The Punjab government has sought a $210 million loan from the Asian Development Bank (ADB) to enhance climate resilience and improve urban infrastructure in the province. The project, known as “Developing Resilient Environments and Advancing Municipal Services” (DREAMS), will focus on creating sustainable and low-carbon municipal services in Sargodha and Dera Ghazi Khan, ensuring a better future for the region.
Project Goals and Impact
The DREAMS initiative aims to foster a healthier urban environment by upgrading water supply and sanitation services. It will mitigate the effects of climate change, safeguard natural ecosystems, and promote gender equality. The ADB report highlights the project’s alignment with goals of improving urban living conditions and protecting natural resources while advancing sustainable municipal services.
The project envisions inclusive and resilient urban infrastructure in intermediate cities. It will modernize municipal services, expand water treatment facilities, and enhance sewerage systems. These measures will reduce environmental and public health risks for the residents and downstream communities of Sargodha and Dera Ghazi Khan.
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Focus on Water and Sanitation
In Dera Ghazi Khan, the project will include investments in wastewater treatment facilities and a shift to a gravity-based wastewater network. This system, with lower operational costs, will replace the current pressurized network, ensuring efficiency and long-term sustainability.
In Sargodha, the focus will be on transitioning from groundwater to surface water sources. This will involve the expansion of water treatment facilities and upgrading wastewater treatment capacities. These developments aim to address public health risks while reducing the environmental footprint.
Enhancing Municipal Capacity
To ensure the success of DREAMS, the project emphasizes strengthening municipal corporations in Sargodha and Dera Ghazi Khan. Institutional reforms will focus on enhancing service delivery, improving accountability, and increasing operational efficiency. These steps are crucial for achieving financial and operational sustainability in municipal governance.
Capacity-building programs will also help municipal staff adapt to new systems, ensuring efficient management of water and sanitation infrastructure. These reforms aim to make municipal services more inclusive, resilient, and environmentally sustainable.
Grant Assistance and Next Steps
The ADB is expected to send a fact-finding mission to Pakistan, especially Punjab government, in the coming months to evaluate the project further. In addition to the $210 million loan, the bank may provide a $5 million grant to support project development.
This assistance will help Punjab achieve its objectives of reducing environmental risks, protecting ecosystems, and fostering sustainable urban growth. The project reflects the government’s commitment to addressing climate challenges and improving living conditions for residents of intermediate cities.
A Path Towards Sustainable Urban Development
The DREAMS initiative represents a critical step towards sustainable urban development in Punjab. By prioritizing climate resilience and modernizing municipal services, the project will create healthier, more livable cities. These efforts not only address immediate environmental challenges but also pave the way for long-term urban sustainability in Pakistan.
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