitation in Kabul, Afghanistan on June 9, 1975

.INTERNATIONAL DEVELOPMENT ASSOCIATION 1818 H STREET. N.W .. WASHINGTON D. C. 20433 TELEPHONE: EXECUTIVE 3.e3eo IDA NEWS RELEASE NO. 75/38 JUNE 9, 1975 $9 MILLION CREDIT FOR WATER SUPPLY AND SANITATION IN KABUL, AFGHANISTAN The International Development Association (IDA), art affilitta of the World Bank, is providing $9 million to help finance a water supply and sanitation project in Kabul, Afghanistan's capital and its largest city. The water supply sector in Afghanistan is in a. very early stage of development. Piped water supply is mainly limited to the capital and four major cities serving altogether less than 500,000 people. Water supply in Kabul is totally inadequate to the community's requirements. The project • being assisted by the IDA credit is the first stage of the implementation of a 30-year master plan for water supply and sewerage in Greater Kabul. I The project is scheduled to.be completed in 1979 at a total cost of about $12 million. The project will bring social and health benefits. It will help to provide a reliable service 24 hours a day for the poorest section of the continuously growing urban connnunity and will bring water to thousands of new consumers. A continuous supply of water will avoid the negative pressure in the distribution pipes which at present encourages infil- tration of polluted groundwater. The sanitation component of the project will improve sanitary conditions in the Old City where the poorest part of Kabul'• population 11 11vina and th, n11d 11 1r1at11t, The IDA credit to Afghanistan is for a term of SO years, including 10 years of grace. It is interest-free, except for a service charge of 3/4 of 1% to meet IDA's adminis.trative expenses. Of the total, $3.48 million will be relent to the Afghan Water Supply and Sewerage Authority (AWSSA) and $5.22 million will be passed on to the same authority as equity and $300,000 as a grant to the Kabul Municipality for the sanitation component . • Note: Money figures are expressed in US dollar equivalents.  T E CHNI CAL DAT A • PROJECT: Water Supply and Sanitation. COUNTRY : Af ghanie tan TOTAL COST: $11.7 million IDA FINANCING: $9 million, standard IDA terms OTHER FINANCING: The Government of Afghanistan Canadian International Development Agency IMPLEMENTING ORGANIZATION: Afghan Water Supply and Sewerage Authority Kabul, Afghanistan PROJECT DESCRIPTION: The project includes drilling 20 wells, pumping equip- ment, transmission pipelines, storage reservoirs, extensions to the distribution system and services in three areas of the city. In the Old City sanitation improvements which include storage, collection and disposal of human waste from dry latrines. • PROCUREMENT: International Competitive Bidding (ICB) for trans- mission, distribution piping and pumping equipment, water meters and associated equipment, vehicles required for sanitation component. Dome~tic manufacturers to receive preference of 15% in evaluating bids. ICB for civil works (except for minor works amounting to $250,0000) granting Afghan firms a· preference of 7-1/2%. ECONOMIC RATE OF RETURN: 9% ESTIMATED COMPLETION DATE: 1979 0 - •