ADB approves $230 mn loan to expand water supply, sanitation in Chennai

The Asian Development Bank (ADB) has approved a $230 million loan to modernize and expand Chennai’s water supply and sanitation infrastructure. The project is expected to benefit 4.5 million residents in the Greater Chennai area.
The project will construct over 170 kilometers of water supply pipes and sewer pipes, upgrade seven water pumping stations and 38 sewer pumping stations, and strengthen water utility assets and operations management through performance-based contracts, an official statement from the Manila-based multilateral lender said.
Chennai will become the first Indian city to implement a comprehensive ring-main solution — a closed-loop system designed to maintain balanced water pressure and deliver water efficiently across service areas — improving reliability, equity, and resilience to natural hazards in its urban water supply system.
The capital of Tamil Nadu is India’s fourth-largest city and a major industrial hub, but its water supply infrastructure has not kept pace with growth. The coastal city is highly dependent on desalinated water and ADB’s latest investment builds on earlier projects in the city to expand access to safe and equitable water and waste management services.
“ADB’s financing will improve access to safe and reliable water supply and better sanitation services across Chennai”, said ADB Country Director for India Mio Oka.
“The project will also help strengthen the city’s resilience to climate change, improve public health and quality of life, and support a more efficient and financially sustainable urban water system”.
ADB will help digitally transform water and sanitation services through real-time monitoring, data-driven decision-making, and improved customer responsiveness. The project will introduce advanced technologies to eliminate hazardous manual sewer inspections, make blockage detection faster and safer, enhance worker safety, and prepare distribution networks in at least two Greater Chennai zones for future investments, the statement added.
