10 Sep 2019
EUR 30.2 million
Infrastructure, transportation and telecom
|Date of agreement:||10 Dec 2009|
|Amount in EUR:||EUR 4 million|
|NACE sector / loan type:||Collection, purification and distribution of water|
|Business area:||Energy and water|
This loan contributes to climate change mitigation: 70%
This loan has a positive effect on the Baltic Sea environment: 30%
The 10-year-maturity loan totalling EUR 4 million has been provided for the construction of a raw-water pumping station as well as the rehabilitation of drinking water and sewage networks in the city of Novgorod in Northwest Russia.
Novgorod Vodokanal will replace a water intake pumping station constructed in 1972 and refurbish 1,300 metres of pipelines to reduce leakage. The design capacity of the new pumping station, 180,000 cubic metres per day, is 20% higher than the capacity of the existing one, which is important in order to ensure a stable and secure water supply. The rehabilitation of the sewage system will consist of refurbishing the city's sewage collection system in order to reduce leakages of untreated wastewater.
Novgorod Vodokanal is the municipal water utility operating Novgorod's networks of water distribution and wastewater management.
As a result of the refurbishment of the drinking water system, the use of energy by the system is expected to decrease by 20%, equivalent to 1,000 MWh per year. The proposed investment in the wastewater collection system will mainly cover the maintenance work and help reduce the leakage by approximately 350,000 cubic metres of untreated wastewater annually that has so far been discharged into the environment. The wastewater collection system is not dimensioned for the present flows of wastewater and flooding of the system is frequent. Given the fact that the refurbishment of the drinking water system will increase the system's capacity, there is a risk that an increased amount of wastewater will be generated due to the project. This increase may worsen the flooding situation of the sewage system and there are uncertainties about the extent to which the project will actually decrease the overall discharges.