EU Project to provide clean water for Arges County in Romania


18 February 2014 – London, UK – The European Bank for Reconstruction and Development (EBRD) has announced that it is joining forces with the EU Cohesion Fund to modernise and upgrade the water and wastewater services in Argeș County in Romania.  The EBRD is providing a €11.8 million loan to S.C. Apa Canal 2000 S.A., co-financing a regional investment programme for water supply and wastewater facilities and networks under EU Cohesion Fund financing for Romania

140218-pmwj20-arges-IMAGEA Municipal Support Deed was signed on 14 February 2014 at the EBRD in London, in the presence of his Excellency Ion Jinga, the Romanian Ambassador to the United Kingdom of Great Britain and Northern Ireland. The Romanian delegation was led by the Mayor of Pitesti, Tudor Pendiuc.

Technical cooperation support for the project will be provided by the EBRD Shareholder Special Fund, to assist the regional operating companies through a Framework-wide benchmarking programme for water operators in Romania as well as through procurement benchmarking.

The EBRD loan will be used to finance infrastructure for drinking water treatment and distribution as well as wastewater collection and treatment, for the populations of the towns of Costești, Pitești, Ştefăneşti and Topoloveni, and the surrounding areas, in the central part of Argeș County. The investments are expected increase access to and quality of water and wastewater services in the service area, where over 250,000 people will benefit from improved water and wastewater services, in accordance with EU directives.

Thomas Maier, the EBRD’s Managing Director for Infrastructure, said: “We are proud today to be able to announce the first signing in municipal and environmental infrastructure in 2014. It shows our commitment to continuing the efforts to improve urban infrastructure, particularly water services, in Romania, and in helping the country to absorb EU cohesion funds.”

The EBRD’s loan is the 21st investment under the Bank’s Romania EU Cohesion Funds Water Co-Financing Framework, launched in 2010. The facility was originally approved in November 2010, with a volume of €200 million, and further increased by €130 million in September 2012, following strong local demand. To date, the EBRD has mobilised approximately €2 billion of EU funding in Romania’s water and wastewater facilities.

Since the start of its operations in the country the EBRD has invested approximately €6.4 billion across over 343 projects in Romania, and has further mobilised over €14 billion for these ventures from other sources of financing. For more information about EBRD projects in Romania, go to http://www.ebrd.com/pages/country/romania.shtml

The European Bank for Reconstruction and Development (EBRD) was established in 1991 to nurture the private sector in central and eastern Europe and ex-soviet countries. Today the EBRD uses investment to help build market economies and democracies in countries from central Europe to central Asia. The EBRD is the largest single investor in the region and mobilizes significant foreign direct investment beyond its own financing. Owned by 61 countries and two intergovernmental institutions, the EBRD provides project financing for banks, industries and businesses.  The EBRD invested €8.7 billion in 388 individual projects in 2012.  For more information about the bank, visit http://www.ebrd.com/index.htm 

Source: EBRD