11.6 mln Swiss grant to improve water supply

Berat, Ku谶e, Gjirokaster, Kam캬 Lushnje, Delvine and Librazhd will be able to strengthen the water and sewerage enterprises and improve water supply and discharge.
TIRANA, Nov. 10 – A new Euro 11.6 million Swiss grant will ensure that water enterprises in seven municipalities operate efficiently and 400,000 citizens enjoy safe and affordable water supply and proper sewerage.
“The new agreement we are signing contributes to improving the quality of life of 400,000 citizens in Albania. In seven municipalities inhabitants will enjoy access to safe drinking water supply and to proper sewerage disposal,” said Swiss Ambassador to Albania Christoph Graf, adding that the new grant includes work in important tourist and cultural destinations such as Berat and Gjirokast첮
Losses of around two-thirds in the production, distribution and billing of tap water cause the Albanian state budget around $180 million in annual losses, government officials have warned at an annual report of the water supply performance in Albania. The water supply situation in Albania continues remaining critical. Data show water supply across Albania ranges from 4 to 24 hours/day with the average being at 11.5 hours in 2013, up from 10.8 hours/day in 2012 and 10.9 in 2011.
Finance Minister Shkelqim Cani, who signed the deal on behalf of the Albanian government, emphasized the responsibility that lies with the government, municipalities and the water enterprises as beneficiaries. “Our friends and partners are supporting us. The signing of this agreement for financial aid relieves us from some budget pains and frees us to meet other endless needs of our economy. But water comes first and that is why we have made water a priority”, said Minister Cani.
Transport and Infrastructure Minister Edmond Haxhinasto said “This project is in line with government’s priorities in the water supply and sewerage system, specifically with addressing the water loses challenge in this sector, serving the greater objective of increasing the level of quality of service offered to citizens.”
Through this agreement Berat, Ku谶e, Gjirokaster, Kam캬 Lushnje, Delvine and Librazhd will be able to strengthen the water and sewerage enterprises and improve water supply and discharge. A key component is the institutional enabling of water utilities through better management, tariff adjustment and efficient performance. Water utilities throughout the country have performed poorly in the past.
Different from other donor grants, this Swiss contribution of 11.6 million euros comes in the form of a non-reimbursable grant which does not require any type of repayment on the Albanian part. During the first phase of work experts will conduct feasibility studies and will strengthen utilities with the view of marking them cost-effective and customer-oriented. Based on the findings, the second phase will include investments in infrastructure.
Swiss funding for the water sector thus extends beyond the successful support for water and sewerage management in Pogradec, Lezh롡nd Shkod첮 This is a part of a series of programmes that improve citizens’ access to clean drinking water and the financial performance of water utilities. The Swiss State Secretariat for Economic Affairs (SECO) provided the funding while KfW, the German development bank will manage the funds and oversee their disbursement. Implementation will be carried out in close cooperation with the Ministry of Finance and the Ministry of Transport and Infrastructure.
Earlier this year, Switzerland committed it would provide Euro 70 million to the Albanian government in the next four years to support decentralization, economic development, urban infrastructure, energy and health.
“There is 70 million euros or around 90 million CHF that will be awarded to Albania in the form of grants for the 2014- 2017 period,” said Holger Tausch, the country director of the Swiss Cooperation to Albania speaking at the launch of the Albanian-Swiss cooperation strategy for the 2014-2017 period.