In a bid to boost efficiency and performance within the sector, the program will assist in the development of a climate-resilient project appraisal framework for drinking water investments.
The Asian Development Bank (ADB) has granted a substantial boost to Sri Lanka’s water supply and sanitation sector, approving a $100 million policy-based loan along with an $800,000 technical assistance grant. This initiative is set to transform the country’s approach to water management, enhancing resilience to climate change and ensuring long-term sustainability.
The Water Supply and Sanitation Reform Program, structured into two subprograms of $100 million each, aims to revolutionize the delivery of water and sanitation services across Sri Lanka. Subprogram 1 will focus on establishing national policies and strategies, including frameworks for the National Water Supply and Drainage Board (NWSDB), while Subprogram 2 will drive the implementation of these reforms and guidelines.
Pedro Almeida, Senior Urban Development Specialist at ADB, emphasized the significance of the program: “Efficient delivery of safe and reliable water supply in Sri Lanka is limited by fragmented water resources management and exacerbated by climate change. This significantly affects the daily life of Sri Lankans — many of whom do not have access to piped water supply. This program will not only strengthen mechanisms to ensure adequate access to safe water but also address governance and sustainability challenges of the sector that will enable the participation of the private sector.”
Climate-resilient
Sri Lanka faces longstanding issues in water resources management, including imbalanced allocation between agricultural and drinking water, inadequate climate change consideration in planning, and impacts from unplanned land use and deforestation. The country also grapples with the involvement of multiple agencies at both national and regional levels.
Subprogram 1 will support the National Water Resources Policy, recently approved by the Prime Minister’s Office, which aims to ensure fair water allocation and sharing. Additionally, it will introduce national policies to enhance access to safe drinking water, promote gender-sensitive and inclusive water service delivery, and develop a climate change roadmap.
In a bid to boost efficiency and performance within the sector, the program will assist in the development of a climate-resilient project appraisal framework for drinking water investments. It will also enhance the financial sustainability and performance of NWSDB through the implementation of financial sustainability and public-private sector roadmaps, alongside a business efficiency action plan.
The $800,000 technical assistance grant is an integral component of the program, designed to provide capacity-building and advisory support to the Ministry of Water Supply and Estate Infrastructure Development (MWS) and NWSDB. This grant includes $500,000 from ADB’s Technical Assistance Special Fund and $300,000 from the Water Innovation Trust Fund, part of the Water Financing Partnership Facility administered by ADB.
Sri Lanka’s Minister of Water Supply and Estate Infrastructure, Jeevan Thondaman, hailed the initiative as a milestone achievement. “This program is an important accomplishment in our ongoing efforts to deliver on SDG6, adapt Sri Lanka’s water resources to climate change, and address vulnerabilities in our water infrastructure.”
ADB, established in 1966, continues to champion efforts towards a prosperous, inclusive, resilient, and sustainable Asia and the Pacific. The bank, owned by 68 member countries, remains steadfast in its mission to eradicate extreme poverty and support sustainable development.
As Sri Lanka embarks on this transformative journey with ADB’s support, the comprehensive reforms promised by the Water Supply and Sanitation Reform Program are expected to significantly improve water management and accessibility, paving the way for a more resilient future for the island nation.
