At project appraisal in 2000, Kolkata had severe environmental problems, a high proportion of poor people, a municipal corporation that had progressively implemented urban governance reforms and showed a willingness to continue doing so, and the potential to serve as a useful model for other large municipalities. Against this backdrop, the Asian Development Bank (ADB) supported the conduct of a feasibility study for an investment proposal to improve Kolkata’s urban environment. The feasibility study gave rise to the Kolkata Environmental Improvement Project, approved by ADB for an original loan of $250 million in December 2000.
The project focused on the outer areas of the city, which were beset by problems caused by infrastructure deficiencies. Its objectives were to (i) improve the environment in the outer areas of Kolkata, (ii) reduce poverty in low-income areas by providing affordable access to basic urban services, (iii) facilitate community empowerment through participatory processes, (iv) protect the environment from adverse developmental impacts, and (v) help develop the Kolkata Municipal Corporation (KMC) as a proficient and autonomous municipality. At appraisal, it comprised of six components: (i) stakeholder consultation process, (ii) sewerage and drainage improvements, (iii) solid waste management, (iv) slum improvements, (v) canal improvements, and (vi) implementation assistance and capacity building.
During implementation, loan cancellations were made as a result of the parallel grant financing received by government for the capacity-building component and savings in loan interest. However, as the revised original loan of $162.2 million was insufficient to cover the intended scope, the government requested for additional financing, for which ADB approved an $80 million supplementary loan in December 2006.
At completion, the project achieved all its design requirements and targets in sewerage and drainage. 378 kilometers (km) new sewers and drains were built. 218 km of existing conduits were renovated and desilted. Existing sewage treatment facilities were augmented. New pumping stations were constructed, and existing ones were rehabilitated with increased efficiencies and capacities. Water bodies were rehabilitated. 46,145 sewerage connections were provided, achieving full coverage in project areas.
130.8 km of canals were desilted. 21 km of canal lining and 52 bridges over canals were built. 2,880 low-income households, living without titles on canal banks, were resettled and provided with titled, serviced housing. Slums were provided with stand posts, community toilets, bathing spaces, sewers and drains, and better public spaces. Waste collection and disposal equipment were provided according to targets.
Implementation assistance under the project greatly enhanced the executing agencies’ (EA) capacities for large-scale project implementation and management. Capacity-building interventions resulted in the formation of 2,025 neighborhood groups, 82 neighborhood committees, and 1,953 thrift and credit societies.
Overall, the project provided 1.5 million people with access to sewerage and drainage; 5 million people with solid waste management facilities; and 300,000 slum dwellers with water and sanitation and other basic services. The environmental, living, and public health conditions in the project areas consequently improved. Flooding had decreased significantly after the commissioning of the project drainage network in 2014. The instances of malaria declined from 96,909 in 2010 (including one death) to 7,041 in 2014, with no deaths. Because of its significant positive impact on the wellbeing of the poor, the project may have also contributed to the 6.3% decline in poverty incidence in Kolkata in 2009–2013.
The project had two EAs: the KMC, the principal EA, and the Irrigation and Waterways Department. Each EA established a project management unit to take charge of day-to-day implementation.
