Boka Bay Water Supply and Wastewater Collection Infrastructure

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Project Financing

Own Contribution Own Contribution € 1,999,350
KFW Loan € 14,042,000
WBIF Grant WB-IG03-MNE-ENV-01 € 4,586,692
WBIF Grant WB-IG04-MNE-ENV-01 € 4,374,783
Total € 25,002,825
Total Grants € 8,961,475
Total Loans € 14,042,000

Project Description

The “Water Supply and Sanitation Adriatic Coast Programme” has been under implementation since 2004 with support from the German Government and KfW, targeting investments in Montenegro’s coastal municipalities. The ’Boka Bay Water Supply and Wastewater Collection Infrastructure’ project in particular aims at improving the deficiency in water supply and sanitation infrastructure, remedy bottlenecks and shortcomings of the existing systems, and increase the operational efficiency and financial sustainability of the water utility companies in the municipalities of Tivat and Kotor.

The €4.6 million investment grant provided by the WBIF’s Bilateral Donors together with a €14 million KfW loan will finance the construction of a new sewerage network in the decentralised settlements around the Bay of Kotor. This is a UNESCO World Hertiage area, with a high environmental and cultural value, which, moreover, is of high importance for Montenegro’s turist economy.

By providing basic water and sanitation infrastructure, the Project will contribute to the improvement and sustainable protection of the environment and water resources in the coastal area of Montenegro, achieve compliance with the Urban Waste Wastewater Treatment Directive 91/271/EEC in the project area, and prepare Montenegro for the EU accession process. Furthermore, the Project will contribute to address the impacts of climate change in Montengro.

Results and Benefits

  • 12,000 households benefitting from safe drinking water
  • 4,000 households will have improved sanitation services
  • 3,300 m3/day real water losses reduction
  • Additional 14% of the population in Tivat and Kotor will be connected to the WWTP and the sewerage system
  • Countries: Montenegro
  • Code: PRJ-MNE-ENV-016
  • Sector: Environment
  • Monitor IFI: KFW
  • Status: Preparation
  • Beneficiary:
Project financing split

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