TDF SANCTIONS ADDITIONAL LOANS FOR DUHABI TOWN WATER USERS COMMITTEE UNDER SSTWSSSP

The Small Towns Water Supply and Sanitation Sector Project (STWSSSP-1, 2, 3), with financing support from the Asian Development Bank (ADB), is being implemented to provide quality water and sanitation services benefiting over 1.2 million people in 70 small towns with construction and upgrading of water pipes, treatment facilities and household connections, as well as septic tanks, drainage and public awareness campaigns. The second phase (SSTWSSSP) project is targeting infrastructure improvements in 21 towns expected to serve directly the population of 335,000 including Duhabi Town of Sunsari District, Nepal.
The Executive Director of Town Development Fund (TDF), Mr. Maniram Singh Mahat, and the chairperson of Duhabi Water Supply and Sanitation Users Committee (WUSA) Mr. Tej Narayan Prasad Rauniyar signed an additional loan agreement of NRs. 3,720,000 on 31th December 2017 in the office of TDF, New Baneshwore, in the presence of representatives from of the WUSA and senior officials of TDF. Total approved loan amount including previous loan/s will be NRs. 57,853,109. The maturity of the loan will be 25 years with 5 year grace period. This loan amount is equal to 35%- 45% of the total project cost, for 5% interest rate. The WUSA will receive 50% of total project cost from the Government of Nepal (GoN) as grant and 5% is already matched by the users committee as upfront cash deposit.
The project delineation of service area covers ward no. 1-9 of Duhabi VDC with 24 hours continuous supply of potable water, as recommended by Nepal Drinking Water Quality Standard (NDWQS) guidelines. The project will directly benefit the population of 29,527 living in 5,075 households, fulfilling the estimated demand. The major components of the project includes, tube well and pumping stations, electrical facilities, reservoir, water treatment facility, main distribution, house connection and necessary appurtenances. The project is currently at the 2nd stage, Operation and Maintenance Phase, of its implementation. TDF will be supporting Duhabi WUSA in sustainable operation of the utility by extending technical support in the days to come.