Project Data Sheet

Project Data Sheets (PDS) contain summary information on the project or program: Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

PDS Creation Date
PDS Updated as of 27 Jul 2015

Project Name Kolkata Environmental Improvement Investment Program - Tranche 1
Country India
Project/Program Number 42266-023
Status Approved
Geographical Location
In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
Sector Water supply and other municipal infrastructure and services
Subsector Urban sewerage
Urban water supply
Strategic Agendas Environmentally sustainable growth (ESG)
Inclusive economic growth (IEG)
Drivers of Change Gender equity and mainstreaming (GEM)
Governance and capacity development (GCD)
Private sector development (PSD)
Gender Equity and Mainstreaming Categories Category 2: Effective gender mainstreaming (EGM)


Type/Modality of Assistance Approval Number Source of Funding Approved Amount (thousand)
Loan3053Ordinary capital resources100,000
Counterpart 40,000
TOTAL US$ 140,000

Safeguard Categories

For more information about the safeguard categories, please see

Environment B
Involuntary Resettlement B
Indigenous Peoples C

Summary of Environmental and Social Aspects

Environmental Aspects
All subprojects in Tranche 1 were appraised and IEEs with EMPs were prepared in compliance with the SPS, 2009. No significant environmental impacts are anticipated for the proposed subprojects and there are no sensitive or protected areas in or around the proposed facilities. Any foreseen impacts are readily mitigated through proper facility design, sitting, and good construction practices as documented in the EMP.
Involuntary Resettlement
The proposed sub projects under Tranche 1 will avoid significant IR impacts. Impacts are limited to potential short-term temporary impacts to 6 houses and 4 commercial establishments due to the open cut method used to lay water pipes. The acquisition of 350 square meters of land, affecting two landowners, is required under Tranche 1. Both owners were consulted and are willing to sell their land. All Tranche 1 subprojects were appraised and RP prepared in accordance with SPS, 2009.
Indigenous Peoples
There are no impacts to IPs anticipated.

Stakeholder Communication, Participation and Consultation

During Project Design
Consultations have been held throughout the planning and design stage with Mayor, PMU, KMC officials, and state government departments like Pollution Control Board (PCB). Walk through informal discussions have been held with the local community along the proposed transmission stretch to assess the kind of impacts.
During Project Implementation
The design and technique adopted by KMC has helped address and mitigate potential social issues associated with works. However, information disclosure is an integral part of safeguards planning during project implementation. Consultations and information disclosure will be carried out at different stages of the project cycle. Consultation measures envisaged for the project are: (i) KMC will inform through its officials and contractor about the construction schedule to minimize the temporary impacts; (ii) PMU will ensure that the affected people s if any will be identified and informed about the assistance to be provided for any temporary loss of livelihood; and (iii) attempts will be made to ensure that vulnerable groups, if any, will understand the process and that their specific needs will be taken in to consideration.


Kolkata is the largest city in the state of West Bengal and the seventh largest in India. It has a population of 4.5 million and contributes at least 13% of West Bengal 's gross domestic product. The city is and will remain the dominant commercial and financial hub in the state. Although its livability has improved, the quality of basic urban services remains below national standards. The gap is particularly noticeable in water supply and sewerage services in regard to coverage, continuity, and quality. This affects the city' s ability to attract investment, facilitate trade, and create jobs, as well as its productivity, its competitiveness, and, most importantly, its quality of life and welfare. Investment and policy gaps hinder how effectively and efficiently institutions deliver services, and how well the policy framework creates an enabling environment for better service delivery and sustainability. These limitations have been manageable, but Kolkata' s expanding economy and deficient investment and maintenance over the years have made narrowing the gaps more urgent. The Kolkata Municipal Corporation (KMC), created to administer the city under the KMC Act in 1980, is responsible for delivering water and sewerage services. The Asian Development Bank (ADB) has been working with KMC since 2000, but only regarding sewerage. The partnership has yielded good results. KMC has a strategy, sector road map, policy framework, and investment plan to address gaps in operational efficiency, institutional effectiveness, policy, and sustainability. The investment program combines physical and other investments. KMC wants ADB to continue its role as a key financing and advisory partner. The Project proposed for financing under the Periodic Financing Request will deliver three outputs: (i) Inefficient water supply assets rehabilitated; (ii) Sewerage and extension to peripheral areas continued; and (iii) Financial and project management capacity further developed.

