Iber-Lepenc Hydro System Project

Iber-Lepenc Hydro System Project

Project Description

Water supply networks in Kosovo* were designed in the 1960s and have suffered from neglect and underinvestment until recently. The situation has become critical over the past twelve years because of droughts and poor rainfall, which have led to water shortages and restrictions in supply.

The Iber-Lepenc Hydro System will be developed in two phases: Phase 1 will secure drinking water for over 400,000 people in Central and Eastern Kosovo by 2026, while Phase 2 will provide water for irrigated agriculture by 2031. Phase 1 includes the construction of the Lower Firaja Diversion Dam and water transmission pipelines for water supply for the municipalities of Ferizaj, Gjilan, Kacanik, Shtime, Lipjan, Viti, Kamenice, Kllokot and Shterpce. Phase 2 involves the construction of the Upper Shtime Dam and water transfer and transport canals for irrigation.

The WBIF has financed the feasibility study for the project. The preliminary design and the environmental and social impact assessment for Phase 1 are prepared with WBIF support.

Benefits of the project include improved security of supply for over 400,000 people in nine municipalities, improved quality of life and water quality, increased economic and investment opportunities due to reliable water supply and renewable energy sources, and adaptation to climate change.

*This designation is without prejudice to positions on status, and is in line with UNSCR 1244/1999 and the ICJ Opinion on the Kosovo declaration of independence.

Project Financing

WBIF Grant WB14-KOS-ENV-01 € 1,507,500
WBIF Grant WB25-KOS-ENV-01 € 1,872,315
EBRD Loan € 38,423,492
EIB Loan € 38,423,492
National contribution Own Contribution € 37,598,000
Planned WBIF TA Grant External Grant € 18,648,160
Planned WBIF INV Grants External Grant € 267,038,296
Total € 403,511,255
Total Grants € 3,379,815
Total Loans € 76,846,984

Partner Financial Organisations

Western Balkan Partners