World Bank set to approve $240 million Karachi Water and Sanitation Project: report

KWSSIP-2 aims to enhance Karachi’s water supply, sanitation services, and operational efficiency under a multi-component framework.

The World Bank’s Board of Executive Directors is poised to approve the Second Karachi Water and Sewerage Services Improvement Project (KWSSIP-2) on Thursday.

According to a report by Business Recorder, valued at $240 million, the project aims to deliver safe water and sanitation services to Karachi while improving the financial and operational performance of the Karachi Water and Sewerage Corporation (KWSC).

KWSSIP-2 comprises four key components designed to tackle Karachi’s water supply and sanitation challenges:

This component focuses on technical and organizational improvements to transform KWSC into an efficient utility. Activities include human resource reform, a gender-inclusive recruitment strategy, and establishing a centralized water quality testing laboratory. It also supports developing guidelines and operationalizing the KWSC Act 2023.

The largest component aims to enhance infrastructure and service delivery, addressing structural issues such as bulk water supply shortfalls, leaky distribution networks, and poor wastewater treatment capacity. Investments will prioritize underserved areas, including Katchi Abadis, benefiting over 500,000 residents. Projects include the rehabilitation of water distribution systems, sewerage network expansion, and NRW (non-revenue water) reduction initiatives.

This component ensures effective project implementation, supervision, and evaluation. It also funds feasibility studies for future water and wastewater infrastructure projects.

While this component has a zero allocation, it provides flexibility for reallocating funds to support emergency response activities during crises.

The project aims to address critical issues in Karachi’s water and sanitation system, such as intermittent water supply, poor service levels, and inadequate wastewater treatment. Modernization efforts include using digital technologies for monitoring and performance-based programs to reduce water losses.

The initiative, supported by contributions from the World Bank, Asian Infrastructure Investment Bank (AIIB), Asian Development Bank (ADB), and private capital, aligns with Karachi’s 2008 master plan, set to be updated in 2024. Sindh’s government anticipates that the project will improve service delivery, reduce public health risks, and foster sustainable urban development in Pakistan’s largest city.

The approval of KWSSIP-2 is expected to significantly advance Karachi’s water and sanitation infrastructure, addressing long-standing challenges while preparing for future urban growth.

Monitoring Desk
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