Govt contracts IDA loan for water projects

Page 17, July 21, 2009
Story: Emmanuel Adu-Gyamerah

THE government has contracted a $15 million loan facility from the International Development Association (IDA) for the construction of 11 new small towns water systems.
In addition, 22 ongoing small towns water supply systems are to be completed with part of the loan facility.
The Small Towns Water Supply and Sanitation Project (STWSSP) is currently being implemented in six regions; namely Upper East, Upper West, Brong Ahafo, Ashanti, Central and Western.
The other four regions were not included because at the time of the inception of the project, they were already benefiting from similar projects sponsored by the Danish International Development Agency (DANIDA).
Parliament last Friday ratified the loan agreement for the construction of the 11 new projects and the completion of the ongoing 22. They are being implemented by the Community Water and Sanitation Agency (CWSA) under STWSSP.
A report of the Finance Committee of Parliament chaired by the Member of Parliament (MP) for Ketu North, Mr James Klutse Avedzi indicated that in the past decade, small towns in the country had received attention as a result of the creation of the CWSA and subsequent implementation of a series of water and sanitation programmes.
The STWSSP is the second phase of Adaptable Programme Loan (APL) that emphasised decentralised rural water supply and sanitation delivery.
The first phase of the APL, which ended in December, 2004, successfully provided potable water to over 750,000 rural population.
According to the report, the implementation of the STWSSP was part of government’s efforts in providing access to potable water supply and improved sanitation in small towns and also a contribution to the attainment of the Millennium Development Goals’ (MDG) target of 78 per cent coverage in the water sector by 2015.
The $15 million credit facility would, therefore, help to support the completion of 22 ongoing small towns water supply and several sanitation facilities with $6 million and to provide 11 additional small towns water systems with $9 million.
The report said that the finance committee was informed by a technical team from the Ministry of Water Resources, Works and Housing that 40 small towns water systems had already been completed under the project while 22 were ongoing with the additional 11 to be implemented under the loan facility.
Meanwhile, the House also gave its approval for another IDA loan of $10 million to support the implementation of the second National Resources and Environmental Governance (NREG) development policy operation.
The NREG is a multi-donor sector budget support programme aimed at preventing the degradation of the country’s natural resources including the forestry, biodiversity and the mining sectors as well as the environmental protection agencies.
The programme will enhance Ghana’s growth potential by improving upon the policy development for natural resource extraction and in addition, promote environmental protection activities and efforts towards minimising the export of illegally acquired natural resources, especially wood.