The North American Development Bank and Tijuana sign second loan for wastewater system rehab project

June 25, 2002
The North American Development Bank and a Tijuana water utility have signed a loan agreement for the final phase of a wastewater treatment plant rehab and expansion project in Tijuana.

San Antonio, June 25, 2002 -- The North American Development Bank (NADB) and the Tijuana state water utility, Comision Estatal de Servicios Publicos de Tijuana (CESPT), signed a second loan agreement for US$3.82 million to finance the final phase of the Parallel System and San Antonio de los Buenos Wastewater Treatment Plant Rehabilitation and Expansion Project in Tijuana, Baja California.

The final design of the treatment plant rehabilitation project, which already had a $2.85 million NADB construction loan, was modified to improve the quality of the treated water so that it can be reused to irrigate parks and recreational areas, as well as for industrial purposes.

The final design was completed in November 2000 at a revised cost of $6.9 million. To cover the increased costs, the NADB approved a second loan for $3.82 million in August 2001, bringing its total loan participation in this project to $6.67 million.

The remaining project funding will be contributed by CESPT. "With this additional loan, Tijuana will be in a position to complete the project which will greatly benefit both sides of the border since it will prevent raw sewage spills into the Tijuana River and Pacific Ocean," said Raul Rodriguez, NADB managing director.

"The bank is also continuing to work with Tijuana on financing for a second wastewater project aimed at rehabilitating and improving the city's sewage collection system."

The expanded plant will have a treatment capacity of 25 million gallons per day (mgd), which together with the San Ysidro plant in San Diego County, CA, will provide the city with a total treatment capacity of 50.2 mgd, covering 93 percent of all the wastewater collected in the Tijuana sewer system.

Construction is scheduled to be completed in November 2002. The $27.43 million parallel system and treatment plant project is part of the city's 20-year master plan to maintain and increase water and wastewater service coverage.

Through its Loan and Guaranty Program the NADB has approved US$23.88 million in loans to support the construction of environmental infrastructure in various communities, which will benefit residents on both sides of the U.S.-Mexico border.

More NADB News may be viewed at http://www.nadb.org.

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