Parliament approves €276m facility for Tamale water project

Parliament has ratified a planned drawdown by Government of Ghana for an amount of 12 million euros within the 2019 financial year to commence the construction of a potable water infrastructure project in Tamale and its environs.

The amount represents part of a 233.963 million euros facility by the Government of Ghana and Deutsche Bank AG, London Branch, and the United Kingdom Export Finance; and 43.007 million euros commercial facility agreement with the same entity.

The object of the loan, according to a report of the Finance Committee, released to the House on Tuesday, is to finance the design, construction, and commissioning of a Potable Water Infrastructure Project in Tamale, Northern Region Others are Zagyuri, Gurugu, Sankpala, Zagbullung, Jinosayili, Savelugu, Kusawgu, Kakpagayili, , Bagabaga, Kanvili, Tolon, Tamale Towship, Kumbungu and Vitin. The project will pass through the Damongo township, en route the following Yipala, Yapei, Banyasi, Ntereso, Fufulso, , Busunu, Kebiesu, Tailorpe, Alhassan Kura, Soalepe, Frafra Settlemment No 3, and Nabori.

The project, among others, is expected to improve potable water to areas that were not originally supplied, with a total of 30 million gallons of water to be added to the existing system.

This would lead to a reduction in the prevalence of common water-borne diseases, enhance opportunities for agro-processing businesses and generally improve the social well-being of the people of Tamale and its environs, as well improve on the services of health facilities.

Additionally, the provision of reliable water supply will further help to improve economic activities within the project catchment area as direct and indirect jobs would be created during the construction period.

Ms Abena Osei-Asare, Deputy Minister of Finance, announced in the Finance Committee’s Report, presented to the House that “Government intends to commence the project as quickly as possible and has programmed to draw down an amount of 12 million euros within the 2019 financial year upon the completion of all the loan and project approval processes.”

All other things being equal, the project is expected to be completed within 54 months, comprising six months Development Phase and 48 months Works Implementation Phase.

The proposed project is expected to be the single biggest water project in the northern part of Ghana, since independence, and its successful implementation is expected to be a significant boost to the Water for All by 2030 agenda of the Government of Ghana.

It is expected to meet the increasing water demand for Tamale and its environs up to the year 2040 planning horizon.

Tamale and its environs contribute significantly to the agricultural fortunes of Ghana by producing a large number of arable crops like maize, yam, cassava, beans, and rice.




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