Shimla: For improving drinking water supply in two towns and sanitation in five, the Himachal Pradesh government has signed a memorandum of understanding (MoU) with French development agency “Agence Française de Developpement” (AFD) to run a project worth more than Rs 817 crore for cleaner water in Manali and Palampur, and cleaner streets in Manali, Bilaspur, Palampur, Nahan, and Karsog.
The state government claimed in a statement that it will invest about Rs 205 crore in the project, while AFD will invest Rs 612 crore. The beneficiaries will receive house service connections in these five cities and a sewage treatment plant to be able to reuse wastewater for farming and industry. The aim is to improve the environmental condition of water sources, reduce water-borne diseases, do quality sanitation, and bring financial sustainability to the drinking water and sanitation sector.
The government said AFD will finance Rs 340 crore out of Rs 425.85 crore to be assigned in the first phase, and Rs 272 crore out of Rs 371 crore in the second phase. Phase II of this three-year project will begin 18 months after Phase I starts. Government said water, sanitation and hygiene being major determinants of health and nutrition levels, the improvement of their quality will have long-term economic benefits.
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