Switzerland provides 12 million Swiss francs to Uzbek project

In accordance with this Agreement the Government of Switzerland approves its financial contribution to cover the water supply project in the Syrdarya province of a total amount of 12 million Swiss francs (US$13.186 million) over the next 4 years. It will cover two Swiss components in addition to the WB financed project.

Main objectives of the Swiss components are:

• sustainable water supply for the city of Gulistan and its suburbs which are connected to unified distribution network through reconstruction and modernizing of the production facilities (pumping station).
• provision of transparent and customer oriented water supply by three selected water utilities in Bukhara, Samarkand and Syrdarya through introduction of the Public Service Contract (PSC), relevant monitoring system by the local authorities and end users.
• securing financial sustainability of the water utilities of Bukhara, Samarkand and Syrdarya by introduction of a full cost recovery system, business planning and increase of the collection rate.
• revision of the existing legal framework in the water supply and sanitation sector, elaboration of recommendations and amendments, introduction of new and relevant institutional decisions and capacity building of the main regulators

It is planned to finance the rehabilitation of the water borehole field and the pumping station at Beshbulok, as well as the interface between the main transport pipe and distribution network for the rural settlements located along the transport pipe from Beshbulok to Severnaya. The preliminary costs are estimated to 8 million Swiss francs.

In particular, it is planned to replace 4 boosting pumps at the main station including fittings and valves, rehabilitate and reconstruct main station building, including electrical works, switch boards, dispatch units, additional controlling, replacement of transformer, and electrical works at boreholes.

It is planned to clean boreholes from sludge, install control units, replace submersible pumps and transformers, as well as automated water production meters at the main station.

The financial contribution for this component amounts to million Swiss francs.

In details, the following activities are planned:

• Introduction of Public Service Contract (PSC) between water utilities and respective khokimiats (local governments)
• Elaboration of proposals to improve existing regulatory framework to enable conditions for the PSC
• Revision of the legal framework in the water supply and sanitation sector and elaboration of proposals for its simplification and improvement
• Assessment of the roles of main regulators in the sector, elaboration of proposals on institutional changes and capacity building