ADB Approves USD230 Million Loan to Modernise Water Supply and Sanitation in Chennai
The Asian Development Bank (ADB) has approved a USD230 million loan to modernise and expand Chennai’s water supply and sanitation infrastructure, benefiting 4.5 million residents in the Greater Chennai area.
Despite being India’s fourth-largest city and a major industrial hub, Chennai’s water supply infrastructure has not kept pace with growth. ADB’s latest investment builds on earlier projects in the city to expand access to safe and equitable water and waste management services, in line with the Government of India’s flagship urban development interventions, such as the Atal Mission for Rejuvenation and Urban Transformation 2.0 and the Urban Challenge Fund.
ADB’s financing will improve access to safe and reliable water supply and better sanitation services across Chennai. The project will also help strengthen the city’s resilience to climate change, improve public health and quality of life, and support a more efficient and financially sustainable urban water system.
Mio Oka, ADB Country Director for India
The project will construct over 170 kilometres of water supply pipes and sewer pipes, upgrade seven water pumping stations and 38 sewer pumping stations and strengthen water utility assets and operations management through performance-based contracts. Chennai will become the first Indian city to implement a comprehensive ring-main solution—a closed-loop system designed to maintain balanced water pressure and deliver water efficiently across service areas—improving reliability, equity and resilience to natural hazards in its urban water supply system.
ADB will help digitally transform water and sanitation services through real-time monitoring, data-driven decision-making and improved customer responsiveness. The project will introduce advanced technologies to eliminate hazardous manual sewer inspections, make blockage detection faster and safer, enhance worker safety and prepare distribution networks in at least two Greater Chennai zones for future investments.
About Asian Development Bank
ADB is one of the leading multilateral development banks supporting sustainable, inclusive and resilient growth across Asia and the Pacific. Working with its members and partners to solve complex challenges together, ADB harnesses innovative financial tools and strategic partnerships to transform lives, build quality infrastructure and safeguard our planet. Founded in 1966, ADB is owned by 69 members—50 from the region.