Bolivia: US$126mn CAF loan for water and irrigation projects

The Bolivian government has approved a US$ 126 million 14-year loan from Andean Development Cooperation (CAF) for water and irrigation project (PROAR) as part of a five-year programme. Over 600,00 people will get new (400,000 people) or improved (200,000) access to drinking water.

The projects, involving the Ministry of Environment and Water (MMyA) in coordination with municipal governments, will serve rural scattered populations and small towns. Implementation will start in January 2011.

Related web site: CAF – Programa Agua y Riego para Bolivia – PROAR

Source: ABI [article 232763, in Spanish], 24 Nov 2010

Bolivia: Morales threatens to take over water utilities

President Evo Morales has said that the state will gradually take control of basic services such as water utilities in Bolivia. State control of basic services is necessary to avoid the private sector using them for their own gain, he said citing the example of Cochabamba utility Aguas de Tunari.

Read full article on: BNamericas.com [subscription site], 04 Mar 2010

Ecuador: CAF loans US$100mn to expand water, sanitation

The Andean Development Corporation (CAF) has approved a US$100mn loan to Ecuador to improve potable water and sanitation services. The funding will partially finance the country’s environmental sanitation for community development program (Promadec), which is run by state bank Banco del Estado (BEDE) and the urban development and housing ministry (Miduvi).

Read full article on: BNamericas.com [subscription site], 10 Feb 2010

Ecuador: CAF, Loja sign basic service development agreement

The Andean Development Corporation (CAF) and Ecuadorian city Loja’s mayor Jorge Bailón have signed an agreement to support the improvement of basic services, CAF reported in a release [15 Sep 2009].

The agreement is part of a program for modernizing and improving local management known as Prameg, created by CAF in 2007.

The program aims to increase the efficiency of municipal governments in terms of basic services management and governance.

The city hall of Loja [pop. 180,000], selected for the program in 2008, completed the first phase of the initiative, which consisted of gathering general data to be used to draw up and propose projects.

The city will now obtain urban and rural information to evaluate the financial, economic and social situation, in order to design strategies to improve quality of life.

The basic services provided under the responsibility of Loja’s city hall include potable water and sanitation, and solid waste collection.

Through Prameg, CAF supports municipalities in becoming more efficient in terms of service provision and to meet the demands of their population, said CAF representative in Ecuador Hermann Krützfeldt.

Source: BNamericas.com [subscription site], 17 Sep 2009

Bolivia: Morales signs contract for US$84mn Misicuni dam

Bolivia’s President Evo Morales has signed the contract with Consorcio Hidroeléctrico Misicuni to build the 120m-high dam for the Misicuni multipurpose hydro project. [...] The US$84mn project – to be financed by Italy’s government, the Andean Development Corporation (CAF) and local funds – is to supply 3,100 liters of water a second: 2,000 liters for human use and the remainder for irrigation.

The 36-month contract includes the construction of a potable water plant, water pipelines and their respective pumping systems, and an irrigation network. The Hidroeléctrico Misicuni consortium, led by Italian construction firm Grandi Lavori Fincosit, was the only group to submit an offer for the contract.

Bolivia’s government is working on signing another loan for US$100mn, to develop the second phase of the Misicuni project which will generate at least 100MW of power.

Source: BNamericas [subscription site], 17 May 2009

Peru, Lima: using carbon bonds to finance wastewater treatment

The Andean Development Corporation (CAF) and Peru’s state water utility Sedapal have signed an agreement to start a pilot project at the Carapongo wastewater treatment plant, in Lima’s Ate Vitarte district. [...] Sedapal has bought equipment to burn the methane gas that is produced at the facility. CAF will assist with studies related to the sale of carbon bonds, generated by the reduction of greenhouse gas emissions. The entity will also try to identify potential buyers for the carbon bonds [...] under the Kyoto Protocol’s clean development mechanism [CDM] or other markets for the reduction of greenhouse gas emissions. The sale of carbon bonds would help to finance the project

Source: BNamericas [subscription site], 16 Apr 2009