
The MWSP is designed to finance four
major components:
i) Infrastructure
development
Infrastructure development comprising
a 26 km diversion tunnel, access roads,
water treatment plant and bulk distribution
system, distribution network improvement,
wastewater system improvement and
water source improvement in Kathmandu
valley.
(ii) Social and
environmental support
Social and environmental support
to mitigate potential negative project
impacts and improve the living conditions
of the beneficiaries;
(iii) Institutional
reforms
Institutional reforms comprising
a PSP scheme for water services delivery
in the Kathmandu valley and the modality
of which was later revised in the
Sector Development Program (SDP);
and
(iv) Project implementation
support.
Project implementation support.
MPPW is the executing Agency and MWSDB
is the implementing Agency.
But after the establishment of Kathmandu
Valley Water Supply Management Board
(KVWSMB) and Kathmadu Upatyaka Khanipani
Limited (KUKL) under the agreed institutional
reform decision made by the government
of Nepal in xxxxxx < date>,
many roles and responsibilities of
the existing implementing agency,
MWSDB is transferred to KVMSMB and
KUKL. Therefore it is proposed that
the MWSP be split into two separate
subprojects:
 |
Melamchi River water
diversion subproject (subproject
1), and |
 |
Kathmandu valley water supply
and sanitation subproject (subproject
2) |
Since then, the Board has been governing
the activities as assigned to subproject1.
The ministry of Physical Planning
and Works (MPPW) remains the executing
agency for both subprojects.
MWSDB has experienced serious implementation
delays in the past at least (partly)
because of MWSDB’s withdrawal of committed
loans from different funding agencies
e.g.World Bank,Sida,Norad etc. – significant
changes are made to streamline MWSDB’s
management and organizational structure.
Changes included re-organization of
MWSDB and revision of its internal
processes (including its formation
order). The project management unit
(PMU) established under the implementing
agency is headed by a fulltime executive
director who will be designated as
a signatory for withdrawing the loan
funds, and will continue to be responsible
for the overall management of subproject
1.
The PMU will maintain the subproject
imprest account and will be supported
by a consultant team in preparing
progress reports and other relevant
documents for line ministries and
the donors including ADB, with respect
to subproject 1. The PMU will be restructured
based on functional divisions; each
unit will consist of qualified technical
staff. Units handling the main infrastructure,
civil works and social programs for
the Melamchi valley are engineering
and safeguard units.
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