π Tender Overview
Project Name
Jharkhand Urban Sewerage System Development Project
Project Number
57332-001
Country / Economy
India
Project Status
Proposed
Project Type / Modality of Assistance
Loan
Source of Funding / Amount
Loan: Jharkhand Urban Water Supply Improvement Project (Phase 2)
Ordinary capital resources US$ 159.00 million
Sector / Subsector
Water and other urban infrastructure and services / Urban sanitation - Urban sewerage
Gender
Effective gender mainstreaming
Description
The proposed project aims to (i) improve the living environment in Dhanbad, and (ii) reduce pollution in the Damodar River by establishing climate-resilient sewer networks and on-site sanitation facilities in areas that are not conducive for pipe networks to provide improved sanitation services to 100% of the residents. It will also address capacity and institutional constraints for efficient and sustainable sewerage service delivery.
Project Rationale and Linkage to Country/Regional Strategy
The state of Jharkhand, located in the eastern part of India, is economically lagging behind other parts India. As of the fiscal year (FY) 2022, the state's per capita income was approximately 80% of the national average. Also, its multidimensional poverty index in 2021 was 28.8% compared to the Indian average of 15.0%, positioning Jharkhand as the second least developed state in the country. The provision of basic services is also lagging. In 2021, 43.4% of households in Jharkhand were deprived of sanitation services, significantly higher than the Indian average of 30.1%. The state's urban population, which was 8.7 million or 24.4% of the total state population in 2016, is projected to increase to 12.6 million or 27.9% of the state's total population by 2036. This anticipated growth in the urban population is expected to exacerbate the existing shortages in basic services.
Dhanbad, with a population of around 1.2 million and located 148 kilometers (km) east of the state capital of Ranchi, is ranked as one of the most populous towns in the state, along with Ranchi, and is a major urban center along the Damodar River. The city is challenged by inadequate basic urban services, a major aspect of which is the lack of a centralized sewerage system. Most households depend on on-site sanitation facilities, such as pit latrines or septic tanks. With a significant gap in the city's ability to efficiently collect, treat, and dispose of sewage and fecal sludge, groundwater and surface drains are contaminated, exacerbating environmental issues within the city. One of its critical consequences is the pollution of the Damodar River which extends to the Ganga River since Damodar is a tributary of Ganga. Given these circumstances, there is an urgency in managing this pollution to ensure a cleaner environment and a more livable city.
The Government of India places high importance on the conservation of the Ganga River basin and the management of river water quality. The National Mis