MEDIUM CITIES WATER

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The Second Medium Size Cities Water Supply and Sewerage Project will extend water supply services to about 1.2 million people and sewerage services to nearly 1.3 million in several medium size cities. Water production facilities and sewer interceptors and outfalls have been designed to provide a water supply coverage of 90 percent and a sewerage coverage of 80 percent to the population of these cities by 1995. The project will include construction of sewage treatment plants, where necessary, to keep the pollution level of effluents within acceptable standards. It will promote metering of house connections and will include leak detection and control programs. A technical assistance program to the local water and sewerage companies will help improve the operational and service capabilities of these institutions. About 36 percent of the additional population to be served with water supply and 34 percent of the additional population to be served with sewerage are expected to be urban poor consumers, whose incomes are lower than one-third of the national per capita income. The construction of the works faces no special risks. There is a possibility of delays in the achievement of improved managerial and financial performance of the beneficiary companies. These risks are considered acceptable.