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The Indian government and the Asian Development Bank (ADB) on Wednesday signed an agreement for a $200 million loan to help upgrade water supply, sanitation, urban mobility, and other urban services in the state of Uttarakhand. 

The signatories to the loan agreement for the Uttarakhand Livability Improvement Project were Joint Secretary, Department of Economic Affairs in the Finance Ministry, Juhi Mukherjee, for the government, and the ADB Country Director of India Resident Mission, Mio Oka, for the ADB.

Mukherjee stated that the project aligns with the government’s urban development agenda as well as the Uttarakhand government’s initiatives to enhance urban services, aiming to boost livability and sustainability in cities.

"The project aims to create an urban infrastructure that is resilient to climate and environmental risks such as floods and landslides, ensuring the safety and health of Uttarakhand’s population," Oka said.

"It will also build the capacity of the state agencies in project management, climate-and disaster-resilient planning, own-source revenue generation, and gender mainstreaming."

The project will enhance transportation, urban mobility, drainage, flood management, and overall public services in Haldwani, the economic hub of the state. Additionally, it will improve water supply delivery in four cities - Champawat, Kichha, Kotdwar, and Vikasnagar - by developing efficient and climate-resilient water supply systems.

In Haldwani, the project will develop 16 km of climate-resilient roads, establish an intelligent traffic management system, deploy compressed natural gas buses, and pilot electric buses. To prepare the city against disasters, the project will construct 36 km of stormwater and roadside drains to improve flood management and implement an early warning system. A green-certified administrative complex and bus terminal will be built to improve the delivery of public services.

In the other four cities, the project aims to increase water service coverage to 100 per cent by constructing 1,024 km of climate-resilient pipelines with smart water meters, 26 tubewells, new reservoirs, and a 3.5 million-litre-per-day water treatment plant. Sanitation coverage in Vikasnagar will be improved by sewage treatment facilities that will benefit around 2,000 households. The project will introduce initiatives for women, such as livelihood skills training on driving buses, bus ticketing, and the operation of electric charging stations. Given women’s role in mooring water supply systems, the project will build the capacity of women, including those from vulnerable households, in operating and managing water supply and sanitation services.

The European Investment Bank is also co-financing the project with $191 million on a parallel basis.