📋 Tender Overview
The State Government of Tamil Nadu in India is transforming its capital of Chennai into a city that is green livable competitive and resilient and the Asian Infrastructure Investment Bank AIIB is lending a hand in line with its mission to finance green and resilient Infrastructure for Tomorrow i4t.AIIB has approved the USD150-million Chennai City Partnership Sustainable Urban Services Program that aims to strengthen institutions and improve the quality and financial sustainability of selected urban services in Chennai. The southern state of Tamil Nadu is an economic powerhouse and is one of Indias most urbanized states. Chennai dominates the states demographic and economic landscape and is experiencing rapid physical growth and changes in its boundaries. However Chennai faces tremendous infrastructure deficits and low service quality in core urban sectors such as water resource management water supply and sanitation urban mobility solid waste management and public health.AIIB is adapting and innovating constantly to deliver investment solutions that overcome the challenges our Members face said D.J. Pandian Vice President Investment Operations Region 1. In this case we are helping India to increase their resilience and meet their objectives even during the most difficult times. We envision this project as a first-phase engagement and a building block for AIIBs long-term partnership with India andin this particular case Chennaiby supporting the governments program of expenditures. As a subset of the overall government program this financing will cover core urban services and is aligned with AIIBs mandate thematic priority to promote green infrastructure and sustainable cities strategy.Aside from urban infrastructure delivery gaps Chennai has operating frameworks that focus on infrastructure asset creation rather than on service delivery performance in terms of coverage quality sustainability and resilience. Sustainable financing frameworks are also lacking with very low own-source revenue generation excessive and unsustainable reliance on the state government for input-based budget allocations and operating subsidies.Chennai is also highly vulnerable to natural disasters climate change and pandemics as demonstrated by the COVID-19 emergency. The crises induced by COVID-19 have highlighted the need for better services as well as limitations of current delivery models. The pandemic created the momentum for Tamil Nadu to pivot toward sustainable infrastructure delivery and building back better and greener.The program will complement AIIB-supported urban transport projectssuch as the Chennai Metro Rail Phase 2 Corridors 4 and 5 and Peripheral Ring Roadby improving integration of public transport modes in terms of routes institutions and technology and strengthening relevant institutions.AIIBs mission is to finance i4tgreen infrastructure with sustainability innovation and connectivity at its core added Pandian. We are fully supporting our Member India in their mission to increase the resilience of Chennai and transforming the city into a green livable competitive and resilient capital.