Project Rationale and Linkage to Country/Regional Strategy

Water supply and sewerage services in Kolkata have excelled the national average, particularly in terms of quality, continuity, and coverage. The city also has a good, low-cost sewage treatment system. However, service provision is not uniform across the city and is increasingly strained by economic expansion. Service is better in the city center than in the periphery. This is both a problem and an opportunity. The problem is that the number of vulnerable households has grown rapidly in the periphery as the population has declined in the center, which is subserviced. The opportunity arises from the KMC 's ability to generate revenues from a still-large population with higher income in the center, with which to fund investment in the periphery. The city has worked hard to narrow service disparities. Efforts started with two loans provided in 2000 and 2006 for the Kolkata Environmental Improvement Project (KEIP), which financed the renovation of 564 kilometers (km) of the sewer drain network and the rehabilitation of three sewage treatment plants, raising the percentage of the population with direct sewer connection from 31% in 2001 to 43% in 2011. The service coverage for water supply is higher than for sewerage, but disparities between central and peripheral areas remain, particularly in service continuity. Unless addressed rapidly, these disparities will widen as population shifts from the center to the periphery.

Development Impact

Improved water supply, sewerage, and drainage service quality and operational sustainability in select areas of KMC

Project Outcome

Description of Outcome
Improved operational efficiency and coverage of water supply, sewerage, drainage services in selected areas of KMC.
Progress Towards Outcome
Works just started in 2014 and progress is satisfactory in achieving outcome within the loan period

Outputs and Implementation Progress

Description of Project Outputs
Inefficient water supply assets rehabilitated. Sewerage extension to peripheral areas continued. Financial and project management capacity further developed.
Status of Implementation Progress (Outputs, Activities, and Issues)
Two water supply packages awarded; one started construction Two sewerage packages awarded; one started construction One combined water supply and sewerage package awarded; started construction Two large works packages and two small works packages are yet to be awarded
Status of Development Objectives
Status of Operation / Construction
Material Changes

Business Opportunities

Date of First Listing 2010 Nov 03
Consulting Services
All consulting services to be financed under the Project will be recruited in accordance with ADB's Guidelines on the Use of Consultants (2013, as amended from time to time). There are four major consulting services contract packages: (i) program management consultants; (ii) design and supervision consultants; (iii) public communication and social development consultants; and (iv) GIS-based management system consultant Phase 1. The four teams of consultants will be recruited using the quality and cost-based selection method.
All procurement of goods and works will be undertaken in accordance with ADB's Procurement Guidelines (2013, as amended from time to time). The concurred standard bidding documents for the national competitive bidding will be used throughout the Facility period.
Procurement and Consulting Notices


Concept Clearance
Management Review Meeting 14 Aug 2012
Approval 22 Oct 2013


Approval No. Approval Signing Effectivity Closing
Original Revised Actual
Loan 3053 22 Oct 2013 03 Mar 2014 30 May 2014 30 Jun 2019


Date Approval Number ADB (US$ thousand) Others (US$ thousand) Net Percentage
Cumulative Contract Awards
27 Sep 2016 Loan 3053 50,456 0 50.00%
Cumulative Disbursements
27 Sep 2016 Loan 3053 7,379 0 7.00%

Status of Covenants

Covenants are categorized under the following categories—audited accounts, safeguards, social, sector, financial, economic, and others. Covenant compliance is rated by category by applying the following criteria: (i) Satisfactory—all covenants in the category are being complied with, with a maximum of one exception allowed, (ii) Partly Satisfactory—a maximum of two covenants in the category are not being complied with, (iii) Unsatisfactory—three or more covenants in the category are not being complied with. As per the 2011 Public Communications Policy, covenant compliance ratings for Project Financial Statements apply only to projects whose invitation for negotiation falls after 2 April 2012.

Approval No. Category
Sector Social Financial Economic Others Safeguards Project Financial Statements
Loan 3053 Satisfactory Satisfactory Satisfactory

Contacts and Update Details

Responsible ADB Officer Neeta Pokhrel (
Responsible ADB Department South Asia Department
Responsible ADB Divisions Urban Development and Water Division, SARD
Executing Agencies Kolkata Municipal Corporation


Project Website
List of Project Documents