European Investment Bank to support KWSC in major projects

KARACHI: The European Investment Bank (EIB) has announced significant progress in its collaboration with the Karachi Water & Sewerage Corporation (KWSC) in water and energy projects.

The KWSC has achieved another milestone as the EIB has granted in-principle approval for financial support, joining other international financial institutions in backing the city’s water utility.

A high-level EIB review mission is scheduled to visit the KWSC in February, aiming to assess the investment plan and determine the scale of investment in partnership with the World Bank and the Asian Infrastructure Investment Bank.

During the visit the team will explore the feasibility of constructing water treatment plants in Pipri, Gharo and Hub. The mission has also expressed strong interest in investing in renewable energy projects and reducing energy losses.

The KWSC is also expected to receive technical assistance to reduce water losses and train its field staff. The water utility has proposed a $100 million investment plan to the EIB that will undergo thorough scrutiny and coordination with the provincial and federal governments before finalisation.

While the EIB has invested over €94 billion globally, this would mark its first partnership with a water utility in Pakistan. The investment is anticipated to significantly enhance the KWSC’s energy projects, enabling it to meet its energy requirements and achieve energy self-sufficiency.

This development is expected to strengthen the KWSC financially, and reduce its reliance on the Sindh government. The water utility is undergoing administrative and institutional reforms, which have increased its appeal to international financial institutions for long-term collaborations.

This partnership is expected to play a crucial role in the promotion of environmental protection, public health and economic development for the residents of the city.