Joint rehabilitation of water supply and waste water treatment systems in RK settlements

Objective: Development of measures for the reconstruction of water and wastewater systems in 10 settlements of Karelia.

Participants: NGO "Center for Energy Efficiency", Nordic Environment Finance Corporation (NEFCO), Poyry Enviromental (Finland) and the Committee on Housing Reform RK.

Funding: 100% at the expense of NEFCO.

Project Summary

Nordic Environment Finance Corporation (NEFCO) has selected Pöyry Environment Oy to carry out feasibility studies for the project on reconstruction / modernization of water and wastewater systems in localities of Karelia. The contract for the provision of advisory services was concluded between NEFCO and the company Pöyry Environment Oy on January 10, 2008.

ANO "EEC" acted as a local subcontractor to provide services for the company Pöyry Environment Oy. The State Committee of the Republic of Karelia for reforming the housing and communal services is a major partner in this task, and it was responsible for the selection of settlements for the feasibility study.

The purpose of this advisory work was to conduct feasibility assessments and preparation of short-term investment programme to modernize the service water / sanitation services in some settlements of Karelia. Technical and economic assessment include the preparation of the necessary basic documentation, business plans, environmental impact assessments and preliminary schemes, demonstrating the technical and financial feasibility studies for the reconstruction / modernization of water and wastewater systems.

To improve water supply services were selected following locations:

• Belomorsk
• Lahdenpohja
• Sortavala
• Kaalamo
• Ilyinsky
• Valdai

To improve sanitation services were selected following locations:

• Belomorsk
• Kem
• Lahdenpohja
• pos. Louhi
• Medvezhyegorsk
• Olonets
• Pudozh

The following goals for the proposed investment in water supply and sanitation were identified in the Terms of Reference:

• Reduced health risk in the settlements related to the poor quality of drinking water;
• Reduction of pollution of receiving waters;
• Improving the reliability and quality of services; and
• Enhancing the professional competence of local authorities and institutions on issues related to water supply and sanitation sector, and project management.

In order to achieve the above objectives, the consultant company should perform the following tasks in each locality:

1. The study of the existing situation and forecast of needs
2. Institutional and organizational issues
3. Development and comparison of alternatives
4. Short-term investment plan
5. Financial analysis
6. Setting tariffs and the possibility of their implementation
7. Analysis of the environmental situation
8. Business plan